Starbucks Builds on Long-Standing Commitment to Investing in Communities Launching First Community Store in Asia

Mon May 13, 2013 9:30am EDT

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Starbucks Builds on Long-Standing Commitment to Investing in Communities Launching First Community Store in Asia

Celebrates 15 years in Thailand market, announcing the doubling of store count over the next five years and a unique profit-sharing store, where 10 percent of sales from every hand-crafted Starbucks® beverage purchased will support coffee farming communities of Northern Thailand

Starbucks Coffee Company (Nasdaq:SBUX) chairman, president, and ceo Howard Schultz, today inaugurated the first Starbucks community store outside of the United States, in the Langsuan neighborhood of Bangkok, Thailand. Schultz was in Bangkok celebrating 15 years in market with Starbucks partners (employees) and to officially open Starbucks first community store in Asia, where 10 percent of sales from Starbucks hand-crafted beverages will be directed to the farming communities of Northern Thailand.

Howard Schultz, Starbucks chairman, president and ceo, celebrates 15 years in Thailand with partners ...

Howard Schultz, Starbucks chairman, president and ceo, celebrates 15 years in Thailand with partners and announces market will double store count over the next 5 years, as he commemorates first community store in Asia at the Langsuan store in Bangkok, Thailand. (Photo: Business Wire)

As the Company continues to accelerate growth in Southeast Asia, Thailand will play a critical role in that development and expansion. Today Starbucks Thailand announced the doubling of its store count over the next 5 years. With 15 years in the Thailand market, Starbucks is humbled by the strong relationship it has built with customers and is committed to continued innovation and community investment.

“As I join the team today to celebrate 15 years in market, there is an unparalleled passion our partners demonstrate for delivering the Starbucks Experience to our customers in Thailand; I have never been more confident in our ability to grow this market, doubling store count over the next 5 years,” stated Schultz. “As we continue to grow, it is critical that we stay true to our more than 40 years of heritage, continuing to build our business with a focus on taking care of our people, creating moments of connection with our customers and giving back to the communities where we do business. The community store in Langsuan signifies our ongoing commitment to give back to communities, and more specifically, to support and sustain local coffee and farming communities in Northern Thailand,” stated Schultz.

This is Starbucks fourth community store globally. Currently, Starbucks operates three community stores in Los Angeles, New York and Texas. Each store operates with a commitment to serving the local community, with the recognition that when communities thrive we all benefit. While the profit-sharing models of each store varies according to the specific needs of the local community, one thing remains constant - the belief that when communities come together, there can be positive change.

As part of this unique collaboration, 10 percent of sales of hand-crafted beverages purchased at the Langsuan community store will be directed to The Integrated Tribal Development Program (ITDP). The funds will contribute to the building of a learning center in Mae KheeMukNoi and Kong Kai village’s, Mae Chaem, Chiang Mai and, thereafter, will be dedicated to supporting sustainable education, health and irrigation projects. Starbucks Thailand has been supporting the farming communities in Thailand for more than 10 years with 5 percent of the Thai sales of Starbucks Muan Jai® blend, sourced from the region being invested back in the local coffee farming communities.

“Daily life for many farming communities in Northern Thailand is challenging, with limited access to healthcare or education and almost no opportunities to break out of poverty. Starbucks commitment to these communities has already made an enormous difference with several thousands of people benefiting through improved water access, local medical clinics and schools. Many communities now are starting to thrive, but there is still a lot of work to do and I am very excited that the new community store at Langsuan will be part of that progress - giving hope and a better future to thousands of hill tribe communities, who, in return, will continue to grow high quality coffee,” said Mike Mann, Director of ITDP.

Many Langsuan neighborhood customers may have never visited the farming communities of Northern Thailand; the Starbucks community store will work to bridge these two communities allowing the people in the Langsuan neighborhood to contribute to making the lives of the people in a distant, challenged coffee growing community, stronger.

Dating back 80 years, the Starbucks Langsuan community store location is itself a testament to tradition and culture. Housed in a traditional Thai style home, the interior space reflects local sentiment and pays homage to local culture, taking inspiration from the northern hill tribe farming communities.

Starbucks community store is in process of gaining LEED® certified approval, adhering to the most stringent global standards for environmental stewardship. This includes using reclaimed wood and local sourcing materials.

“Our new community store is unique to Thailand and our hope is that this powerful relationship – which allows coffee farming communities to receive contributions from Starbucks through The Integrated Tribal Development Program (ITDP) – will be an inspiration to our partners and customers,” said Murray Darling, managing director, Starbucks Coffee, Thailand. “We have been sourcing coffee from Thailand since 2002 and created our own Muan Jai® blend with coffee grown in this region, and this community store underscores the strong relationship and the significant commitment we have with the coffee farming communities in Northern Thailand. Working together, we hope to make long-term, positive change.”

Starbucks Langsuan community store is now open and located at 39/1 Soi Langsuan, Lumpini Patumwan, Bangkok 10330.

For more information about Starbucks Global Responsibility programs please go to: http://www.starbucks.com/responsibility

About Starbucks Corporation

Since 1971, Starbucks Coffee Company has been committed to ethically sourcing and roasting the highest-quality Arabica coffee in the world. Today, with stores around the globe, the company is the premier roaster and retailer of specialty coffee in the world. Through our unwavering commitment to excellence and our guiding principles, we bring the unique Starbucks Experience to life for every customer through every cup. To share in the experience, please visit us in our stores or online at www.starbucks.com.

About Starbucks Coffee Thailand

Starbucks Coffee (Thailand) Co., Ltd. was founded in Thailand in July 1998. Starbucks Coffee (Thailand) now operates 168 retail locations throughout the Kingdom of Thailand. The company is dedicated to making the Starbucks Experience a rewarding part of the day for all its customers in Thailand, while contributing positively to the community through its sponsorship of sustainable coffee production with Thai hill tribes under the name of Muan Jai® (Thai blended coffee). http://www.starbucks.co.th

Starbucks Media Contact
Christina McPherson
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Investor Relations Contacts:
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