Policies

PepsiCo's Political Contributions Policy

PepsiCo's Board of Directors has approved the following policy. Together with other policies and procedures, including our Code of Conduct, it guides our approach to political contributions. By following the policy and the accompanying procedures, by adhering to the letter and the spirit of all applicable laws and regulations, and by exercising sound judgment regarding our involvement in the political process, we affirm and strengthen our commitment to PepsiCo's values.

Policy

It is essential in a democratic society that citizens participate in their government. The health of our society depends on all of us being well informed and responsibly engaged in the political process.

The PepsiCo Concerned Citizens Fund (CCF) receives voluntary employee contributions to make political campaign contributions to U.S. federal and state political parties, committees and candidates. The CCF and the company's corporate contributions provide an important opportunity for PepsiCo, and its employees, to participate in the democratic process.

We believe that providing financial support to responsible pro-business candidates is an important means by which we help improve the business climate, our quality of life and the society in which we live, enabling us to succeed as a company committed to integrity, innovation and value.

The following criteria will be used in connection with all contributions:

• The candidate's or entity's commitment to improving the business climate;
• The candidate's or entity's position or voting record on issues of direct concern to PepsiCo;
• The location of PepsiCo facilities or employees within the candidate's district or state;
• The candidate's position on key committees where legislation of importance to PepsiCo is considered or the candidate's demonstrated leadership - or potential for leadership - within the U.S. Congress or a State Legislature;
• The candidate's need for campaign financial assistance.

The public policy issues we face as a company and our engagement in the public policy process, including contributions as part of the political process, are discussed with and reviewed by the Nominating and Corporate Governance Committee of the company's Board of Directors.

Details on PepsiCo's political contributions will be posted on its website on an annual basis. This will occur in conjunction with the release of PepsiCo's Corporate Citizenship Report each year.

All contributions and support of U.S. or state political parties, committees or candidates from the CCF or corporate funds must be made in accordance with applicable campaign finance and disclosure laws.

Coercion of any employee to contribute to the CCF or to make any political contribution of any kind is unacceptable.

Our employees have the right to be engaged in the political process in their individual capacity as they see fit, and make political contributions of their own time and money to the candidates or parties of their choice. Of course, those efforts must not in any way suggest PepsiCo's support.

Management and supervisory employees who are citizens of the United States may voluntarily contribute to the CCF.

PepsiCo employees must obtain approval of the Corporate Vice President Public Policy & Government Affairs before making political contributions of corporate funds.

All contributions must be reviewed by the corporate law department to ensure legal compliance.

All payments from the CCF to support U.S. or state political parties, committees or candidates must be approved by the CCF Executive Committee.

Feb. 3, 2006

Download PepsiCo's 2008 Corporate Political Contributions (83KB)

Download PepsiCo, Inc. 2008 Concerned Citizens Fund Contributions (102KB)

PepsiCo's Human Rights Workplace Policy

PepsiCo respects the dignity of our workers in the workplace and we work to ensure our associates' rights to personal security, a safe, clean and healthful workplace, and freedom from harassment or abuse of any kind.

We deal fairly and honestly with our associates regarding wages, benefits and other conditions of employment, and recognize our associates' right to freedom of association. We do not use compulsory or child labor.

We do not tolerate discrimination and work to ensure equal opportunity for all associates.

We comply with all applicable laws, regulations, and other employment standards, wherever we operate or work.

We encourage our partners, suppliers, contractors and vendors to support these policies and we place substantial value on working with others who share our commitment to human rights.

Download Human Rights Workplace Policy
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PepsiCo's Statement on Animal Testing

PepsiCo does not conduct any animal tests and does not directly fund any animal tests on its beverages and foods. Where governmental agencies require animal tests to demonstrate ingredient safety, companies using those ingredients rely on third party testing.

PepsiCo has shared our concern regarding the ethical and humane treatment of animals with our suppliers and others in the industry. We encourage the use of alternative testing methods whenever and wherever possible and have financially supported research to develop these alternative methods.

Global Genetically-Modified Food And Ingredient Policy

PepsiCo is dedicated to producing the highest quality, greatest tasting food and beverage products in every part of the world. PepsiCo ensures all products meet or exceed stringent safety and quality standards and uses only ingredients that are safe and approved by applicable government and regulatory authorities.

Approval of genetically-modified foods differs from country to country regarding both use and labeling. For this reason, PepsiCo adheres to all relevant regulatory requirements regarding the use of genetically-modified food crops and food ingredients within the countries it operates.

Where legally approved, individual business units may choose to use or not use genetically-modified ingredients based on regional preferences.

Sep. 25, 2007

Download PepsiCo's Plant-Made Pharmaceutical / Plant-Made Industrial Compound Statement (84KB)

Global Sustainable Packaging Policy

PepsiCo's responsibility is to continually improve all aspects of the world in which we operate environment, social, economic - creating a better tomorrow than today.

PepsiCo has a clear policy with regard to our understanding of the unique role packaging holds in shaping the way our products are presented to consumers, customers and communities. In addition to understanding its necessary role in protecting the quality and experience consumers have with our products, we respect our responsibility to contribute to the quality of life in our communities by optimizing the use of materials and continually improving our processes.

Our Global Packaging Policy expresses our Performance with Purpose vision and commitment to build shareholder value by making PepsiCo a truly sustainable company through programs that reflect our focus on economic growth, improving communities and environmental stewardship.

PepsiCo's Packaging Policy

PepsiCo is committed to develop packaging that:

• Supports continued shareholder growth
• Exemplifies Best-in-Class design and use of materials
• Maintains the highest quality and hygiene standards expected of our products by consumers
• Provides optimal protection for our products and trademarks
• Meets value, cost and performance criteria that satisfies consumer and customer desires
• Strives for the smallest possible environmental footprint

Our Aspirations regarding Sustainable Packaging
As we strive for the smallest possible environmental footprint, PepsiCo has been inspired by many science-based sources, including the Sustainable Packaging Coalition (SPC) and the European Organization for Packaging and the Environment (EUROPEN). While some elements are quite straightforward to commercialize, others will require the continued work of our innovation and procurement teams, in conjunction with our suppliers. Our sustainable packaging aspirations aim to:

• Increase the use of recycled content or materials from renewable sources
• Optimize packaging design to use the fewest materials necessary
• Promote the use of materials that can be recycled (beverage containers, cereal cartons, etc.)
• Minimize post-industrial waste
• Avoid known negative impacts to the environment
• Achieve a lower carbon footprint by ensuring efficient energy usage across the product lifecycle

PepsiCo Principles regarding Sustainable Packaging
As we continue our journey to optimize materials, we have developed a set of principles to guide our decision making process. Decisions and actions will be based upon:

• The use of sound-science with reputable assumptions and benchmarks regarding the environmental impact of packaging
• Using common and understandable language, definitions and metrics
• Setting quantifiable, time-bound goals
• The responsible balancing of multiple considerations and variables when making packaging decisions
• Developing short-term and long-term continuous improvement packaging strategies

Setting and Achieving Goals

As part of this approach, we have established broad sustainable packaging objectives that are the basis for measurable goals that aim to turn these aspirations and principles into action across all functions within PepsiCo to focus our efforts and empower our employees.

The specific goals will be aligned with the line of business, such as Snacks and Beverages, and geographies, based on the opportunities that exist in those areas.

Broad Objectives

As we continue to innovate and build upon our understanding of opportunities, PepsiCo may choose to add or update these goals to reflect the new technologies and materials that become commercially viable.

PepsiCo understands the critical role agriculture plays in all aspects of our business. Our products depend on a safe, high-quality, and affordable supply of agricultural raw materials to meet the demands of our business as well as the expectations of our consumers, customers and other stakeholders. Our aim is to ensure PepsiCo has continued access to the key agricultural raw materials necessary to supply growing consumer needs, while respecting the environment and communities involved in producing those raw materials

Learn more about the policies that inform our agriculture practices in our Global Sustainable Agriculture Policy.

Download the Sustainable Agriculture Policy (PDF, 40.4KB)