Pepsi Bottling Group (PBG)

The Pepsi Bottling Group Raises Second Quarter and Full-Year 2009 Earnings Guidance

• Q2 2009 Comparable EPS Guidance Raised by Five Cents to $0.70 – $0.74

• Full-Year 2009 Comparable EPS Guidance Raised by 10 Cents to $2.30 – $2.40

• PBG to Host Conference Call Today at 8:30 a.m. EDT

SOMERS, N.Y.--(BUSINESS WIRE)--June 2, 2009--The Pepsi Bottling Group, Inc. (NYSE: PBG) today announced that it has raised its second quarter and 2009 earnings guidance. The company now expects to deliver comparable diluted earnings per share (EPS) of $0.70 to $0.74 in the second quarter, a five cent increase from its previous guidance range.

For the full-year, PBG now expects comparable diluted EPS in the range of $2.30 to $2.40, up 10 cents from the company’s previous forecast. The company also raised its full-year operating free cash flow guidance by $25 million to $525 million.

Among the key drivers of the company’s revised outlook are: improved carbonated soft drink performance in the United States; decreased volatility in foreign currencies; and continued commodity cost deflation.

“PBG’s strong start to the year has continued in the second quarter. Improving fundamentals in our U.S. and Canada business, coupled with the success of our global pricing strategy, are producing solid results. We’re also delivering significant cost and productivity savings and superior execution at the point of sale. At the same time, we’re beginning to see favorable trends within our sector as well as in the commodity and foreign currency markets. As a result, our performance continues to exceed our expectations and we are raising our guidance,” said PBG Chairman and Chief Executive Officer Eric Foss.

“Our focus for the balance of the year and beyond will remain on strengthening our brand portfolio, transforming our performance through operational excellence, and pursuing geographic growth opportunities,” Foss continued. “As global economies recover and the liquid refreshment category rebounds, PBG will be well positioned to win in the marketplace and create shareholder value.”