Pepsi 2014 Annual Report Download - page 142

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Item 7A. Quantitative and Qualitative Disclosures About Market Risk.
Included in “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations
– Our Business Risks.”
Item 8. Financial Statements and Supplementary Data.
See “Item 15. Exhibits and Financial Statement Schedules.”
Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure.
Not applicable.
Item 9A. Controls and Procedures.
(a) Disclosure Controls and Procedures. As of the end of the period covered by this report, we carried out
an evaluation, under the supervision and with the participation of our management, including our Chief
Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of our
disclosure controls and procedures, as such term is defined in Rules 13a-15(e) and 15d-15(e) of the Securities
Exchange Act of 1934, as amended (the Exchange Act). Based upon that evaluation, our Chief Executive
Officer and Chief Financial Officer concluded that as of the end of the period covered by this report our
disclosure controls and procedures were effective to ensure that information required to be disclosed by us
in reports we file or submit under the Exchange Act is (1) recorded, processed, summarized and reported
within the time periods specified in Securities and Exchange Commission rules and forms, and
(2) accumulated and communicated to our management, including our Chief Executive Officer and Chief
Financial Officer, as appropriate, to allow timely decisions regarding required disclosure.
(b) Management’s Annual Report on Internal Control over Financial Reporting. Our management is
responsible for establishing and maintaining adequate internal control over financial reporting, as such term
is defined in Rule 13a-15(f) of the Exchange Act. Under the supervision and with the participation of our
management, including our Chief Executive Officer and Chief Financial Officer, we conducted an evaluation
of the effectiveness of our internal control over financial reporting based upon criteria established in Internal
Control – Integrated Framework (2013) by the Committee of Sponsoring Organizations of the Treadway
Commission. Based on that evaluation, our management concluded that our internal control over financial
reporting was effective as of December 27, 2014.
Attestation Report of the Registered Public Accounting Firm. KPMG LLP, an independent registered public
accounting firm, has audited the consolidated financial statements included in this Annual Report on Form
10-K and, as part of their audit, has issued their report, included herein, on the effectiveness of our internal
control over financial reporting.
(c) Changes in Internal Control over Financial Reporting. During our fourth fiscal quarter of 2014, we
continued migrating certain of our financial processing systems to an enterprise-wide systems solution. These
systems implementations are part of our ongoing global business transformation initiative, and we plan to
continue implementing such systems throughout other parts of our businesses over the course of the next
few years. In connection with these implementations and resulting business process changes, we continue
to enhance the design and documentation of our internal control over financial reporting processes to maintain
effective controls over our financial reporting.
Except as described above, there were no changes in our internal control over financial reporting during our
fourth fiscal quarter of 2014 that have materially affected, or are reasonably likely to materially affect, our
internal control over financial reporting.
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