During the recession, there were a lot of companies that were forced to trim their operations. Coffee powerhouse Starbucks (SBUX) was no exception. Back in 2008, the company was forced to close around 10% of its stores, but now it is growing once more.
The company announced Wednesday that it plans to open at least 1,500 new cafes in the U.S. over the next five years. The new stores will increase the number of Starbucks in the U.S. by 13%.
Opening new stores is not the only news that Starbucks announced. The company also said it plans to start serving a new brand of tea in its stores. Last month the company announced it would acquire Teavana for $15.50 a share, and the company is looking to add the tea to its menu as quickly as possible.
Starbucks has been aggressively working to change up its menu to keep up with current market trends, and assuming Teavana is sold at a premium to its current tea offering, Tazo Tea, the company will have a two-tiered tea lineup for customers to choose from.
After being away from the company for eight years, Howard Schultz regained his position as CEO in 2008, and has been leading the company through a very successful reorganization. The company is growing, expanding its menu and increasing its international revenues.
For those of you that can’t start your day without a nice hot cup of Starbucks coffee, you may be in luck as a new store could be popping up around the corner in the next year or so.
Michael Fowlkes is a financial writer who has been with the Fresh Brewed Media family since 2004. Over the course of his tenure with Fresh Brewed Media, he has worn many hats, including portfolio manager, options analyst, and writer. Michael received his undergraduate degree from Virginia Tech in Accounting and got his start in finance working as a stock trader for six years at Chase Investment Counsel in Charlottesville, Va. His articles typically cover big-picture events and forecasting what impact they will have on the stock market. In addition to writing for Fresh Brewed Media, Michael also wrote for AOL's BloggingStocks for three years, focusing most of his attention on the energy and technology sectors.