ALBANY, Ore. (AP) -- The Albany City Council voted to sue a subsidiary of PepsiCo for more than $100 million over the company's decision not to build a Gatorade and Propel fitness water factory in the city.
The city council voted 4-0 Monday to authorize the lawsuit, which alleges breach of contract.
Under a 2006 agreement, PepsiCo subsidiary SVC said it would build a $165 million beverage plant and a separate $85 million bottle-making factory on 241 acres the company bought.
Last November the company notified the city that because of market changes it had changed its mind.
In a statement, PepsiCo said Tuesday it has been trying to resolve the issue equitably and had offered the city "proposals that more than recognized the city had made investments to prepare for a new manufacturing facility."