The carbonated soft drink category is fundamentally in trouble. I anticipate there will be some sporadic growth of a few regular brands and some diets, but the outlook doesn't look good for the category.

The diet part of the industry is where the growth is, and these companies are now expanding their offerings of diet sodas.

The energy drink category came out of nowhere. It's been a pleasant surprise for the industry.

This is more analogous to an energy drink. It is premium-priced and will be sold in limited packaging.

These products are sold on function more than taste.

Gatorade would do even better under PepsiCo than it has under Quaker Oats because of better marketing and distribution.

They are very aggressive in marketing and have pervasive distribution. It's No. 1 in water in the U.S. and a lot of it has to do with marketing, imagery and distribution availability.

It's Coke and Pepsi and Cadbury who really stepped up to the plate and did something fairly controversial, and they deserve a lot of credit for this.

Summer is the highest-volume period of the year for the beverage industry. But it's not just the new products that will get the attention. The promotions and advertising are also very important for both companies.

The airline business in terms of volume is tiny. It's more important in terms of presence, visibility and a little bit of prestige.