PEP · 10-Q · 2026Q3 · Full report
2019 Productivity Plan / Restructuring
PEPSICO INC · 2026-10-08 · Importance 64 · Surprise 42 · No source text
PepsiCo expanded and extended its 2019 Productivity Plan in 2024 through the end of 2030. The plan is expected to generate approximately $6.15 billion in pretax charges, including approximately $5.1 billion in cash expenditures. Through September 5, 2026, PepsiCo had incurred $4.0 billion in pretax charges and $3.1 billion in cash expenditures; for the remainder of 2026, it expects approximately $500 million in charges and $250 million in cash expenditures. Most remaining charges and cash expenditures are expected through 2027, with the balance through 2030; charges include severance and other employee costs, asset impairments and other costs.
Key facts
- PepsiCo expects approximately $6.15 billion of pre-tax charges under the 2019 Productivity Plan, including approximately $5.1 billion of cash expenditures. source
- For the remainder of 2026, PepsiCo expects approximately $500 million of pre-tax charges and approximately $250 million of cash expenditures under the 2019 Productivity Plan. source
- In 2024, PepsiCo expanded and extended its 2019 Productivity Plan through the end of 2030. source
- Through September 5, 2026, PepsiCo had incurred $4.0 billion of pre-tax charges and $3.1 billion of cash expenditures under the 2019 Productivity Plan. source
- PepsiCo expects to incur the majority of the remaining 2019 Productivity Plan pre-tax charges and cash expenditures through 2027, with the balance through 2030. source
- PepsiCo's 2019 Productivity Plan uses new technology and business models to simplify, harmonize and automate processes; re-engineer go-to-market and information systems; and simplify the organization while optimizing manufacturing and supply chain footprint. source
- PepsiCo expects to fund 2019 Productivity Plan charges primarily through cash from operations. source
- 2019 Productivity Plan charges include severance and other employee costs, asset impairments and other costs. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| operating_income | negative | committed | -7.2% | PepsiCo expects approximately $6.15 billion of pre-tax charges under the 2019 Productivity Plan, including approximately $5.1 billion of… |
| cash | negative | committed | -1.5% | PepsiCo expects approximately $6.15 billion of pre-tax charges under the 2019 Productivity Plan, including approximately $5.1 billion of… |