Starbucks strikes deal with EEOC over alleged racial bias in promoting employees
Starbucks bags with free items, in recognition of the Starbucks coffee shot that is slated to go in at the CollegeTowne location, Reading, Pennsylvania, January 12, 2021. Starbucks said on Wednesday that it has resolved allegations from the Equal Employment Opportunity Commission about alleged racial bias in its employee promotions, based on data from 2007 through 2011. The agreement with the federal agency was disclosed in Starbucks' third annual Civil Rights Assessment from the law firm Covington & Burling. A Starbucks spokesperson said that the company was engaged in on-and-off dialogue with the EEOC before reaching the agreement earlier this year. Earlier in March, Starbucks promoted Dennis Brockman to the role of global chief inclusion and diversity officer.cnbc.com
Starbucks shareholders vote against executive pay plan
Starbucks CEO Kevin Johnson speaks during the company's annual shareholders meeting at WAMU Theater, on March 20, 2019 in Seattle, Washington. Starbucks shareholders rejected the coffee chain's executive compensation proposal, in a rare admonition of an S&P 500 company. In 2020, 84% of Starbucks shareholders voted in favor of the pay resolution. Both firms disagreed with Starbucks' rationale for one-time cash bonuses given to CEO Kevin Johnson and former COO Roz Brewer. The company also noted that Starbucks' market value has risen by $39 billion since Johnson became chief executive in 2017.cnbc.com
Starbucks to test Cold Pressed Espresso as cold drink sales overtake hot beverages
Starbucks plans to start testing Cold Pressed Espresso in some cafes by the end of the year as consumers increasingly stick to cold drinks for their caffeine jolt. Cold beverages, which are favored by younger customers, have played a crucial role in growing the chain's same-store sales in recent years. In the last three years, consumers have spent more than $1 billion on Starbucks' cold drinks. "More than 50% of the beverages that we sell at Starbucks are cold," CEO Kevin Johnson told CNBC's Kate Rogers in an interview on "Halftime Report" on Wednesday. Next quarter, Starbucks is forecasting U.S. same-store sales growth of 5% to 10%, and Chinese same-store sales are expected to almost double.cnbc.com
Starbucks' recovery, solid in China, still slow in the US
Starbucks said its business in China, its second-largest market after the U.S., has largely recovered, with same-store sales up 5% in the first quarter. Starbucks said it’s seeing fewer customers in China, but they’re spending more when they visit. The company opened almost 160 stores in China during the first quarter, for a total of more than 4,800. But in the U.S., same-store sales were down 5% for the quarter despite the holiday drinks that usually draw customers. Starbucks said it's confident U.S. same-store sales will rise between 5% and 10% in its fiscal second quarter as the pandemic's impact continues to fade.
After losing Mahomes, Chiefs and Henne hold off Browns 22-17
Kansas City Chiefs quarterback Chad Henne celebrates after a run during the second half of an NFL divisional round football game against the Cleveland Browns, Sunday, Jan. 17, 2021, in Kansas City. – The Kansas City Chiefs had lost Patrick Mahomes to a concussion and were in danger of losing the game. With their star quarterback reduced to a spectator, the oft-forgotten bunch opposite Mahomes' high-powered offense forced the Browns to punt in the waning minutes. After the teams swapped field goals, with Butker breaking the Chiefs playoff record with a 50-yarder into the wind, the Browns marched for what could have been a momentum-swinging score heading into halftime. First, the Browns held the Chiefs when Mayfield threw an interception and Butker missed a field goal.
Top cornerbacks standing out on NFL's Super Bowl hopefuls
Nearly every team still vying for the Super Bowl has an elite cornerback often capable of shutting down an opponent's top receiver all by himself. The NFC playoff bracket has three of the conference's four Pro Bowl cornerbacks: Green Bay's Jaire Alexander, Los Angeles' Jalen Ramsey and New Orleans' Marshon Lattimore. Staley's scheme has employed Ramsey in multiple roles throughout the season, and his job often changes from play to play. Oddly enough, the remaining playoff team perceived to have the least dominant cornerbacks is defending champion Kansas City, the favorite to make it back to the Super Bowl. “Some of the best cornerbacks happen to play on the best teams, that’s all I can say,” Bills safety Micah Hyde said.
Browns guard Bitiono back for playoffs after COVID-19
Browns Pro Bowl left guard Joel Bitonio will be activated from the COVID-19 list Friday, Jan. 15, 2021, after missing last weeks playoff win over Pittsburgh. The Pro Bowl left guard was activated from the COVID-19 list Friday after missing last week’s wild-card win over Pittsburgh. It was a devastating development for Bitiono, who had endured so much losing with the Browns before this turnaround season. "Elated for Joel,” Browns general manager Andrew Berry said on Zoom call with local writers. On Thursday, coach Kevin Stefanski returned in person to the team after also missing last week's game with COVID-19.
Stefanski out of basement, back with Browns after COVID-19
Cleveland Browns head coach Kevin Stefanski looks on from the sidelines during an NFL football game against the Pittsburgh Steelers, Sunday, Oct. 18, 2020, in Pittsburgh. Positive COVID-19 tests have knocked Stefanski out of Cleveland's wild-card game at Pittsburgh on Sunday night the Browns' first playoff appearance since the 2002 season. (AP Photo/Justin Berl, File)CLEVELAND – Browns coach Kevin Stefanski doesn't plan a trip downstairs to his basement any time soon. Stefanski returned to the team's facility Thursday, 10 days after the first-year coach tested positive for COVID-19 and he was forced to miss Cleveland's playoff win over the Pittsburgh Steelers on Sunday. Stefanski will make his playoff debut on the sideline this week when the Browns play the defending Super Bowl champion Kansas City Chiefs on Sunday.
The Latest: MLS's Canadian teams to face challenges again
Garber said while he felt for the challenges facing the Canadian teams, the league had to abide by made-in-Canada health guidelines. Green Bay (13-3) hosts the Los Angeles Rams (11-6) in a NFC divisional playoff game Saturday. Also, Thursday night’s Southeastern Conference women’s basketball game featuring No. ___Georgetown has canceled its men’s basketball game against DePaul on Wednesday night, citing a COVID-19-related issue with the program. ___Two SMU men’s basketball games scheduled for this week have been postponed because of a positive COVID-19 case and ensuing contact tracing issues in the program.
Starbucks promotes Rachel Ruggeri to CFO as Pat Grismer retires, reiterates outlook
Starbucks Executive Vice President and Chief Financial Officer Patrick "Pat" Grismer is pictured at the Annual Meeting of Shareholders in Seattle, Washington on March 20, 2019. Starbucks said Thursday that Rachel Ruggeri, senior vice president of finance for the Americas division, will take Chief Financial Officer Pat Grismer's place when he retires on Feb. 1. The coffee chain also reiterated its outlook for the first fiscal quarter of 2021 and the full-year forecast. He assumed the role of chief financial officer in 2018 after holding the same title at Hyatt. Ruggeri started working at Starbucks 16 years ago as a member of the accounting team, helping launch the first Starbucks Card.cnbc.com
With Starbucks shares near an all-time peak, the bar is high for coffee chain's investor day
At its biennial investor meeting Wednesday afternoon, the company is expected to present its blueprint to regain customers. Starbucks' sales in the United States and China, its two largest markets, have been rebounding faster than expected. But a new wave of restrictions in the U.S. could slow Starbucks' recovery in its home market. Shares of Starbucks, which has a $119 billion market value, have risen 15% year to date, as of Tuesday's market close of $101.21. Here's what will likely be included in Starbucks' investor presentation:A new long-term outlookStarbucks has already shared its fiscal 2021 forecast with investors, but it hasn't yet shared an update on its long-term outlook.cnbc.com
QB Jones inactive for Giants; McCoy to start at Seattle
(AP Photo/Aaron Doster)The New York Giants will be without starting quarterback Daniel Jones for Sunday’s game against the Seattle Seahawks. Jones was not expected to play because of a hamstring injury suffered last week against Cincinnati. Colt McCoy will make his first start of the season at QB for the Giants. Seattle was without both starting right tackle Brandon Shell (ankle) and backup Cedric Ogbuehi (calf) leaving a major question on the offensive line. ___CLEVELAND-TENNESSEEBrowns: WR Taywan Taylor, WR KhaDarel Hodge, CB Denzel Ward, RB Dontrell Hilliard, S Tedric Thompson, DE Joe Jackson.
Starbucks sales recover faster than expected in US, China
Starbucks saw faster-than-expected recovery in the U.S. and China in its fiscal fourth quarter, giving it confidence as it heads into the holiday season. Global same-store sales fell 9% from the prior year, a better showing than the 12% to 17% drop Starbucks anticipated in July. U.S. same-store sales were down 9% in the July-September period, while China’s fell 3%. Limited or full lobby seating is now available in 63% of U.S. stores and 90% of stores in China. Adjusted for non-recurring costs, Starbucks earned 51 cents per share, solidly beating analysts’ forecast of 31 cents.
Camp injuries, virus protocols had some NFL teams scrambling
I think theres a lot of teams in the league right now that are dealing with all kinds of injuries.He's right. Teams all over the league were sent scrambling during camp. Certainly not during training camp when players are going hard to make the roster as the start of the regular season rolls closer. It's the soft tissue injuries and those things that you are trying to prevent with the ramp-up period," Bitonio said. That will certainly be something to monitor as the regular season begins and teams deal with injuries and potential replacements.
Coronavirus: New website offers Floridians financial advice
TALLAHASSEE, Fla. – Three in four Floridians say they’re feeling more financial strain from the COVID-19 pandemic, a recent survey found. Now credit unions, banks and state Chief Financial Officer Jimmy Patronis have teamed up to launch a new resource to help residents navigate these turbulent times. While most Floridians are feeling more financial strain from the pandemic, nearly half say they’re feeling significantly more. The site offers financial resources and advice, much of which is geared towards pandemic relief. Suncoast Credit Union CEO Kevin Johnson said learning how to create a six-month emergency fund is key in these times.
Starbucks plans to start reopening US locations next week. Here's what customers can expect
Starbucks CEO Kevin Johnson on Wednesday detailed how the coffee chain plans to operate U.S. cafes. Johnson said Starbucks plans to have over 90% of its company-operated U.S. locations open by early June. As cafes reopen, Johnson said they will begin to offer mobile ordering for pickup. "And in other cases, we've got mobile order for drive-thru." Mobile order also will be expanded for curbside pickup, he said.cnbc.com
Starbucks is preparing to reopen cafes as local coronavirus conditions allow
A Starbucks employee wears a facial covering while working the drive-thru during the coronavirus (COVID-19) pandemic on April 07, 2020 in Dallas, Texas. Starbucks is preparing to reopen cafes as some U.S. states report that the number of new coronavirus cases has plateaued or even declined. The coffee chain closed most of its U.S. and Canadian cafes on March 21, limiting service to delivery and drive-thru only. Cafe closures, social distancing measures and shelter-in-place mandates hit Starbucks' U.S. sales in the fiscal second quarter. U.S. same-store sales declined by 3% during the quarter.cnbc.com
Starbucks CEO: Our experience tracking coronavirus in China shows US on 'very similar' path
Starbucks CEO Kevin Johnson said Tuesday that the coffee chain believes the COVID-19 outbreak in the U.S. is following a comparable path to what happened in China. It may be the same recovery, but right now it's tracking in a very similar way to China," Johnson said on CNBC's "Squawk on the Street." Johnson said Starbucks built a model to follow the company's business recovery in China, where the coronavirus pandemic began in late December. Johnson said Starbucks' experience in China is very much informing its response to the global pandemic in other markets. Starbucks has reopened around 95% of the stores it temporarily shuttered in China in response to COVID-19s spread, Johnson said Tuesday.cnbc.com
Cramer: Starbucks reopening in China's coronavirus epicenter shows how US might bounce back
Starbucks' decision to reopen a store in Hubei province is evidence that the coronavirus outbreak has indeed slowed in China, CNBC's Jim Cramer said Thursday. "Starbucks is not the PRC and is truthful, not propaganda," Cramer said on "Squawk Box." While questions have been raised about the truthfulness of the Chinese government, Cramer said that he trusts Starbucks CEO Kevin Johnson. "If the Chinese were lying, Kevin would not open that store," Cramer said. Starbucks expects a revenue hit of $400 million to $430 million in the fiscal second quarter as a result of the Chinese closures.cnbc.com
'We've got a strong balance sheet': Starbucks CEO defends stock buyback program
Starbucks CEO Kevin Johnson on Wednesday defended the company's share buyback program as the coronavirus pandemic roils the restaurant industry. "Look, we've got a strong balance sheet, BBB investment credit rating. If you look at our last earnings call, we had $3 billion of cash on the balance sheet; we've got a $3 billion line of revolving credit." The global coffee chain announced on Wednesday that its board had authorized the repurchase of up to 40 million shares through the end of fiscal 2021. An existing authorization allows Starbucks to repurchase an additional 16 million shares.cnbc.com
Starbucks CEO says customers may only be able to order via drive-thru or mobile due to coronavirus
Starbucks CEO Kevin Johnson warned customers that some cafes may offer limited seating or only receive orders via mobile or drive-thru due to the coronavirus outbreak. Johnson said that the company will close a store temporarily as a last resort. Starbucks closed a downtown Seattle location on March 5 after one of its baristas was diagnosed with the virus. Starbucks said Wednesday it is offering "catastrophe pay" for up to 14 days to baristas who have been exposed to the virus. The measures are similar to those that Starbucks deployed in China, its second-largest market.cnbc.com
Starbucks cancels in-person annual shareholders meeting in Seattle due to coronavirus
Kevin Johnson of Starbucks speaks at the Annual Meeting of Shareholders at McCaw Hall in Seattle, Washington. Starbucks said Wednesday that shareholders would not be able to attend its annual meeting in-person due to the coronavirus outbreak. The shareholders meeting, scheduled for March 18, will only be available via webcast. Other companies, like Target and Google, have also made events virtual only as concern about the coronavirus outbreak grows. Conferences like the Natural Products Expo West, a trade show for natural and organic products, have been postponed.cnbc.com
Starbucks reopens China cafes after temporary closures due to coronavirus
Starbucks has reopened most of its cafes in China after temporarily closing them to stop the spread of the COVID-19 outbreak. CEO Kevin Johnson wrote in a letter to employees on Thursday that the company has 85% of its stores open across China, including its Reserve Roastery in Shanghai. Starbucks has roughly 4,300 cafes in the Asian country, which is its second-largest market. "With the number of new cases in China slowing, we are seeing the early signs of a recovery in the region," Johnson wrote in the letter. Shares of Starbucks, which has a market value of $93.1 billion, were down 1.7% in morning trading amid broader market losses.cnbc.com
Starbucks CEO on coronavirus: We won't hesitate to close more stores in China if needed
Starbucks CEO Kevin Johnson sought to tamp down concerns on Wednesday about how the coronavirus outbreak in China would impact the coffee chain's business there. Starbucks has closed more than half of its Chinese locations as the country battles the spread of the virus. The total number of confirmed cases of the coronavirus reached more than 6,100 worldwide, with 132 deaths in China, Chinese and international health authorities said Wednesday. The Xiamen, China-based rival recently overtook Starbucks as the largest coffee chain in the country, based on the number of stores. Even with the ongoing situation around the coronavirus, Johnson said he remained bullish on Starbucks' prospects in China.cnbc.com
Starbucks outpaces earnings estimates but warns coronavirus could hit fiscal 2020
Starbucks on Tuesday reported quarterly earnings that beat analysts' expectations, but investors focused on its warning that the Wuhan coronavirus outbreak could deal a blow to its fiscal 2020 outlook. The coffee chain said it has closed more than half of its Chinese locations but expects that it will be temporary. "The company will update its guidance for fiscal 2020 when we can reasonably estimate the impact of the coronavirus," Starbucks said in the earnings release. The company also said that it expects that the virus will "materially affect" its results for the fiscal second quarter and fiscal 2020. Starbucks expects to add 2,000 net new locations worldwide in fiscal 2020.cnbc.com
Stocks making the biggest moves premarket: Delta, Southwest, GE, Lululemon, Kroger & more
Details were not released but Southwest did say it would share the proceeds with its workers by adding $125 million to its profit-sharing plan. General Electric (GE) GE was upgraded to "buy" from "hold" at UBS, which said GE stock is at a positive inflection point going into 2020. Lululemon (LULU) Lululemon reported a profit of 96 cents per share for its latest quarter, 3 cents a share above estimates. Starbucks (SBUX) J.P. Morgan Chase upgraded Starbucks to "overweight" from "neutral" following a meeting with CEO Kevin Johnson and other executives. Ciena (CIEN) The networking equipment operator reported adjusted quarterly earnings of 58 cents per share, 5 cents a share below estimates.cnbc.com
Data from your car could be sold to insurance companies, others
"Whoever is getting the data, in almost every case, they are selling that data, or they are at least providing access to the data," Johnson explained. Right now, neither Congress nor the Department of Transportation has implemented legal requirements for most car data. While many car companies say they are being proactive about consumer privacy, advocates like Bill Hanvey are concerned with the industry policing itself. Hanvey told News4Jax that he believes insurance companies are basing rates off purchased data. "Contact your insurance company and ask if they buy that data, and if they say yes, switch insurance companies.
Starbucks' holiday cups will be back this week
We're barely into pumpkin spice latte season and already the holiday cups are on their way. The coffee chain said on Wednesday that its holiday drinks, foods and its signature red and green cups will be back in stores on Thursday. For Starbucks, the seasonal offerings are a way to create buzz, give their fans what they want and boost sales. Although in the past Starbucks has experimented with less Christmasy cups, this year it's sticking to the holiday theme with red and green designs. To develop this year's cups, Starbucks' designers drew inspiration from Christmas movies and songs, as well as previous iterations of the signature vessel.
After Hong Kong protesters target Starbucks stores, CEO says employee safety is his 'focus' and 'priority'
Starbucks CEO Kevin Johnson said the coffee chain is focused on the safety of its baristas after Hong Kong protesters targeted its cafes. Starbucks locations in Hong Kong are operated by the Maxim Group, one of the city's largest catering groups. Pro-democracy activists targeted Starbucks cafes after Annie Wu, the daughter of Maxim's founder, described protesters as "rioters" who do not represent Hong Kong and defended Hong Kong's police. Protesters' action against Starbucks, including vandalizing stores and calling for a boycott, has mostly occurred during the first quarter of its fiscal 2020. The Seattle-based company has been using artificial intelligence that it calls "Deep Brew" to drive sales growth.cnbc.com
Hackers can access computer or phone through this charging cable
Hackers can now access your computer or phone through a charging cable called the O.MG Cable, which sold for $200 at the DEFCON hacking conference. So this is a charging cable for an iPhone and all they did was replace one of the ends of the cable. So instead of being the cable that came from Apple, it has a small computer into it, Johnson explained. The USB Condom is a small and unobtrusive dongle that effectively turns any USB cable into a secure charge-only cable to allow safe recharging from untrusted USB ports. The best recommendation Johnson gave is to not plug anything into your computer if you dont know where it came from.
Here are the biggest analyst calls of the day: Starbucks, Apple, UPS, Coca-Cola & more
Starbucks President and Chief Executive Officer Kevin Johnson is pictured at the Annual Meeting of Shareholders in Seattle, Washington on March 20, 2019. We believe that such issues have not been sufficiently addressed and as comps begin to toughen, sentiment may likely shift. We see The Coca-Cola Company and PepsiCo Inc as two such names and we are launching coverage on both with Overweight ratings. " Therefore, while the deal is a strategic positive and takes away downside risk, it is unlikely to create major upside for Dish equity holders. Barclays said the Sprint and T-Mobile deal is unlikely to create "major upside" for Dish equity holders.cnbc.com
Every Starbucks growth strategy is working
Stephen Chernin/Getty ImagesSEATTLE, Wash. - Starbucks has put several plans in place to accelerate growth, and they all seem to be working. The tactics are paying off: Sales at cafes open at least a year grew 6% globally in the third quarter, Starbucks announced Thursday. Net sales grew 8.1% to an all-time high of $6.8 billion. Because of the successful quarter, Starbucks improved its financial outlook for the year. One strategy is adding more stores: In the third quarter, the company opened 442 net new stores, one third of them in China.
Starbucks ramps up US delivery with UberEats as Chinese delivery booms
As Starbucks ramps up its U.S. delivery program, the global coffee chain is looking to China, its second-largest market, as an example of how delivery could eventually contribute to its sales. Americans spent $10.2 billion on third-party delivery services last year, according to Technomic. Earlier this week, the coffee chain announced plans to roll out delivery nationwide in the U.S. by early 2020 in partnership with UberEats. To deliver drinks without spillage in China, the global coffee chain has re-engineered packaging and created spill-proof lids. The company has been facing increased competition from rival Luckin Coffee, a Chinese coffee chain that is trying to unseat Starbucks through fast drink delivery and convenient digital order pick-up.cnbc.com
Kevin Johnson speaks out on Sterling punishment
Kevin Johnson speaks out on Sterling punishment Sacramento Mayor Kevin Johnson, a former NBA star and the current chairman of the National Basketball Player's Association, talks to the "CBS This Morning" co-hosts about the Donald Sterling controversy.cbsnews.com