Overview

• The closures equal roughly 1% of the North America footprint, with the store count expected to fall from 18,734 at the end of June to about 18,300 by the end of September.
• Starbucks announced a second wave of corporate layoffs totaling about 900 roles, following approximately 1,000 cuts disclosed in February.
• Locations selected for closure were those the company says could not deliver the physical environment customers and employees expect or lacked a path to financial performance.
• The company projects about $1 billion in restructuring costs, including roughly $450 million tied to early lease terminations and about $150 million for severance.
• Alongside the cuts, Starbucks plans renovations across more than 1,000 stores to modernize spaces, and says affected employees will receive financial support and severance packages.