1. Striking the Right Balance The Beverage Industry’s School Beverage Guidelines Developed in conjunction with:

2. May 3, 2006: New guidelines announced at press conference with former President Clinton, Gov. Mike Huckabee (R-AR) and representatives from American Heart Association, American Beverage Association, Cadbury Schweppes, Coca-Cola and PepsiCo Alliance for a Healthier Generation School Beverage Guidelines

3. “This is a truly significant thing for an industry to do. Not entirely free of risks on their part... And they did it, I believe, because... they care about the future of our young people. And I'm very grateful to them.” - Former President Bill Clinton at May 3, 2006 press conference

4. Alliance for a Healthier Generation School Beverage Guidelines Elementary schools:  Bottled water  Up to 8 oz. servings of low- or non-fat milk and nutrient-rich 100% juice with no added sweeteners and ≤ 120 calories / 8oz. Middle schools:  Same as elementary schools, except milk and juice may be sold in 10 oz. servings High schools:  Bottled water  No- or low-calorie beverages with up to 10 calories / 8 oz.  Up to 12 oz servings of low- and non-fat milk; nutrient-rich 100% juice with no added sweeteners and up to 120 calories / 8 oz.; other beverages with no more than 66 calories / 8 oz.  At least 50% of non-milk offerings must be water & no- or low-calorie beverages

5.  REDUCES CALORIES, INCREASES NUTRITION AGE APPROPRIATE CHOICES  REDUCES CALORIES, INCREASES NUTRITION and still provides children with AGE APPROPRIATE CHOICES Diet soft drinks – no or low cal Sports drinks – hydrate and replenish needed electrolytes Juice – nutrients, size right for age Bottled Water Alliance for a Healthier Generation School Beverage Guidelines

6.  MAJOR TRADEMARKS SIGNED M.O.U.  IMPLEMENTATION ALREADY UNDERWAY MAY 3, 2006  IMPLEMENTATION ALREADY UNDERWAY –effective as of MAY 3, 2006  FULL TRANSPARENCY  FULL TRANSPARENCY – annual public progress reports beginning at start of 2007-2008 school year Beverage Industry’s Commitment

7.  Continue our commitment to being part of the solution to a growing concern about obesity among our nation’s youth  Incorporate life lessons such as eating a balanced diet and engaging in regular physical activity in school environment  Help children make smart decisions and reinforce the importance of balancing calories consumed with calories burned

8. Promotion

11. Accomplishments Educated and trained bottlers and sales force Informed schools of changes to product offerings Retrofitted vending machines Developed appropriate products to meet Guidelines Revisited existing contracts

12. Supporting Statements Association of State & Territorial Health Officials Organizations that applauded the new guidelines:

13. Moving Forward  Alliance and ABA staffs working hard to promote and implement guidelines  Alliance Pilot School Program  Beverage companies working hard to make necessary adjustments to school offerings  Involvement of schools is critical