Stock Performance

	Year-end Market Price of Stock (In $)

PepsiCo was formed through the 1965 merger of Pepsi-Cola Company and Frito-Lay, Inc. A $1,000 investment in our stock made on December 31, 1987 was worth approximately $8,300 on December 31, 1997 assuming the reinvestment of dividends. This performance represents a compounded annual growth rate of 24%.

The closing price for a share of PepsiCo capital stock on the New York Stock Exchange was the price as reported by Bloomberg for the fiscal years ending 1987-1997, restated for the spin-off of the restaurant business.

Past performance is not necessarily indicative of future returns on investments in PepsiCo capital stock.

Capital Stock Information

	Cash Dividends Declared Per Share (In $)

Stock Trading Symbol
PEP

The New York Stock Exchange is the principal market for PepsiCo capital stock, which is also listed on the Amsterdam, Chicago, Swiss and Tokyo Stock Exchanges.

Shareholders

At year-end 1997, there were approximately 229,000 shareholders of record.

Dividend Policy

Quarterly cash dividends are usually declared in November, January, May and July and paid at the beginning of January and the end of March, June and September.

The dividend record dates for 1998 are expected to be March 13, June 12, September 11 and December 11.

Quarterly cash dividends have been paid since PepsiCo was formed in 1965, and dividends per share have increased for 25 consecutive years.