Pepsi challenges Coca-Cola with sparkling water line

Pepsi (NASDAQ:PEP) is stepping up its effort to beat Coca-Cola (NYSE:KO) with a line of sparking water known as bubly.

The eight flavors announced Thursday are lime, grapefruit, strawberry, lemon, orange, apple, mango and cherry, and Pepsi is rendering them as limebubly, grapefruitbubly, strawberrybubly, lemonbubly, orangebubly, applebubly, mangobubly and cherrybuby.

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The company is expected on Feb. 13 to report adjusted fourth-quarter earnings per share of $1.31, according to 19 analysts polled by Thomson Reuters. It reported EPS of $1.20 during the same quarter a year earlier.

Pepsi and its long-time rival Coca-Cola have been struggling with declining consumption of colas in favor of water. Pepsi said its new products have no calories and are made without artificial flavors or sweeteners.

Last year Coca-Cola said it had added sparkling versions of its Dasani and smartwater brands.

Pepsi’s stock was down 1.1% to $112.28 at 2:20 p.m. ET Thursday, while Coca-Cola was down 1.5%, following the broader market.