The Purchase, N.Y., beverage giant said Friday that the recently concluded audit agreement would result in a noncash benefit 36 cents a share, offsetting a just-announced plan to consolidate its Frito-Lay North America division into 32 sites from 34 sites.
The downsizing will result in the cutting of 387 jobs, and a charge of about $66 million, or 3 cents a share, in the fourth quarter.
Taken together, both items will now result in full-year EPS of at least $3.31, Pepsi said. The company's core EPS guidance of at least $2.98 is unchanged.
The company also reaffirmed its full-year 2006 cash flow guidance of approximately $6.2 billion in cash from operating activities, $2.2 billion in capital spending and $3 billion in share repurchases.
Shares of Pepsi were recently up 19 cents in after-hours trading to $63.