By Chris Wack

Subway said it is has entered into a 10-year agreement with PepsiCo to supply its beverages in U.S. restaurants beginning Jan. 1, 2025.

The restaurant company also said its Frito-Lay contract will be extended through 2030, bringing the brand's U.S. snack and beverage portfolio together under one supplier.

Under the new agreement, Subway restaurants will offer an assortment of beverages from the diverse PepsiCo beverages portfolio. Subway franchisees will also have the option to offer a larger selection of Gatorade beverages. The change will include new beverage equipment provided to restaurants.

PepsiCo is the current Subway beverage provider in several regions around the world, including Canada, Germany, the Nordic countries and the Netherlands.

The company has contracted with Coca-Cola for drinks since 2005.

Write to Chris Wack at

(END) Dow Jones Newswires

03-19-24 0947ET