Starbucks closing 600 stores in the US

[thelakelander]

I wonder how this will play out on the Inner City Jacksonville locations?

SEATTLE -- For a decade it appeared there was no such thing as too many Starbucks for U.S. coffee drinkers, whose willingness to buy its $4 lattes and dark drip brews rationalized a second green-and-white mermaid awning just down the street - and sometimes even a third.

But in a sign that those days are over, Starbucks Corp. announced Tuesday it will close 600 company-operated stores in the next year, as the faltering U.S. economy hastened the pain caused by the company's own rapid expansion.

Starbucks did not say which stores will be closed, only that they are spread throughout the country. But it did say 70 percent of those slated for closure had opened after the start of 2006.

To put it another way, Starbucks is closing 19 percent of all U.S. company-operated stores that opened in the last two years, Chief Financial Officer Pete Bocian said during a conference call.

About 12,000 workers, or 7 percent of Starbucks' global work force, will be affected by the closings, which are expected to take place between late July and the middle of 2009, spokeswoman Valerie O'Neil said.

http://www.miamiherald.com/795/story/590144.html

[Lunican]

Are the two downtown Starbucks locations company owned?

[copperfiend]

There are 4 Starbucks at the SJTC.

[jaxtrader]

All starbucks  stand alones are company owned...Heshi doesn't believe in franchising

[fsujax]

which one will it be 11E or the Landing?? any guesses?

[jaxtrader]

It would likely be 11e, since 70 per cent of the closures will be locations open less than two years.  However, if what Stephen says about the rent is accurate, that would obviously alter the economics of the 11 E store.

[Beloki]

Wow, you know we have rough times ahead if starbucks is going to downsize....
Luckily Jacksonville is still growing in terms of jobs and economic output

[gatorback]

The Starbucks at the Domain is staying open.  Thank guad.  Anywho, I wonder how many Starbucks in TOD or mixed use developments are closing.

[Traveller]

I just stopped by the Starbucks at the Landing to grab a quick snack, and I asked the cashier if that particular store or the one at 11E would be among the 600.  She said both stores did enough business to survive the axe.  So there you go.

[blizz01]

Not sure I'd place much stock in the opinion of the cashier less than 24 hours after the corporate announcement was made though.........

[Eazy E]

I think the proximity of those two stores right there embodies why they are shutting 600 stores.

[gatorback]

Well if the cashier was the manager then I would think that she would know what was going on with her store...IMHO

[KenFSU]

For what it's worth, I was told by two different employees in two different Starbucks that no Florida stores were closing, and that the majority of the closings will be in the Midwest, with the majority of those being stores that had opened in the last two years. No clue if they were managers or not, nor where they recieved that information, but...

[downtownparks]

I was told this morning that 11E starbucks is on the chopping block.

[fsujax]

I wouldn't be surprised.