Latest news with #PopCorners
Yomiuri Shimbun
5 days ago
- Business
- Yomiuri Shimbun
Pepsico Overcomes Lagging US Sales in a Strong Second Quarter
PepsiCo reported better-than-expected earnings and revenue in the second quarter and expressed confidence that new and revamped products can boost its lagging North American sales in the second half of this year. In a conference call with investors Thursday, PepsiCo Chairman and CEO Ramon Laguarta said the company plans to introduce protein-enhanced versions of snacks like Pop Corners in the next few months and will eventually make high-protein versions of some of its biggest sellers. Protein beverages are also going on sale later this year. 'Consumers are adopting protein solutions in their diets at a pace that was not the case in a few years back,' Laguarta said. 'We can provide democratized solutions at large scale. That's what we're trying to do.' Laguarta said a relaunch of Lay's potato chips and Tostitos tortilla chips without artificial colors or ingredients is also coming later this year. PepsiCo said in April that it was accelerating a planned phase-out of artificial colors and ingredients after U.S. health officials called on companies to make that shift. But Laguarta didn't say whether PepsiCo is planning a shift to real sugar in its U.S. sodas. Late Wednesday, President Donald Trump said in a social media post that Coca-Cola had agreed to use real cane sugar in its flagship product in the U.S. instead of high-fructose corn syrup. Coke didn't confirm the change but promised new offerings would be shared soon. 'If the consumer is telling us that they prefer products that have sugar and they prefer products that have natural ingredients, we will give the consumer products that have sugar and have natural ingredients,' Laguarta said. 'So this is a journey of following the consumer, trying to be maybe one step ahead of the consumer but not too many steps.' Sales of Frito-Lay and other snacks fell 1% in North America during the April-June period, PepsiCo said Thursday, while beverage sales slid 2% in the region. Years of double-digit price increases from PepsiCo and changing consumer preferences has weakened demand for the company's drinks and snacks, the company said in February. It said Thursday that it's trying to combat perceptions that its products are too expensive by expanding distribution of value brands like Chester's and Santitas. Sales rose in some other regions, including Latin America and Asia. PepsiCo said low- or no-sugar versions of its trademark Pepsi saw strong sales globally. Revenue rose less than 1% to $22.7 billion in the April-June period. That was higher than the $22.3 billion Wall Street forecast, according to analysts polled by FactSet. PepsiCo's net income fell 59% to $1.3 billion. Adjusted for one-time items, including impairment charges related to its Rockstar and Be & Cheery brands, PepsiCo earned $2.12 per share. That was also higher than the $2.03 analysts had forecast. PepsiCo shares rose nearly 6% in morning trading Thursday. PepsiCo lowered its full-year earnings expectations in April, citing increased costs from tariffs and a pullback in consumer spending. The company reaffirmed that guidance Thursday.
Miami Herald
27-06-2025
- Business
- Miami Herald
Pepsi-owned brand charged with selling people bags of air
Business I know I'm not the only one who opens a bag of chips and still feels personally attacked by how empty it is. Even though I know it's never going to be full, it somehow still surprises me. Every time. It's like a weird form of snack amnesia. I go in expecting a full bag, and I come out betrayed - again. Just a sad pile of chips sitting at the bottom of an oversized pouch, surrounded by nothing but air and disappointment. And let's be real: the excuse has always been "settling during shipping" or the classic "product sold by weight, not volume." But at some point, we all started wondering if those lines just conveniently save companies money. There's something especially frustrating about paying premium prices for what feels like a half-empty snack. No one's asking for a don't sell us a party-size bag with a solo-snack amount inside. Now, one major snack brand is being called out for doing exactly that. But it's not just customers who are fed up, and this time, the legal system is stepping in. PepsiCo faces class action lawsuit over PopCorners packaging On June 1, plaintiff Bonnie Reyes filed a class action lawsuit against PepsiCo in California federal court. At the center of the case: the popular snack what's not inside the bag. Reyes accuses PepsiCo of using "nonfunctional slack-fill" in its packaging. In plain terms? Oversized bags filled mostly with air. According to the suit, PopCorners Sea Salt varieties are sold in opaque packaging that gives no clear indication of how much product is actually inside. And it's not a minor gap. The complaint alleges that more than half the bag is empty. Reyes argues this isn't just inconvenient - it's deceptive. She claims the packaging tricks customers into thinking they're getting more product than they actually are, which leads to unfair pricing and undercuts brands that actually disclose how much snack you're getting. She's seeking to represent a class of California consumers who purchased PopCorners for personal use in the last four years. The lawsuit accuses PepsiCo of violating multiple California consumer laws, including false advertising and unfair competition statutes. What the lawsuit could mean for PepsiCo's business If the court sides with Reyes, PepsiCo could face damages, restitution, and potentially be forced to rethink its packaging entirely. But this case isn't just about one snack. It's part of a broader trend: consumers calling out shrinkflation and other tactics that quietly chip away at value while prices stay high and trust runs low. Slack-fill lawsuits have cropped up across the food industry in recent years, targeting everything from candy to protein powder. And while not all succeed, they're sending a clear message: empty space may come at a cost. This comes at a time when PepsiCo can't afford any bad press. Its stock is down nearly 23% over the past year, and a high-profile lawsuit is the last thing it needs right now. A win might reinforce business as usual. This story was originally published June 26, 2025 at 12:47 PM.
Miami Herald
26-06-2025
- Business
- Miami Herald
PepsiCo lawsuit alleges company deceived consumers
I know I'm not the only one who opens a bag of chips and still feels personally attacked by how empty it is. Even though I know it's never going to be full, it somehow still surprises me. Every time. It's like a weird form of snack amnesia. I go in expecting a full bag, and I come out betrayed - again. Just a sad pile of chips sitting at the bottom of an oversized pouch, surrounded by nothing but air and disappointment. Related: General Mills makes huge change to your favorite cereals And let's be real: the excuse has always been "settling during shipping" or the classic "product sold by weight, not volume." But at some point, we all started wondering if those lines just conveniently save companies money. There's something especially frustrating about paying premium prices for what feels like a half-empty snack. No one's asking for a don't sell us a party-size bag with a solo-snack amount inside. Now, one major snack brand is being called out for doing exactly that. But it's not just customers who are fed up, and this time, the legal system is stepping in. Image source: Bloomberg/Getty Images On June 1, plaintiff Bonnie Reyes filed a class action lawsuit against PepsiCo in California federal court. At the center of the case: the popular snack what's not inside the bag. Reyes accuses PepsiCo of using "nonfunctional slack-fill" in its packaging. In plain terms? Oversized bags filled mostly with air. According to the suit, PopCorners Sea Salt varieties are sold in opaque packaging that gives no clear indication of how much product is actually inside. And it's not a minor gap. The complaint alleges that more than half the bag is empty. Related: Hostess, Twinkies face a troubling new consumer trend Reyes argues this isn't just inconvenient - it's deceptive. She claims the packaging tricks customers into thinking they're getting more product than they actually are, which leads to unfair pricing and undercuts brands that actually disclose how much snack you're getting. She's seeking to represent a class of California consumers who purchased PopCorners for personal use in the last four years. The lawsuit accuses PepsiCo of violating multiple California consumer laws, including false advertising and unfair competition statutes. If the court sides with Reyes, PepsiCo could face damages, restitution, and potentially be forced to rethink its packaging entirely. But this case isn't just about one snack. It's part of a broader trend: consumers calling out shrinkflation and other tactics that quietly chip away at value while prices stay high and trust runs low. Slack-fill lawsuits have cropped up across the food industry in recent years, targeting everything from candy to protein powder. And while not all succeed, they're sending a clear message: empty space may come at a cost. This comes at a time when PepsiCo can't afford any bad press. Its stock is down nearly 23% over the past year, and a high-profile lawsuit is the last thing it needs right now. A win might reinforce business as usual. But a loss could open the door to more lawsuits across other product lines and push brands to rethink how they package and market their snacks. Related: Beloved cereal goes 'serial killer dark' for new ad The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Yahoo
13-06-2025
- Business
- Yahoo
PepsiCo to close California Frito-Lay plant
This story was originally published on Food Dive. To receive daily news and insights, subscribe to our free daily Food Dive newsletter. PepsiCo is shuttering its Frito-Lay manufacturing facility in Rancho Cucamonga, California, marking the latest plant closure by a food giant amid a pullback in consumer spending. The beverage and snack maker did not respond to questions regarding when the plant will close, why it's closing, how many workers will be impacted, and what products the location currently produces. The 55-year-old facility reportedly employs about 480 people, according to 'We are committed to supporting those impacted through this transition and we are offering pay and benefits to impacted employees,' PepsiCo Foods U.S. said in a statement. The company added that its warehouse, distribution, fleet and transportation teams will continue to operate at its Rancho Cucamonga plant. Frito-Lay currently operates more than 30 manufacturing plants across the U.S., the brand said on its website. As inflation and economic uncertainty prompt consumers to curtail their spending, several companies, including Post Holdings, Conagra Brands, Del Monte Foods and J.M. Smucker, have announced plans within the last year to close locations to bring production in line with demand. The plant closure in California is the latest from the PepsiCo subsidiary. In February, Frito-Lay said it would close a New York plant making PopCorners, which employed 287 people. PepsiCo's snacking business, which includes everything from Fritos and Doritos to Sun Chips and Funyuns, has been hit especially hard by the recent downturn. During its most recent earnings call, PepsiCo said revenue and product volumes fell 1% at its North American foods unit. Jamie Caulfield, PepsiCo's CFO, acknowledged Frito-Lay's 'subdued performance' during a call with analysts in April. 'We've got clear plans to continue to turn the business around, but that'll take a little while,' he said. Recommended Reading Del Monte Foods to close 2 plants amid a 'reset in consumer behavior' Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CBS News
27-02-2025
- Business
- CBS News
PepsiCo laying off nearly 300 plant workers in Liberty, N.Y.
PepsiCo will shutter its manufacturing plant in Liberty, N.Y., putting nearly 300 people out of work in Sullivan County. The plant makes PopCorners snacks. A Worker Adjustment and Retraining Notification, or WARN Notice, posted on the state Department of Labor's website shows 287 non-union Frito-Lay employees will be laid off starting on May 21 and ending on June 6. Frito-Lay is owned by PepsiCo. The WARN Notice lists the reason for closure as "economic." "Recently, PepsiCo Foods U.S. announced the closure of our facility in Liberty, NY. This plant has played a vital role in producing our beloved PopCorners brand, but the pace of growth for this product line paired with broader industry pace of growth has made it difficult to sustain the site's long-term viability," PepsiCo Foods U.S. said in a statement. "We deeply appreciate the contributions of our Liberty employees, and this decision does not diminish the value of their hard work and dedication. We have notified our workforce and are working closely with our employees and local community officials to provide a supportive transition." "This action will have many impacts" "We are deeply concerned about PepsiCo's decision to shutter their Liberty food manufacturing facility, which has been an integral part of our community for decades and employs hundreds of locals. This action will have many impacts, which we intend to sort out with PepsiCo's assistance in the coming weeks," Sullivan County Legislature Chair Nadia Rajsz, Town of Liberty Supervisor Frank DeMayo and Village of Liberty Mayor Joan Stoddard said in a joint statement. They said Sullivan County and various partners "will be assisting the impacted workers in every way we can."
