PepsiCo Inc. Outlook Revised To Positive On Improved Operating Margins; 'A' Rating Affirmed

New York-based snack and beverage maker PepsiCo Inc. is likely to continue to execute on its multi-year productivity program and improve operating margins. Credit measures are likely to remain stable at strong levels, while shareholder returns should be largely funded with discretionary cash flows. We are affirming all ratings, including the 'A' long-term and 'A-1' short-term corporate credit ratings, and revising the outlook to positive from stable. The positive outlook reflects our expectation that we could upgrade the company if it continues to improve margins and maintains debt to EBITDA near or below 2.5x over our forecast horizon. NEW YORK (Standard&Poor's) April 21, 2016--Standard&Poor's Ratings Services today affirmed all ratings on Purchase, N.Y.-based PepsiCo Inc., including

...+ New York-based snack and beverage maker PepsiCo Inc. is likely to continue to execute on its multi-year productivity program and improve operating margins. + Credit measures are likely to remain stable at strong levels, while shareholder returns should be largely funded with discretionary cash flows. + We are affirming all ratings, including the 'A' long-term and 'A-1' short-term corporate credit ratings, and revising the outlook to positive from stable. + The positive outlook reflects our expectation that we could upgrade the company if it continues to improve margins and maintains debt to EBITDA near or below 2.5x over our forecast horizon. NEW YORK (Standard & Poor's) April 21, 2016--Standard & Poor's Ratings Services today affirmed all ratings on Purchase, N.Y.-based PepsiCo Inc., including the 'A' corporate credit rating, and revised the outlook to positive from stable. PepsiCo had adjusted debt outstanding of $30.6 billion as of March 19, 2016. The outlook revision to positive reflects...

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