Pepsi Launches New Sierra Mist In Region With Series Of Commorative Kentucky Derby History Cans

LOUISVILLE, Ky. (Jan. 27, 2003) - PepsiAmericas of Kentuckiana has joined Churchill Downs in paying tribute to the history of the Kentucky Derby in its regional rollout of Pepsi's new Sierra Mist lemon/lime product, which will be introduced locally in a series of commemorative cans that list the names of a decade of winners of the world famous "Run for the Roses."

The first of 12 "Derby Decades Dozen" commemorative cans of Sierra Mist - which will be available in retail outlets in 69 counties in Kentucky, Indiana and Illinois - will include the names of the first decade of Kentucky Derby winners. That list begins with Aristides, the winner of the inaugural Kentucky Derby on May 17, 1875.

Pepsi began distribution of Sierra Mist in that first commemorative can on Monday, Jan. 27. Subsequent cans in the "Derby Decades Dozen" collection will be introduced every two weeks through the end of Churchill Downs' April 26-July 6 Spring Meet. The final can in the commemorative collection is scheduled to include the winner of this year's 129th renewal of the Kentucky Derby on May 3.

Introduced in 1999-2000, Sierra Mist was formerly available in about 50% of the United States. Sierra Mist, also available in Diet, is marketed as a "shockingly refreshing" alternative to existing lemon-lime soft drinks and launched a new wave of advertising during this year's NFL Super Bowl. Its more interesting lemon-lime taste is broadly targeted to teens and young adults.

Collectors of the commemorative "Derby Decades Dozen" cans of Sierra Mist also have an opportunity to win a replica of the saddlecloth worn by the winner of this year's Kentucky Derby. Racing fans that bring all 12 of the commemorative cans to Churchill Downs on Sunday, July 6 - the closing day of the 2003 Spring Meet - will be granted free admission to the track and will be registered for a drawing for that Kentucky Derby saddlecloth. The Grand Prize winner will be announced in the Churchill Downs winner's circle following that day's final race.

"The rollout of the new Sierra Mist in its series of special cans that commemorate Kentucky Derby history is a great example of how Churchill Downs' strong partnership with Pepsi benefits both companies," said Tyrone Tubbs, Churchill Downs Incorporated vice president of Sales. "The linking of this new product with the great tradition of the Kentucky Derby brand provides Pepsi with an opportunity to positively impact the sales of an exciting new product and allows Churchill Downs a significant opportunity to increase the exposure of its historic marquee event."

Sierra Mist is a product of Purchase, NY-based Pepsi-Cola North America (www.pepsi.com), the $4 billion refreshment beverage unit of PepsiCo, Inc. in the United States and Canada. Its U.S. brands include Pepsi, Diet Pepsi, Pepsi ONE, Wild Cherry Pepsi, Pepsi Twist, Mountain Dew, Mountain Dew Code Red, Mug, Slice, Aquafina, FruitWorks, Dole single-serve juices, and the SoBe line. The company also makes and markets North America's best-selling ready-to-drink iced teas and coffees, respectively, via joint ventures with Lipton and Starbucks.

Churchill Downs, the world's most legendary racetrack, has conducted Thoroughbred racing and presented America's greatest race, the Kentucky Derby, continuously since 1875. Located in Louisville, Ky., the flagship racetrack of Churchill Downs Incorporated (Nasdaq: CHDN) also operates Trackside Louisville, an off-track betting facility. Churchill Downs will conduct the 129th running of the Kentucky Derby on May 3, 2003. The track has served as host to the Breeders' Cup World Thoroughbred Championships a record five times. The 2003 Spring Meet at Churchill Downs is scheduled for April 26 through July 6.

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