Tropicana also contributed to the volume gain, as fortified juices continued to post double-digit growth.

As strong as Gatorade and Tropicana are today, growth prospects for these brands were enhanced significantly by the merger and the subsequent placement of the two brands in a single operating division.

Gatorade and Tropicana are a natural combination. Both offer something many consumers want today: "functional" benefits beyond refreshment. By combining Tropicana's relatively small direct sales force with the much larger Quaker-Gatorade system, the brands can be distributed more widely and efficiently. More of those retail accounts can be called on directly, rather than through third parties. And it can be done at a lower cost.

Gatorade and Tropicana also benefit by combining their "hot fill" manufacturing — a process used for many non-carbonated drinks — with that of Pepsi-Cola North America. Managing the manufacturing infrastructure across a portfolio of brands is more efficient. Among other things, it offsets some of the seasonal variations in demand for individual brands.