PepsiCo (PBNA) Laid off 9 drivers

from what i have read, posted on the video, they are moving to Mexico and to North Carolina, both non-union locations, and from that, shutting down the Milwaukee location for good. don't see where Master Lock is going out of business.

 

Abit of an eye opener. I don’t really like using their locks tho since you can open them up with a few attempts at sweeping (or I think the lock pickers call it racking?)

 

a couple of companies i drove for, supplied us with Master Locks. we were told to put them on all trailers we pulled, loaded or empty.

we was told if the trailers got broken into, at the very least it satisfied the insurance company we had locks on the doors.

 

Not hard to see why.

PepsiCo has done little to drive serious innovation in the beverage space since Indra Nooyi left the helm. We see rehashes of old products circling back around more often than before. The last major innovation was the Pure Leaf tea line and that’s got to be over 10 years ago at this point.

The seltzer pushes with Schweppes in 2014 were great, but with the shrink to the package sizing typically offered now (8 12oz cans instead of 12), they’re pushing away volume and margin to the local bottlers like Polar for sparkling demand.

The days of 5/10 fridgemates, 10/10 2 liters are long gone.

Single serve pricing has skyrocketed across the board at C-Stores, all due to inflation, fuel costs etc.

The country’s appetite for soda is generally in decline.

Take home products are supposed to drive volume and cold bev (single serve) is supposed to drive margin. But if your take home products are routinely priced with cold bev pricing, you’re losing volume and negatively impacting economy of scale in the manufacturing operation.

Once the numbers on the manufacturing operations look grim, that’s when the layoff discussions and delivery territory reshuffles happen.

 

They are not laying off because their business is down. Typical corporate BS moves of cutting as many good paying jobs as possible to satisfy Wall Street and fund the CEO Bonuses. They are clearly moving more and more of their products on common carriers who are hauling it practically for free currently. I no longer own any PepsiCo stock outside of my mutual funds, but it is still an excellent stock to own long term.

 

The problem at PepsiCo is not $100,000 a year Transport Drivers.