US: Pepsi bottlers form venture in north-west

By just-drinks.com editorial team | 18 July 2006

Seventeen Pepsi bottlers, including "anchor bottler" The Pepsi Bottling Group, have formed a regional manufacturing joint venture in the US, called Pepsi Northwest Beverages (PNB).

Operating in the Pacific Northwest region of the country, the new entity will include PBG's manufacturing plants in Seattle and Portland, Oregon, and three bottler-owned co-ops.

PNB will manufacture and source products to the states of Washington, Oregon and Idaho, as well as one market in Northern California and all of Alaska. The venture will handle around 3% of PepsiCo's volumes in the US.

PBG's executive vice president of worldwide operations, Gary Wandschneider, said yesterday (17 July): "As many of our larger customers have consolidated their businesses, they've asked their suppliers for greater uniformity across their operations."

Tom Connolly, a 15-year veteran of PBG, has been appointed general manager of PNB. He most recently served as PBG's director of infrastructure and has also been plant manager for two PBG manufacturing facilities. PNB will be based in Tumwater, Washington and employ around 300 people.

PBG, the world's largest manufacturer, seller and distributor of PepsiCo beverages, will own 56% of the PNB joint venture.

Sectors: Soft drinks, Water

Companies: Pepsi, PBG