PepsiCo Refuses Activist Push To Spin Off Snack Unit

Law360, New York (February 13, 2014, 12:55 PM EST) -- PepsiCo Inc. blew away analysts' fourth-quarter expectations and declared that it would not split its beverage and snack units, despite calls to do so from activist investor Nelson Peltz, according to a Thursday statement.

PepsiCo, the company behind brands like Tropicana, Frito-Lay and Quaker Oats, said that after reviewing the company's structure with bankers and consultants, spinning off the snack brands would detract from revenue, reduce cash flow and limit the company's ability to fund shareholder dividends.

"The breadth and diversity of our portfolio provides our...
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