We publicly announced a multi-year productivity plan on February 15, 2019 (2019 Productivity Plan) that will leverage new technology and business models to further simplify, harmonize and automate processes; re-engineer our go-to-market and information systems, including deploying the right automation for each market; and simplify our organization and optimize our manufacturing and supply chain footprint.



	9/7/2019
	12 Weeks Ended		36 Weeks Ended
Cost of sales	$	10	$	100
Selling, general and administrative expenses	83		182
Other pension and retiree medical benefits expense	5		—
Total restructuring and impairment charges	$	98	$	282
After-tax amount	$	82	$	225
Net income attributable to PepsiCo per common share	$	0.06	$	0.16



	9/7/2019
	12 Weeks Ended		36 Weeks Ended		Plan to Date
FLNA	$	16	$	22	$	53
QFNA	2		2		7
PBNA	26		42		82
LatAm	22		43		52
ESSA	14		73		81
AMENA	10		63		66
Corporate	3		37		44
	93		282		385
Other pension and retiree medical benefits expense	5		—		35
	$	98	$	282	$	420



	9/7/2019
	12 Weeks Ended		36 Weeks Ended		Plan to Date
Severance and other employee costs	$	65	$	105	$	242
Asset impairments	3		87		87
Other costs ^(a)	30		90		91
	$	98	$	282	$	420

A summary of our 2019 Productivity Plan activity for the 36 weeks ended September 7, 2019 is as follows:



	Severance and Other Employee Costs			Asset Impairments			Other Costs			Total
Liability as of December 29, 2018	$	105		$	—		$	1		$	106
2019 restructuring charges	105			87			90			282
Cash payments ^(a)	(88		)	—			(45		)	(133		)
Non-cash charges and translation	(5		)	(87		)	1			(91		)
Liability as of September 7, 2019	$	117		$	—		$	47		$	164

The majority of the restructuring accrual at September 7, 2019 is expected to be paid by the end of 2019.

We publicly announced a multi-year productivity plan on February 13, 2014 (2014 Productivity Plan) that includes the next generation of productivity initiatives that we believe will strengthen our beverage, food and snack businesses by: accelerating our investment in manufacturing automation; further optimizing our global manufacturing footprint, including closing certain manufacturing facilities; re-engineering our go-to-

market systems in developed markets; expanding shared services; and implementing simplified organization structures to drive efficiency. To build on the 2014 Productivity Plan, in the fourth quarter of 2017, we expanded and extended the plan through the end of 2019 to take advantage of additional opportunities within the initiatives described above to further strengthen our beverage, food and snack businesses.

We have substantially completed our 2014 Productivity Plan and do not expect to incur material charges in 2019 associated with this plan. The pre-tax charges and cash expenditures approximate the original total plan estimates of $1.3 billion and $960 million, respectively.

For the 12 and 36 weeks ended September 7, 2019, there were no material charges related to this plan. Cash payments for the 36 weeks ended September 7, 2019 were $115 million. The accrual related to this plan as of September 7, 2019 is not material and the majority is expected to be paid by the end of 2019.

For further information, refer to Note 3 to our consolidated financial statements in our 2018 Form 10-K.



	9/8/2018
	12 Weeks Ended		36 Weeks Ended
Selling, general and administrative expenses	$	35	$	75
Other pension and retiree medical benefits expense	—		4
Total restructuring and impairment charges	$	35	$	79
After-tax amount	$	31	$	66
Net income attributable to PepsiCo per common share	$	0.02	$	0.05



	9/8/2018
	12 Weeks Ended			36 Weeks Ended
FLNA ^(a)	$	(3	)	$	6
QFNA	—			1
PBNA	13			25
LatAm	6			18
ESSA	17			25
AMENA	2			6
Corporate ^(a)	—			(2		)
	$	35		$	79



	9/8/2018
	12 Weeks Ended		36 Weeks Ended
Severance and other employee costs	$	24	$	48
Asset impairments	3		11
Other costs	8		20
	$	35	$	79

There were no material charges related to other productivity and efficiency initiatives outside the scope of the 2019 and 2014 Productivity Plans.