Pepsi 2015 Annual Report Download - page 130

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Table of Contents
113
Tingyi-Asahi Beverages Holding Co. Ltd. Call Option
In connection with our transaction with Tingyi in the second quarter of 2012, we received a call option to
increase our holding in TAB to 20% that expired in the fourth quarter of 2015. During the third quarter of
2015, we concluded that the probability of exercising the option prior to its expiration was remote and,
accordingly, we recorded a pre- and after-tax charge of $73 million ($0.05 per share) to write off the value
of this call option. See “Items Affecting Comparability” in Management’s Discussion and Analysis of
Financial Condition and Results of Operations. The write-off of this call option did not impact the value of
our 5% indirect equity interest in TAB, which was $538 million as of December 26, 2015. We continue to
monitor the impact of economic and other developments on our investment in TAB.