Costco Wholesale announced that it has ended its decade-long partnership with PepsiCo and will once again stock Coca-Cola products across all U.S. food courts. The change affects more than 560 warehouses in North America and follows a soft-drink procurement review that began in early 2025. Costco expects the switch to generate annual cost savings of approximately $15 million, based on negotiated rebates and distribution efficiencies. Members will see Coca-Cola fountain drinks, Dasani bottled water and Minute Maid lemonade return to the menu starting March 1, 2026.

The beverage realignment underscores Costco’s focus on margin enhancement and supply chain simplification. By consolidating beverage pouring rights with a single supplier, management projects a 2% boost to food-court operating margins over the next fiscal year. The decision also leverages Coca-Cola’s broader global supply network, reducing lead times on fountain-machine parts by up to 30%. For investors, the move signals Costco’s continued discipline on vendor negotiations and cost controls, which have contributed to the company’s annual membership-renewal rate of 91.6% and comparable-warehouse sales growth of 10.2% in the latest quarter.