PepsiCo elects CEO Nooyi as chairman of the board

RP news wires, Noria Corporation

PepsiCo's board of directors announced February 5 that it has elected Indra K. Nooyi, 51, chairman of the board, effective when executive chairman Steven S. Reinemund, 58, retires on May 2, as he announced last August.

Mrs. Nooyi is currently chief executive officer of the more than $32 billion global convenient food and beverage company, a role she assumed on October 1, 2006. She becomes the fifth chairman and CEO in PepsiCo's 42-year history, following Reinemund (2001-2006), Roger A. Enrico (1996-2001), Wayne D. Calloway (1986-1996) and Donald M. Kendall (1971-1986.) Herman W. Lay served as PepsiCo's first chairman (1965-1971), while Kendall served as CEO.

"I'm incredibly honored by the board's confidence, and extraordinarily fortunate to follow in the footsteps of Steve Reinemund and all my illustrious predecessors," said Nooyi. "PepsiCo is on a sound strategic course with solid momentum thanks to Steve's leadership, and along with every PepsiCo associate, I'm looking forward to building on the lasting legacy created by him, Roger, Wayne, Don and Herman."

Nooyi joined PepsiCo in 1994 and directed worldwide strategy for over a decade. She was the primary architect of PepsiCo's restructuring and transformation, including the merger with Quaker Oats and the acquisition of Tropicana, which added some of the world's strongest health & wellness brands to PepsiCo's portfolio. She also led the divestiture of PepsiCo's restaurants into the successful YUM! Brands Inc., and the spin-off and public offering of company-owned bottling operations into anchor bottler Pepsi Bottling Group (PBG.) Prior to being elected CEO last year, Mrs. Nooyi served as president and chief financial officer. She was elected to PepsiCo's board of directors in 2001.

"PepsiCo is in extraordinarily gifted and capable hands," said Reinemund. "Indra's record of transformational leadership is second-to-none. She and her team will take this great company to an unprecedented level of success, and I look forward to continuing to cheer their continued achievements."

Reinemund, a 23-year PepsiCo veteran, led the corporation since 2001. From 2001 to 2005, PepsiCo's revenues increased by more than $9 billion, net income increased by 70%, earnings per share increased by 80%, its annual dividend doubled and the company's market capitalization surpassed $100 billion. During Reinemund's PepsiCo tenure, he also served as the corporation's president and chief operating officer, as well as chairman and CEO of its Frito-Lay division. He started his PepsiCo career in 1984 at the company's former Pizza Hut division, where he also served as CEO.

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