Annual Meeting:

The Annual Meeting of Shareholders was held at TRICON Headquarters, Louisville, KY at 9:30 a.m. (EDT), Tuesday, May 19, 1998. Proxies for the meeting were solicited by an independent proxy solicitor. This Annual Report is not part of the proxy solicitation.

Inquiries Regarding Your Stock Holdings

Registered Shareholders (shares held by you in your name) should address communications concerning statements, dividend payments, address changes, lost certificates and other administrative matters to:

TRICON Global Restaurants, Inc.
c/o Boston Equiserve, L.P.

P.O. Box 8038
Boston, MA 02266-8038
(888) 439-4986


James B. Alterman
Manager Shareholder Relations
TRICON Global Restaurants, Inc.
1441 Gardiner Lane
Louisville, KY 40213
(888) 2YUMYUM

In all correspondence or telephone inquiries, please mention TRICON, your name as printed on your statement or stock certificate, your social security number, your address and telephone number.

Beneficial Shareholders (shares held in the name of your bank or broker) should direct communications on all administrative matters to your stockbroker.

TRICON SharePower Participants (employees with SharePower options) should address all questions regarding their account, outstanding options or shares received through option exercises to:

Merrill Lynch/SharePower
Stock Option Plan Services
P.O. Box 30466
New Brunswick, NJ 08989-0446
Telephone: (800) 637-2432 (U.S., Puerto Rico and Canada)
(732) 560-9444 (all other locations)

In all correspondence, please provide your account number (for U.S. citizens, this is your social security number), your address, your telephone number and mention TRICONSharePower. For telephone inquiries, please have a copy of your most recent statement available.

Employee Benefit Plan Participants
Capital Stock Purchase Plan (888) 875-4015
SaveUp 401(k) (888) 875-4015
Tricon Savings Center (617) 847-1013
P.O. Box 1389 (outside U.S.)
Boston, MA 02104

Please have a copy of your most recent statement available when calling. Press *0 for a customer service representative and give the representative the name of the Plan.

Shareholder Services

Optional Cash Investment
A brochure explaining this convenient plan, for which TRICON pays all administrative costs, is available from our transfer agent:

P.O. Box 8038
Boston, MA 02266-8038 (888) 439-4986

Low-Cost Investment Plan
Investors may purchase their initial share of stock through NAIC's Low-Cost Investment Plan. For details contact:

National Association of Investors Corporation (NAIC)

711 West Thirteen Mile Road
Madison Heights, MI 48071 (248) 583-NAIC (6242)

Financial and Other Information
Earnings and other financial results, corporate news, and other company information are available on TRICON's web site:

Copies of TRICON's SEC Form 8-K, 10-K and 10-Q reports and quarterly earnings releases are available free of charge. Contact TRICON's Manager of Shareholder Relations at (888) 2YUMYUM.

Securities analysts, portfolio managers, representatives of financial institutions and other individuals with questions regarding TRICON's performance are invited to contact:

Lynn A. Tyson
Vice President, Investor Relations
TRICON Global Restaurants, Inc.
1441 Gardiner Lane
Louisville, KY 40213 (502) 874-8617

Independent Auditors
KPMG Peat Marwick LLP

400 West Market Street, Suite 2600
Louisville, KY 40202 (502) 587-0535

Capital Stock Information

Stock Trading Symbol - YUM
The New York Stock Exchange is the principal market for TRICON Common stock.

At year-end 1997, there were approximately 185,000 shareholders of record.

Dividend Policy
TRICON does not currently pay dividends, nor does it anticipate doing so in the near future.

Spin-off Information:
Opening stock price on September 17, 1997: 283/4. First day of trading on the NYSE on an "when issued basis."

Cost Basis TRICON Spin-off from PepsiCo
PepsiCo shareholders should allocate 92.4068 percent of their PepsiCo stock basis immediately prior to the Spin-off to their PepsiCo shares, and 7.5932 percent of their PepsiCo stock basis immediately prior to the Spin-off to the TRICON shares received in the Spin-off.

Spin-off date: Monday, October 6, 1997

TRICON's Annual Report contains many of the valuable trademarks owned and used by TRICON and its subsidiaries and affiliates in the United States and internationally.

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