Also Looking at the figures below, answer the following Questions to be addresse

Question

Also Looking at the figures below, answer the following

Questions to be addressed by this analysis are basic questions such as:
•   What is the financial health of this company?
•   Would you work for this company?
•   Would you lend money to this company?
•   Would you invest in this company? etc.
•   Students should show support for all the answers.

OUR FINANCIAL RESULTS

Items Affecting Comparability

The year-over-year comparisons of our financial results are affected by the following items:

2015

2014

2013

Operating profit

Mark-to-market net gains/(losses)

$

11

$

(68

)

$

(72

)

Restructuring and impairment charges

$

(230

)

$

(418

)

$

(163

)

Pension-related settlement benefits/(charge)

$

67

$

(141

)

$

—

Charge related to the transaction with Tingyi

$

(73

)

$

—

$

—

Venezuela impairment charges

$

(1,359

)

$

—

$

—

Venezuela remeasurement charges

$

—

$

(105

)

$

(111

)

Merger and integration charges

$

—

$

—

$

(10

)

Net income attributable to PepsiCo

Mark-to-market net gains/(losses)

$

8

$

(44

)

$

(44

)

Restructuring and impairment charges

$

(184

)

$

(316

)

$

(129

)

Pension-related settlement benefits/(charge)

$

42

$

(88

)

$

—

Charge related to the transaction with Tingyi

$

(73

)

$

—

$

—

Venezuela impairment charges

$

(1,359

)

$

—

$

—

Venezuela remeasurement charges

$

—

$

(105

)

$

(111

)

Merger and integration charges

$

—

$

—

$

(8

)

Tax benefits

$

230

$

—

$

209

Net income attributable to PepsiCo per common share – diluted

Mark-to-market net gains/(losses)

$

—

$

(0.03

)

$

(0.03

)

Restructuring and impairment charges

$

(0.12

)

$

(0.21

)

$

(0.08

)

Pension-related settlement benefits/(charge)

$

0.03

$

(0.06

)

$

—

Charge related to the transaction with Tingyi

$

(0.05

)

$

—

$

—

Venezuela impairment charges

$

(0.91

)

$

—

$

—

Venezuela remeasurement charges

$

—

$

(0.07

)

$

(0.07

)

Merger and integration charges

$

—

$

—

$

(0.01

)

Tax benefits

$

0.15

$

—

$

0.13

2015

2014

2013

Operating profit

Mark-to-market net gains/(losses)

$

11

$

(68

)

$

(72

)

Restructuring and impairment charges

$

(230

)

$

(418

)

$

(163

)

Pension-related settlement benefits/(charge)

$

67

$

(141

)

$

—

Charge related to the transaction with Tingyi

$

(73

)

$

—

$

—

Venezuela impairment charges

$

(1,359

)

$

—

$

—

Venezuela remeasurement charges

$

—

$

(105

)

$

(111

)

Merger and integration charges

$

—

$

—

$

(10

)

Net income attributable to PepsiCo

Mark-to-market net gains/(losses)

$

8

$

(44

)

$

(44

)

Restructuring and impairment charges

$

(184

)

$

(316

)

$

(129

)

Pension-related settlement benefits/(charge)

$

42

$

(88

)

$

—

Charge related to the transaction with Tingyi

$

(73

)

$

—

$

—

Venezuela impairment charges

$

(1,359

)

$

—

$

—

Venezuela remeasurement charges

$

—

$

(105

)

$

(111

)

Merger and integration charges

$

—

$

—

$

(8

)

Tax benefits

$

230

$

—

$

209

Net income attributable to PepsiCo per common share – diluted

Mark-to-market net gains/(losses)

$

—

$

(0.03

)

$

(0.03

)

Restructuring and impairment charges

$

(0.12

)

$

(0.21

)

$

(0.08

)

Pension-related settlement benefits/(charge)

$

0.03

$

(0.06

)

$

—

Charge related to the transaction with Tingyi

$

(0.05

)

$

—

$

—

Venezuela impairment charges

$

(0.91

)

$

—

$

—

Venezuela remeasurement charges

$

—

$

(0.07

)

$

(0.07

)

Merger and integration charges

$

—

$

—

$

(0.01

)

Tax benefits

$

0.15

$

—

$

0.13

Explanation / Answer

A) The financial health of the company is not looking good as it has lot of implicit cost including which leads to huge outflow of cost. There is no scenerio of savings in the present conditions.There is a huge impairment cost indulge as well as restructuring cost which leads to huge outflow.

B) It would love to work for the this company as it take an new shape by restructing & Imparing their assets.They are also distributing to their holding companies which is a good example of a successful comapanies.

C) In the presemt scenerio, it is not preferable to lend the money to the comapany as its goes into restructuring & impairment phase.

D) In the present scenerio i would not invest money, but after there restructing & impairment will invest if certain things should have been take into places.Because if i will invest now there will be no Short term as well long term income generation, so there is no point of investing the money into the company.

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