PepsiCo has said that the floods that have been sweeping Iowa have caused it to close its Quaker production plant in Cedar Rapids.
The plant was closed on Wednesday (11 June) and the company described the situation assessment as “ongoing”.
PepsiCo said that it anticipates disruption to normal services over the next few weeks, including product allocation to retailers of some Quaker food and snack items.
PepsiCo reiterated its full year guidance, as insurance is coving any losses resulting from the flooding.
The company also said that although flooding throughout the Mid-West is interrupting grain planting, it is largely covered for key commodities throughout 2008 and into 2009.
The maker of Quaker and Frito-Lay foods restated FY2008 EPS guidance of US$3.72.
