International BusinessPepsiCo announces $1 bn investment in Russia
US soft drink giant PepsiCo said today it would boost investment in Russia by $1 billion, topping the list of US trade deals expected during President Barack Obama"s visit to Moscow this week.
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The increased investment will bring PepsiCo"s total outlay in Russia to $4 billion, the company said in a statement, adding the investment would be spread over the next three years.
"I am delighted to announce that over three years we expect to invest $1 billion in our beverage and food businesses in Russia," PepsiCo chief executive Indra Nooyi said in the statement.
"This investment reflects very clearly our great confidence in Russia and our long-term commitment to this very important market," he added.
PepsiCo is among the US firms to participate in a US-Russian business summit tomorrow that aims to capitalise on a "reset" of ties expected from Obama"s meeting with Russian president Dmitry Medvedev.
"Investors hope to hear some positive comments — the start of a process that "clears the air" on a number of investment issues, as well as in the political sphere," said Chris Weafer, chief strategist at UralSib bank.