) American snack division, Frito-Lay, recently announced the
launch of new tortilla chips under its Doritos brand.
The new Doritos Locos Tacos (DLT) Tortilla Chips will bring
together a combination of PepsiCo's billion dollar brand, Doritos
tortilla chips and Taco Bell's, Doritos Locos Tacos (DLT) in a
chip bag. The Doritos Locos Tacos (DLT) Tortilla Chips is the
latest addition to the Frito-Lay and Taco Bell partnership. Taco
Bell is a subsidiary of
Yum! Brands, Inc.,
Last week, Frito-Lay announced the launch of 2 new
Tapatio-flavored Frito-Lay snacks, Lay's Tapatio Limon flavored
potato chips and Cheetos Tapatio flavored snacks.
The Frito-Lay segment manufactures and sells cereals, rice,
pasta, dairy and other branded products and includes some popular
names like Quaker oatmeal, Aunt Jemima mixes and syrups, Quaker
grits, Cap'n Crunch cereal, Life cereal among others.
The segment did significantly well in the fourth quarter of
2012, results of which were announced in mid-February this year.
Segment organic revenues grew 5% fueled largely by volume growth
and improved market share trends due to stepped-up advertising
support. Profits also increased as organic top-line growth and
productivity benefits were partially offset by the commodity cost
headwinds and increased marketing expenses.
PepsiCo was in news recently for rumors of its possible merger
with food giant,
The Telegraph of London
reported last month that activist investor Nelson Peltz is fast
building stakes in PepsiCo and Mondelez, possibly in pursuit of a
large $170 billion merger of the consumer giants.
The news daily conjectured that Peltz may push PepsiCo to
either take over Mondelez or split it up into 2 separate
companies. PepsiCo has, however, denied rumors and issued a
statement stating that it is not interested in large
Mondelez emerged from the split of Kraft Foods, Inc last year
into 2 separate companies, Mondelez and
Kraft Foods Group
PepsiCo carries a Zacks Rank #3 (Hold).
KRAFT FOODS GRP (KRFT): Free Stock Analysis
MONDELEZ INTL (MDLZ): Free Stock Analysis
PEPSICO INC (PEP): Free Stock Analysis Report
YUM! BRANDS INC (YUM): Free Stock Analysis
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