PLANO -- There is word Thursday of massive job cuts coming for Pepsi and Plano-based Frito-Lay.
There was speculation the two companies would split apart today, but instead they will remain part of one company under the name PepsiCo Inc.
But that company will have 8,700 fewer employees. That is three percent of the company's workforce.
Pepsi has struggled of late falling to the number three spot in the U.S. soda market. It is battling beverage giant Coke.
Analysts say one challenge facing Pepsi is trying to run a massive beverage business and the world's biggest snack business under one roof.
Pepsico stock is dipping with the news. Stock is down $2.25, trading at about $64.50 a share at noon Central time.