PepsiCo, the world's No. 2 soft-drink maker, says it is removing its full-calorie sweetened drinks from schools in more than 200 countries by 2012.
This is the first time a major soft-drink producer has undertaken such a wide-sweeping policy, which essentially admits that sugary soda is not the best thing for your kids to be drinking.
Both Pepsi and Coca-Cola, the world's largest soda maker, agreed in 2006 to stop selling sugary drinks in U.S. schools.
Health groups have blamed sugary beverages for helping to increase childhood obesity, with an accompanying spike in diabetes and other health problems.
Earlier this month, Coke said it won't sell any of its drinks in primary schools world-wide unless requested by parents or the schools, but is still selling its beverages to secondary schools.
The policies have helped curb cola sales in the schools. Sales of full-calorie soft drinks fell 95 percent in U.S. schools between 2004 and 2009, according to the American Beverage Association.
Coke and Pepsi have been developing new low-calorie beverage offerings such as flavored water as people trend away from their full-calorie sweetened drinks.