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PepsiCo Joins with America's YMCAs to Help Americans Live Healthier Lives

PepsiCo Provides $11.6 Million to Support YMCA Activate AmericaTM Initiative

CHICAGO [March 8, 2006)—YMCA of the USA and PepsiCo, one of the world's largest food and beverage companies, today announced a five-year alliance totaling $11.6 million in support to America's YMCAs through 2010. This new agreement supports YMCA Activate America, the YMCA movement's innovative public health initiative that seeks to make healthy living a reality for millions of Americans. The alliance includes program development and marketing initiatives designed to strengthen and promote YMCAs as a powerful national resource for healthy living.

“To reverse our country's growing obesity, chronic disease, and health care crisis, Americans need to become more physically active and improve their nutrition,” said Sam Evans, Acting Chief of Staff, YMCA of the USA. “With more than 20 million registered members and program participants, and through our national leadership of childcare and after school programs, YMCAs can play a significant role in encouraging Americans to live healthier lives. The YMCA and PepsiCo have had a long-standing alliance and with PepsiCo's evolving and expanding pro-health corporate strategy, it was natural for the YMCA and PepsiCo to deepen their alliance around healthy living through YMCA Activate America.”

“The YMCA and PepsiCo have a common goal in helping people find easy solutions for leading healthier lifestyles, said Brock Leach, PepsiCo Senior Vice President, New Growth Platforms and Chief Innovation Officer. “With nearly 2,600 locations and more than 20 million members, the YMCA has the unique ability to empower people to be more physically active and to make smarter nutritional choices. We believe that the YMCA has tremendous potential to impact lifestyles since they are America's leading provider of health and wellness programming.”

YMCA Activate America is an innovative public health initiative of the YMCA movement that seeks to create environments where Americans feel supported in their efforts to eat healthy and be physically active. Through organizational transformation, community leadership, and strategic partnerships, the initiative is helping to enhance YMCAs' abilities to serve “health seekers” and their families. Health seekers are individuals who want to be active and healthy but continually start and stop the process and, therefore, have been unable to sustain a commitment to healthy living.

PepsiCo's commitment to offering consumers healthier products is reflected in the 2004 launch of its Smart Spot symbol – the first-of-its-kind designation that makes it easier for consumers to identify products that contribute to healthier lifestyles. Products that feature the Smart Spot symbol meet established nutrition criteria based on authoritative statements from the Food and Drug Administration and the National Academy of Sciences. Last year, total Smart Spot growth was 13 percent reflecting consumers' demand for healthier products. Beginning this year, the company expects to achieve 50 percent of its new product revenues from Smart Spot products.

As a part of its national sponsorship of YMCA Activate America, PepsiCo will support several activities:

  • Tropicana, a division of PepsiCo, will continue its support as a national sponsor of YMCA Healthy Kids® Day, an annual grassroots community event designed to celebrate healthy living, encourage kids and families to get excited about physical fun and activity and, most importantly, engage kids in play to be healthy. A key component of YMCA Activate America, the 2006 YMCA Healthy Kids Day is scheduled for April 8, 2006, with more than 500,000 anticipated participants at events at more than 1,400 YMCAs.

  • PepsiCo will sponsor a joint initiative of YMCA Activate America and the America On the Move Foundation, a non-profit organization that helps Americans commit to healthy living, to develop a community walking program to be offered through local YMCAs and celebrate an annual day of action, rallying Americans to pledge to lead healthier lives by taking 2,000 more steps each day (about 1 mile) and reducing daily caloric intake by 200 calories.

  • To recognize YMCAs as a valuable resource and support for individuals and families wanting to live healthier, PepsiCo will launch healthy living promotions involving Tropicana Pure Premium, Aquafina, Quaker Oatmeal, and other Smart Spot brands.

  • PepsiCo will fund $1 million annually in competitive grants for local YMCAs launching or expanding health and wellness initiatives in their communities.

In addition to supporting YMCA Activate America, PepsiCo will support YMCA of the USA's national diversity initiative that advances the vision of YMCAs as models of inclusion and acceptance.

About YMCA Activate AmericaTM

YMCA Activate America builds upon the YMCA's 150-year track record of pioneering efforts that respond to pressing societal needs – in this case, America's growing obesity, chronic disease, and health care crisis. YMCA Activate America is an innovative public health initiative that seeks to make healthy living a reality for millions of Americans by directly helping individuals and families live healthier lives, and by helping YMCAs lead their communities and the nation to reduce barriers and increase supports for healthy living. Expert advisors to the YMCA on this initiative include: Harvard University School of Public Health, Stanford University School of Medicine, The Centers for Disease Control and Prevention, Steps to a Healthier U.S., Robert Wood Johnson Foundation's Active Living by Design, the Chronic Disease Directors and others. Visit http://www.ymca.net/activateamerica.

About PepsiCo

PepsiCo is one of the world's largest food and beverage companies with annual revenues of $29 billion. Its principal businesses include Frito-Lay snacks, Pepsi-Cola beverages, Gatorade sports drinks, Tropicana juices and Quaker foods. Its portfolio includes 16 brands that generate $1 billion or more in annual retail sales.

About the YMCA

YMCAs build strong kids, strong families and strong communities. YMCA of the USA is the national resource office for the nation's 2,594 YMCAs, collectively the nation's largest not-for-profit community service organization, serving more than 20 million people of all faiths, races, ages and incomes, including more than 9 million children. YMCAs offer a broad range of programs including youth leadership and volunteerism and are collectively the nation's largest providers of quality child care and afterschool programs. Visit http://www.ymca.net.