PepsiAmericas Inc. reported a decline of 8.5% in the earnings primarily impacted by the slumping volume and foreign-exchange impact that offset price increases for PepsiCo Inc.'s second-largest bottler.

Company reported a profit of $34.6 million or 28 cents during the quarter against the $37.8 million or 30 cents per share for the comparable period of previous financial year. Company’s revenue fell 17% primarily due to unfavorable currency movements. On the constant currency basis it reported a decline of 6% in the revenue and 9% in the volumes.

Company’s volume reported decline in North America in the mid-single digits and conditions were even tougher in Eastern Europe, with volume in that region falling in the high single digits.

Pepsi's direct relationships with retailers to give the firm greater flexibility in adapting to fluid consumer tastes, which will be further enhanced with the completion of expected acquisition of Pepsi Americas by the PepsiCo.