Pepsi - Cola, Frito - Lay Get SEC Notification

[Khephra]

NEW YORK (AP) -- The Pepsi-Cola and Frito-Lay divisions of PepsiCo Inc. have been notified by the staff of the Securities and Exchange Commission that it will recommend bringing a civil action against the units, the company said Friday.

The SEC is alleging that a non-executive employee at Pepsi-Cola and another at Frito-Lay signed documents in early 2001 prepared by what is now called Kmart Holding Corp. acknowledging payments of $3 million from Pepsi-Cola and $2.8 million from Frito-Lay.

more...........

http://www.nytimes.com/aponline/business/AP-PepsiCo-SEC.html

[The Backlash Cometh]

1. SEC Certified.

The day has come where a company will be considered a good invesement only after the SEC has had a chance to straighten out their books.