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Dr Pepper Snapple Group Reports Third Quarter 2015 Results Exhibit

The following excerpt is from the company's SEC filing.

Exhibit 99.1

FOR IMMEDIATE RELEASE

Contacts:

Media Relations

Chris Barnes, (972) 673-5539

Investor Relations

Heather Catelotti, (972) 673-5869

DR PEPPER SNAPPLE GROUP REPORTS THIRD QUARTER

RESULTS

Reported EPS were $1.05 for the quarter, up 9%. Core EPS were $1.08 for the quarter, up 10%.

Net sales increased 3% for the quarter and year-to-date.

Foreign currency translation reduced Net Sales by 2% and Reported EPS by 2% in the quarter.

Company raises guidance and now expects full-year 2015 Core EPS in the $3.92 to $3.98 range.

Plano, TX, October 22, 2015 - Dr Pepper Snapple Group, Inc. (NYSE: DPS) reported third quarter 2015 EPS of $1.05 compared to $0.96 in the prior year period. Core EPS were $1.08, up 10%, compared to $0.98 in the prior year period. Year-to-date, the company reported earnings of $3.00 per diluted share compared to $2.79 per share in the prior year period. Core EPS were $3.02, up 9%, compared to $2.77 in the prior year period.

For the quarter, reported net sales increased 3% on a 3% increase in sales volumes, favorable product and package mix and price increases. This was partially offset by 2 percentage points of unfavorable foreign currency translation and higher discounts primarily related to our fountain foodservice business. Reported segment operating profit (SOP) increased 8%, or $30 million, on net sales growth, lower commodity costs and ongoing productivity improvements, partially offset by increases in certain operating costs and 2 percentage points of unfavorable foreign currency translation.

Reported income from operations for the quarter was $337 million, including $9 million in unrealized commodity mark-to-market losses. Reported income from operations was $316 million in the prior year period, including $2 million in unrealized commodity mark-to-market losses. Core income from operations for the quarter was $347 million, up 9%, or 21.3% of net sales compared to 20.1% in the prior year period.

Year-to-date, reported net sales increased 3%, and reported income from operations was $976 million, including $5 million of unrealized commodity mark-to-market losses. Foreign currency translation negatively impacted reported net sales and reported income from operations by 2%. Reported income from operations was $924 million in the prior year period, including $10 million of unrealized commodity mark-to-market gains. Core income from operations year-to-date was $983 million, up 8%, or 20.8% of net sales compared to 19.8% in the prior year period.

DPS President and CEO Larry Young said, “We posted yet another quarter of solid top-line and bottom-line results, with both our CSD and non-carbonated beverage portfolios performing well.”

Young continued, “We gained both dollar and volume share in the CSD and shelf-stable juice categories in Nielsen measured markets, and we’re seeing financial benefits from our marketing investments and innovation. Rapid Continuous Improvement (RCI) continues to underpin how we operate on a daily basis, and we have a long runway of further improvement opportunities.”

EPS reconciliation

Third Quarter

Year-to-Date

Percent Change

Unrealized commodity mark-to-market net loss / (gain)

Items affecting comparability

- Litigation provision

- Separation related

EPS - earnings per share

Net sales and SOP in the tables and commentary below are presented on a currency neutral basis. Beginning in the second quarter of 2015, we excluded the impact of realized gains and losses on foreign currency transactions from our currency neutral calculation. Refer to the Definitions section of this press release for details on how the company calculates currency neutral metrics. For a reconciliation of non-GAAP to GAAP measures see pages A-5 through A-10 accompanying this release.

Summary of 2015 results

As Reported

Currency Neutral (Translation)

(Percent change)

BCS Volume

Sales Volume

BCS - bottler case sales

BCS Volume

For the quarter, BCS volume increased 2% with carbonated soft drinks (CSDs) increasing 2% and non-carbonated beverages (NCBs) increasing 4%.

By geography, U.S. and Canada volume increased 1%, and Mexico and the Caribbean volume increased 8%.

In CSDs, Peñafiel increased 14% in the quarter on increased promotional activity and distribution gains. Schweppes grew 11% while Squirt increased 5%. Brand Dr Pepper and Crush were flat in the quarter. Our Core 4 brands were also flat in the quarter as a high-single-digit increase in Canada Dry was offset by mid-single-digit declines in 7UP and Sunkist soda and a low-single-digit decline in A&W. Fountain foodservice volume increased 2% in the period.

In NCBs, our water category grew 16% primarily on growth in Bai 5 and FIJI. Clamato increased 15% primarily on distribution gains. Snapple grew 5% driven primarily by product innovation. Mott’s was flat in the quarter and Hawaiian Punch decreased 1%.

Sales volumes increased 3% for the quarter and 2% year-to-date.

2015 Segment results

(Percent Change)

Beverage Concentrates

Packaged Beverages

Latin America Beverages

Net sales increased 2% in the quarter driven by a 3% increase in concentrate shipments, concentrate prices taken earlier in the year and favorable product mix, which were partially offset by higher discounts primarily related to our fountain foodservice business. SOP increased 4% on net sales growth and lower marketing costs, which were partially offset by increases in certain operating expenses.

Net sales increased 6% for the quarter on favorable product mix, price increases and a 2% increase in sales volumes. SOP increased 15% on net sales growth, lower commodity costs and ongoing productivity improvements, which were partially offset by increases in...


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