KFC will replace Pepsi products with Coca-Cola beverages at its U.S. restaurants, ending a supply relationship that began in 1986, according to the announcement described in the supplied report. The change is scheduled to start in January 2027, and the companies expect Coca-Cola products to be available throughout KFC’s U.S. system by spring.
The agreement covers approximately 3,700 U.S. locations. KFC said the partnership could also create opportunities for additional drinks and combinations of food and beverages, though the announcement did not identify specific new menu items.
KFC President Catherine Tan-Gillespie characterized the deal as part of the chain’s effort to update its customer experience and strengthen its restaurants and menu. In a statement, she described KFC and Coca-Cola as established brands and said the partnership was intended to support the company’s broader effort to keep its offerings relevant to customers.
Dagmar Boggs, Coca-Cola’s president of foodservice and on-premise, also welcomed the agreement. Her statement pointed to the possibility of pairing KFC food with Coca-Cola’s beverage range and developing new customer experiences and growth opportunities.
The companies’ beverage relationship has continued through changes in corporate ownership. PepsiCo acquired KFC in 1986. After KFC was spun off in 1997, PepsiCo continued supplying beverages to the chain through Yum! Brands, KFC’s parent company.
The change applies to KFC’s U.S. restaurants. The report says PepsiCo retains beverage agreements with other major restaurant chains and, citing Reuters, notes that agreements covering Taco Bell and KFC locations outside the United States were recently renewed. It does not provide further details about the terms of those renewals.
