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53
Report of Independent Registered
Public Accounting Firm
The Board of Directors and Shareholders
YUM! Brands, Inc.:
We have audited the accompanying consolidated balance sheets of YUM! Brands, Inc. and Subsidiaries (“YUM”)
as of December 29, 2007 and December 30, 2006, and the related consolidated statements of income, cash
flows and shareholders’ equity and comprehensive income for each of the years in the three-year period ended
December 29, 2007. These consolidated financial statements are the responsibility of YUM’s management. Our
responsibility is to express an opinion on these consolidated financial statements based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board
(United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing
the accounting principles used and significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements referred to above present fairly, in all material respects,
the financial position of YUM as of December 29, 2007 and December 30, 2006, and the results of its operations
and its cash flows for each of the years in the three-year period ended December 29, 2007, in conformity with U.S.
generally accepted accounting principles.
As discussed in the Notes to the consolidated financial statements, YUM adopted the provisions of the Financial
Accounting Standards Board Interpretation No. 48, Accounting for Uncertainty in Income Taxes, in 2007, Statement
of Financial Accounting Standards (SFAS) No. 158, Employers’ Accounting for Defined Benefit Pension and Other
Postretirement Plans, and Staff Accounting Bulletin No. 108, Considering the Effects of Prior Year Misstatements when
Quantifying Misstatements in the Current Year, in 2006, and SFAS No. 123R, Share-based Payment, in 2005.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board
(United States), YUM’s internal control over financial reporting as of December 29, 2007, based on criteria estab-
lished in Internal Control— Integrated Framework issued by the Committee of Sponsoring Organizations of the
Treadway Commission, and our report dated February 25, 2008 expressed an unqualified opinion on the effective-
ness of internal control over financial reporting.
KPMG LLP
Louisville, Kentucky
February 25, 2008