UPDATE 4-PepsiAmericas Q1 profit tops Street as US demand grows

* Q1 adj EPS 20 cents vs est 16 cents

* Q1 revenue falls 4 pct * Sees '09 EPS at high end of forecast

* U.S. net sales up 6 pct

* Shares rise as much as 6 pct (Adds conference call details, analyst comments, updates share movement)

By Nivedita Bhattacharjee

BANGALORE, April 29 (Reuters) - Bottler PepsiAmericas Inc PAS.N, which is considering a buyout offer from PepsiCo Inc (PEP.N), reported a 12 percent fall in quarterly profit, but still beat Wall Street estimates as strong pricing, cost cuts and growing U.S. sales offset volume declines.

Shares of the company rose as much as 6 percent to a 52-week high of $26.25, before paring some gains.

"Global pricing strategies are working, with pricing up 6 percent in the United States and 7 percent in Europe, helping to offset cost increases," Chief Executive Robert Pohlad said in a conference call with analysts.

The second-biggest Pepsi bottler after Pepsi Bottling Group Inc PBG.N, also forecast full-year earnings at the high end of its adjusted outlook of $1.83 a share to $1.90 a share.

"We now see U.S. volume improving to the down low single-digit range compared to our February forecast of down 3 percent to 4 percent," Pohlad said.

The strong results could also help the bottler with its merger talks with PepsiCo.

"An improving outlook will be cited by PepsiAmericas' board in an effort to increase PepsiCo's initial $23.27 bid for each share of PepsiAmericas that it does not already own," Stifel Nicolaus analyst Mark Astrachan wrote in a note.

On April 20, PepsiCo Inc (PEP.N) had offered $6 billion to buy the remainder of the shares it does not already own in Pepsi Bottling Group and PepsiAmericas. [ID:nBNG132692]

Pohlad said the company is on track to achieve $40 million in cost savings for the year.

"As we enter 2010 we will have absorbed a significant currency headwind and the impact of the economic downturn in 2009," Chief Operating Officer Ken Keiser said.

Analyst Astrachan said 2010 will see profit growth reaccelerate as cost pressures ease and growth in the European markets resume.

U.S. DEMAND DRIVES Q1

Despite the impact of a late Easter, demand for carbonated drinks rose moderately in the United States, led by Mountain Dew and the addition of Crush, the company said.

For the first quarter, Minneapolis-based PepsiAmericas posted a net income of $21.7 million, or 17 cents a share, compared with $24.7 million, or 19 cents per share, a year ago.

Excluding mark-to-market losses and special charges, the company earned 20 cents a share, while analysts were expecting earnings of 16 cents a share.

Revenue fell 4 percent to $1.06 billion, but net sales in the United States rose 6 percent to $826.6 million.

Overall volumes fell 5.2 percent, reflecting Central and Eastern Europe volume declines of 12.2 percent.

The company' shares, which have gained 70 percent since they touched a year low in October, were up trading 1 percent at $24.91 Wednesday afternoon on the New York Stock Exchange. (Editing by Vinu Pilakkott and Anne Pallivathuckal)