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KFC United States beverage supplier transition

Updated 4 times since CLSTR started tracking revisions of this situation.

What changed

2026-10-19 14:48 UTC → 2026-10-25 20:34 UTC · added removed

KFC has announced it will transition is transitioning its United States beverage supplier from PepsiCo to Coca-Cola, ending a partnership that has lasted nearly 40 years. since 1986. The transition is scheduled to begin in January 2027, with Coca-Cola products expected to be available across all approximately 3,718 U.S. locations by spring 2027. The shift is part of a strategic initiative by Yum! Brands called the ‘Kentucky Fried Comeback,’ which aims to modernize the menu and revitalize the brand to better meet changing consumer tastes. brand. KFC U.S. President Catherine Tan-Gillespie described the move as a ‘critical step’ in this effort to evolve the brand and create creating a ‘more relevant experience for today’s customers.’ This decision marks In response to the end loss of a relationship dating back to 1986, a period when PepsiCo owned the fast-food chain. Although KFC U.S. account, PepsiCo spun off its restaurant division in 1997, it continued has secured an 11-year agreement to serve as remain the primary beverage provider partner for KFC under its new parent company, Yum! Brands. Taco Bell through 2036. This deal covers participating Taco Bell restaurants, Taco Bell Cantina, and Live Más Cafe locations in the United States, as well as locations in Canada, the United Kingdom, Ireland, and Thailand. The agreement ensures the continued supply of brands such as Pepsi, Pepsi Zero Sugar, Mountain Dew, and Starry, including exclusives like Mountain Dew Baja Blast. While PepsiCo loses the U.S. domestic KFC contract, it will maintain beverage agreements with Taco Bell and KFC’s international markets. markets and continues its partnership with Taco Bell. The loss of the KFC account represents a setback for PepsiCo as it navigates rising costs, sluggish beverage sales, costs and pressure from activist investor Elliott Investment Management. Although the financial terms of the new agreement were not disclosed, Management, while the partnership marks Taco Bell renewal serves as a significant strategic win for Coca-Cola. move to mitigate the impact within the Yum! Brands ecosystem.

Versions

  1. 2026-10-25 20:34 UTC KFC United States beverage supplier transition
  2. 2026-10-19 14:48 UTC KFC United States beverage supplier transition
  3. 2026-10-19 07:12 UTC KFC United States beverage supplier transition
  4. 2026-10-18 07:43 UTC KFC United States beverage supplier transition
  5. 2026-10-18 07:26 UTC KFC United States beverage supplier transition

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