Source: Seattle PI
Sorry for the shot at you beautiful yuppies (Obama rocks), but it seems that you guys are partly to blame for the mega-over expansion of the Starbucks brand.
With the economy in the tank, it is virtually impossible to think that people would pay the same amount of money for a latte as a galloon of gas. Gallon Gas > Double Latte.
By JESSICA MINTZ
AP BUSINESS WRITER
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 shares, which have been falling steadily for nearly two years, jumped 72 cents, or 4.6 percent, in extended trading after the announcement. They had lost 12 cents to close Tuesday at $15.62.
Seattle-based 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.
Full story [here]