Financial Highlights

PepsiCo, Inc. and subsidiaries (in millions except per share data; all per share amounts assume dilution)

Mix of Net Revenue

Food

2010

2009

Chg(a)

Chg Constant Currency(a)(f)

49% 51% Beverage Outside the U.S. 47%

Summary of Operations Total net revenue Core division operating profit(b) Core total operating profit(c) Core net income attributable to PepsiCo(d) Core earnings per share attributable to PepsiCo(d) Other Data Management operating cash flow, excluding certain items(e) Net cash provided by operating activities Capital spending Common share repurchases Dividends paid Long-term debt

$57,838 $10,626 $ 9,773 $ 6,675 $ 4.13

$43,232 $ 8,647 $ 7,856 $ 5,846 $ 3.71

34% 23% 24% 14% 12%

33% 23%

12%
53% U.S.

$ 6,892 $ 8,448 $ 3,253 $ 4,978 $ 2,978 $19,999

$ 5,583 23% $ 6,796 24% $ 2,128 53% n/m $ 2,732 9% $ 7,400 170%

Net Revenues
PepsiCo AMEA PepsiCo Europe 12% 16% 37% PepsiCo Americas Foods

Cumulative Total Shareholder Return

Return on PepsiCo stock investment (including dividends), the S&P 500 and the S&P Average of Industry Groups

PepsiCo, Inc. S&P 500 S&P Average of Industry Groups***

150

U.S. Dollars

PepsiCo Americas Beverages

35%

100

Division Operating Profit

PepsiCo AMEA

50 2005

2006

2007

2008

2009

2010

PepsiCo Europe

***The S&P Average of Industry Groups is derived by weighting the returns of two applicable S&P Industry Groups (Non-Alcoholic Beverages and Food) by PepsiCos sales in its beverages and foods businesses. The returns for PepsiCo, the S&P 500 and the S&P Average indices are calculated through December 31, 2010.

8% 10% 53% PepsiCo Americas Foods

PepsiCo Inc. S&P 500 S&P Avg. of Industry Groups***

Dec. 05 $100 $100 $100

Dec. 06 $108 $116 $116

Dec. 07 $134 $122 $129

Dec. 08 $ 99 $ 77 $106

Dec. 09 $113 $ 97 $128

Dec. 10 $125 $112 $151

PepsiCo 29% Americas Beverages

(a) Percentage changes are based on unrounded amounts. (b) Excludes corporate unallocated expenses and merger and integration charges in both years. In 2010, also excludes certain inventory fair value adjustments in connection with our bottling acquisitions and a one-time net charge related to the currency devaluation in Venezuela. In 2009, also excludes restructuring and impairment charges. See page 108 for a reconciliation to the most directly comparable financial measure in accordance with GAAP. (c) Excludes merger and integration charges and the net mark-to-market impact of our commodity hedges in both years. In 2010, also excludes certain inventory fair value adjustments in connection with our bottling acquisitions, a one-time net charge related to the currency devaluation in Venezuela, an asset write-off charge for SAP software and a contribution to The PepsiCo Foundation, Inc. In 2009, also excludes restructuring and impairment charges. See page 108 for a reconciliation to the most directly comparable financial measure in accordance with GAAP. (d) Excludes merger and integration charges and the net mark-to-market impact of our commodity hedges in both years. In 2010, also excludes a gain on previously held equity interests and certain inventory fair value adjustments in connection with our bottling acquisitions, a one-time net charge related to the currency devaluation in Venezuela, an asset write-off charge for SAP software, a contribution to The PepsiCo Foundation, Inc. and interest expense incurred in connection with our debt repurchase. In 2009, also excludes restructuring and impairment charges. See pages 64 and 108 for reconciliations to the most directly comparable financial measures in accordance with GAAP. (e) Includes the impact of net capital spending, and excludes merger and integration payments and restructuring payments in both years. In 2010, also excludes discretionary pension and retiree medical payments, a contribution to The PepsiCo Foundation, Inc., interest paid related to our debt repurchase and capital expenditures related to the integration of our bottlers. In 2009, also excludes discretionary pension payments. See also Our Liquidity and Capital Resources in Managements Discussion and Analysis. See page 108 for a reconciliation to the most directly comparable financial measure in accordance with GAAP. (f) Assumes constant currency exchange rates used for translation based on the rates in effect in 2009. See pages 64 and 108 for reconciliations to the most directly comparable financial measures in accordance with GAAP.

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PepsiCo Mega Brands

19
$0 $5

PepsiCo, Inc. has 19 mega brands that each generated $1billion or more in 2010 in annual retail sales (estimated worldwide retail sales in billions).
$10 $15 $20 $25

Pepsi-Cola Mountain Dew / Mtn Dew Lays Potato Chips Gatorade (Thirst Quencher, G2, Propel) Tropicana Beverages Diet Pepsi 7UP (outside U.S.) Lipton Teas (PepsiCo/Unilever Partnership) Doritos Tortilla Chips Quaker Foods and Snacks Cheetos Cheese Flavored Snacks Mirinda Ruf es Potato Chips Aqua na Bottled Water Pepsi Max Tostitos Tortilla Chips Sierra Mist Fritos Corn Chips Walkers Potato Crisps

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PepsiCo, Inc. 2010 Annual Report