Hi;
Lots of questions, lots of worries. The short answer is that you are in good shape right now with PEP. And things are going to get better, even if you do nothing.
First, read this newsletter from Mark Johnson, right here on SI:
siliconinvestor.com
Next, remember, that the restaurant shares are still not trading, even as "when issued" securities, so you can't yet sell them. So for now, sit back and enjoy. The time to make the decision about the restaurant stock will be near the end of this year, as we get closer to the actual distribution date.
Try to also remember that right now, it is difficult to find a pizza shop, or a fast food restaurant that offers Pepsi, or any of their products. The reason is because Pepsi owns restaurants that are in direct competition with these outlets. When the restaurants are spun off, you will start finding Pepsi with wider distribution. This will help the bottom line, which will help the stock.
A final wildcard. If PEP ever gets their overseas distribution act together, watch out!! They will then be able to finally give Coke a run for their money. But this is still a couple of years away.
Hope this helps.
Mark |
