Indra Nooyi quits PepsiCo as CEO and will step down on October 3, though she will remain Chairman until early 2019. Ramon Laguarta is elected by Board Directors of PepsiCo to take over the reins.
Indra was appointed as Chief Executive Officer in October 2006 and in her tenure she has provided outstanding leadership over the past 12 years.
Under Nooyi’s leadership, PepsiCo has delivered strong results:
- Since December 31, 2006, total shareholder return of 162% through December 31, 2017
- Total cash returned to shareholders through dividends and share repurchases of $79.4 billion since the beginning of 2006 through the end of 2017
- Dividends per share nearly tripled from $1.16 in 2006 to $3.17 in 2017, a compound annual growth rate of nearly 10%
- Net revenue growth from $35 billion in 2006 to $63.5 billion in 2017, a compound annual growth rate of 5.5%
Speaking about Laguarta’s appointment Nooyi said “Ramon Laguarta is exactly the right person to build on our success. He is a terrific executive with a long and proven track record of growing businesses. He has a deep understanding of the changing preferences of consumers and other critical trends unfolding around the world, and he has demonstrated that he knows how to navigate them successfully. Ramon has been a critical partner in running the company, and I’m confident he will take PepsiCo to new and greater heights in the years to come.”
Commenting on his appointment, Mr. Laguarta said, “I’m incredibly humbled and privileged to be appointed the next CEO of PepsiCo, and I want to thank the Board of Directors for the confidence they have placed in me with their decision,” said Laguarta. “I also want to thank Indra for her overwhelming support. She has transformed the company with her bold vision and outstanding leadership, and I feel fortunate to have her as a mentor and a friend. And of course, I want to thank all of my colleagues, as well as the customers, bottlers, partners, and investors who are part of the PepsiCo family. I look forward to working more closely with all of you in the months and years ahead, and to continue growing this special company long into the future.”
Laguarta will become the sixth CEO in PepsiCo’s 53-year history. All have been appointed from within the organization, a testament to PepsiCo’s strong bench of talent and succession planning.
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