joining us now is cfo and vice chairman hugh johnston welcome back, hugh nice to see you. >> nice toee you, as well, sara good morning. >> good morning. we have the tale of two businesses very strong growth in the snacks business and frito lay not so much in north american beverages. give us some color as to why you're seeing the discrepancy lasting. >> yeah, happy to talk about it a little bit i guess i characterize it as the resilience of the pepsico portfolio working. our revenue and neps, obviously, came in strongly and the investors seemed pleased with that. if you look where we are, the international businesses are performing well. operating profit internationally up 12. as you mentioned frito lay performing strongly. north american beverage, as we've been saying, continues to improve but there is brick by brick work as we're building that business to be even on better footing if you think about north america beverages, three big pieces to it and a lot of smaller pieces the big pieces are pepsi, mounta mountain dew, and gatorade that's what we saw through the second quarter the

. >>> coming up, hugh johnston will be appearing on "squawk on the street" at the 9:00 a.m.oser the big reveal of the top state for business this year scott cohn is a man on a mission this morning he will join us at some point and actually going to reveal which state won this year. stay with us whoooo. looking for a hotel that fits... ...your budget? tripadvisor now searches over... ...200 sites to find you the... ...hotel you want at the lowest price. grazi, gino! find a price that fits. tripadvisor. hey! are you taking the tissue test? yep, and my teeth are yellow. clearly my whitening toothpaste is not cutting it. time for whitestrips. whitening toothpaste only works on the surface. but crest 3d white whitestrips safely work below the enamel surface to whiten 25x better than a leading whitening toothpaste. hey, nice smile! thanks! i crushed the tissue test. yeah you did! crest whitestrips. healthy, beautiful smiles for life. also, whiten and protect your smile from future stains with new crest brilliance mouthwash. >>> we've got a news alert a thai military official says