Drinks giants see double on buying

15 October 2009

16 October 2009 | Allie Anderson

Beverage manufacturers PepsiCo and Anheuser-Busch have agreed a deal for the joint buying of indirect goods and services in the US.

Purchasers from both companies will collaborate on common areas of spend including IT hardware, office supplies, travel and facilities.

Targeted savings have yet to be announced but will be reinvested into both companies. The firms refused to reveal the amount of spend covered under the agreement.

Based in St Louis, Missouri, Anheuser-Busch is owned by Belgium-based Anheuser-Busch InBev (AB InBev), the world's largest brewer. Its brands include Budweiser, Stella Artois and Beck's.

The deal with PepsiCo, the global soft drinks and snacks manufacturer based in Purchase, New York, will allow both companies to buy goods and services more efficiently and at better prices. The firms already work together to purchase other common goods and services and AmBev, a subsidiary of AB InBev, has been a bottler for PepsiCo since 1997.

James Ellis, dean of the University of Southern California, told Reuters: "They're in businesses that are not necessarily competing, but they're looking for similar types of goods. It's a great way to leverage their buying power."


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