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Issue Date: Vol. 52, No. 8, August 2012, Posted On: 7/10/2012

PepsiCo And Germany's Theo Muller Bring European-Style Yogurt To U.S.

Emily Jed
PepsiCo Inc., European-Style yogurts, Greek yogurt, yogurt joint venture, Theo Muller Group, diary, Muller Quaker Dairy, U.S. dairy market

PepsiCo, Muller Yogurt

PURCHASE, NY -- PepsiCo Inc. will begin selling premium European-Style yogurts this month through its U.S. joint venture with German dairy Theo Muller Group. The partnership -- Muller Quaker Dairy -- marks both companies' entries into the U.S. dairy market.

Muller-branded yogurts rolling out in supermarket and club stores in the Northeast and mid-Atlantic include conventional and Greek square varieties with separate add-ins like granola and caramelized almonds in one corner of the square container. Also making its U.S. debut is FrutUp, packaged with fruits like blueberry and cherry atop the yogurt for consumers to stir in.

"As we've seen through the success of our dairy business in other parts of the world, this is a category with strong growth prospects," said PepsiCo chief scientific officer Mehmood Khan, M.D.

PepsiCo said the joint venture will leverage its distribution capabilities, brand recognition and research and development know-how, combined with Theo Muller's dairy expertise.

The companies are building a $206 million yogurt manufacturing plant in Batavia, NY, that will employ some 180 people and produce 5 billion cups of yogurt a year. | SEE STORY

PepsiCo entered the global dairy products arena with its 2011 acquisition of Wimm-Bill-Dann, Russia's largest dairy company. It has also been part of a joint venture with Almarai, Saudi Arabia's largest dairy company, since 2009.

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