PRICING SUPPLEMENT NUMBER 26 Filed Under Rule
(To Prospectus dated January 11, 1995) 424(b)(2) and 424(c)
CUSIP 71345L DM 7 File No. 33-57181
$25,000,000
PEPSICO, INC.
Step-Up Notes Due November 15, 2010
Interest Payable Semiannually
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Underwriter: Smith Barney Inc.
Initial Offering Price: 100.00%
Underwriter's Discount: 0.00%
Currency: U. S. Dollars
Date of Issue: November 15, 1995
Issuance form: Book entry
Scheduled Maturity Date: November 15, 2010
Interest Rate: November 15, 1995-November 14, 1997 7.00%
November 15, 1997-November 14, 1998 7.05%
November 15, 1998-November 14, 1999 7.10%
November 15, 1999-November 14, 2000 7.15%
November 15, 2000-November 14, 2001 7.20%
November 15, 2001-November 14, 2002 7.25%
November 15, 2002-November 14, 2003 7.30%
November 15, 2003-November 14, 2004 7.35%
November 15, 2004-November 14, 2005 7.40%
November 15, 2005-November 14, 2006 7.45%
November 15, 2006-November 14, 2007 7.50%
November 15, 2007-November 14, 2008 7.55%
November 15, 2008-November 15, 2009 7.75%
November 15, 2009-November 14, 2010 8.00%
Day count basis: 30/360
Interest Accrual Date: November 15, 1995, or the most recent date for which
interest has been paid or provided for, as the case may be. Interest will
accrue from each Interest Accrual Date to but excluding the next succeeding
Interest Payment Date.
Interest Payment Dates: Semiannually on the 15th of May and November,
commencing May 15, 1996, and ending on the Scheduled Maturity Date or
an earlier Optional Redemption Date.
Principal Payment Dates: Scheduled Maturity Date, or an earlier
Optional Redemption Date.
Business Days: New York
Calculation Agent: PepsiCo, Inc.
Optional Redemption Dates: The Step-Up Notes Due November 15, 2010
(the "Notes") may be redeemed, in whole but not in part, at the option of
PepsiCo, at 100% of the principal amount thereof, plus accrued interest to
the date of such redemption, on November 15, 1997, or any subsequent
Interest Payment Date prior to the Scheduled Maturity Date, upon 30 days'
written notice by PepsiCo to the holders of such Notes.
Option to elect prepayment: None
Sinking fund: Not applicable
Settlement Date: November 15, 1995
The Notes will be purchased by the Underwriter at 100.00% of their
principal amount (the "Initial Offering Price"). The Underwriter has
advised PepsiCo that it intends to offer all or part of the Notes
directly to the public initially at the Initial Offering Price of such
Notes. After the Notes are released for sale to the public, the
offering price and other selling terms may from time to time be varied
by the Underwriter.
For U.S. federal income tax purposes, the Notes will be treated as
Fixed Rate Debt Securities, issued without OID. This treatment is
consistent with the applicable provisions of the Internal Revenue Code
of 1986, as amended, and the final OID regulations, which are generally
effective for debt instruments issued on or after April 4, 1994.
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Smith Barney Inc.
____________________________
October 31, 1995
