SEC Rules In Favor of As You Sow Shareholder Proposal at PepsiCo on Flexible Plastics
FOR IMMEDIATE RELEASE
SEC Rules In Favor of As You Sow Shareholder Proposal at PepsiCo on Flexible Plastics
As You Sow’s proposal urges PepsiCo to make its flexible packaging recyclable or phase it out in the United States
MEDIA CONTACT: Ryon Harms, ryon@asyousow.org, (310) 579-2188
EL CERRITO, CA—March 13, 2025—Today, As You Sow announced that the U.S. Securities and Exchange Commission (SEC) has determined that shareholder representative As You Sow’s proposal calling for Pepsi Co to reduce its use of non-recyclable flexible plastic packaging, should remain on the Company’s proxy statement.
“The SEC’s decision in favor of our resolution indicates that plastic pollution is a material economic risk that must be addressed,” said Conrad MacKerron, Senior Vice President, As You Sow. “Shareholders need immediate action from Pepsi to eliminate flexibles, which can’t be recycled in the U.S. through expansion of reusable packaging or transition to truly recyclable material.”
The SEC’s decision at Pepsi is the second Circular Economy-related proposal from As You Sow to overcome a no-action challenge on plastic pollution despite stricter guidance from the new administration. Shareholders will now have an opportunity to vote on the proposal at Pepsi’s annual general meeting expected in May, 2025.
Despite its stated commitments to sustainable packaging, more than 18% of PepsiCo’s packaging remains in non-recyclable flexible packaging, especially in its Frito Lay snack division. Flexible packaging is one of the fastest growing packaging sectors and a major contributor to global plastic pollution. Flexible packaging refers to both single layer plastic films such those used for grocery bags and overwraps for food, and multi-material films used for potato chip bags, pouches and sachets.
Pepsi is behind in its 2025 goals for reusable packaging, recyclable packaging in practice and at scale, and plastic reduction. In fact, the soda and food company has increased plastic use by more than 5% since 2020.
# # #
About As You Sow
As You Sow is the nation’s leading shareholder representative, with a 30-year track record promoting environmental and social corporate responsibility. Its focus areas include climate change, ocean plastics, toxins in the food system, the Rights of Nature, racial justice, and workplace diversity. Click here to view As You Sow’s shareholder resolution tracker.