PepsiCo to invest $1 billion in Russia

PepsiCo and its partner Pepsi Bottling Group (PBG) have announced plans to invest $1 billion in Russia over three years.  New York-based PepsiCo,┬áone of the world's largest food and beverage companies, has said that the investment is consistent with its strategy to expand in emerging markets. The money will take PepsiCo and PBGÔÇÖs cumulative investment in Russia to over $4 billion. Last year the partnered firms spent around $2 billion on the purchase of RussiaÔÇÖs largest juice company, OAO Lebedyansky. The $1 billion investment will be used to make improvements to production and distribution of PepsiCo products in Russia. These include the development of a new snack manufacturing plant in the city of Azov, expected to open later this year, and a ÔÇ£state-of-the-artÔÇØ warehousing and distribution infrastructure for the Lebedyansky juice business.  The company also plans to use new technology to boost local agriculture. The announcement comes as PepsiCo continues to firm up its foothold in the worldÔÇÖs emerging markets, where growth is faster than in the U.S. "I am delighted to announce that over three years we expect to invest $1 billion in our beverage and food businesses in Russia," said PepsiCo chairman and chief executive officer Indra Nooyi.  "This investment reflects very clearly our great confidence in Russia and our long-term commitment to this very important market."  Noovi is in Russia this week to open a new bottling plant outside Moscow and to join a meeting of business leaders convened by Presidents Medvedev and Obama. It is fifty years since Pepsi-Cola was first introduced to Russian consumers in Moscow. *┬á┬á┬á┬á┬á┬á *┬á┬á┬á┬á┬á┬á *