Starbucks to close 250 stores: 'Difficult decision'
Starbucks is closing approximately 250 underperforming coffeehouse locations across the United States and Canada as part of a corporate downsizing plan. The coffee chain announced the closures on September 24, with most locations scheduled to shut down by the end of its 2026 fiscal year. This major retail network reduction coincides with solid comparable sales gains in North America and follows financial performance struggles. The downsizing effort marks the second round of closures during CEO Brian Niccol's tenure, impacting various regional markets including operations in Pasadena and New York State.
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- ✓ Starbucks announced on September 24 that it would close approximately 250 coffeehouses across the United States and Canada.
- ✓ The store closures are scheduled to be completed by the end of the 2026 fiscal year.
- ✓ The closures are part of a corporate downsizing plan addressing underperforming locations and financial performance struggles.
- ✓ Starbucks paired solid comparable sales gains in North America with a decision to trim its fiscal 2026 store expansion plans and book related restructuring charges.
What changed
Retail data confirms that the East Pasadena Starbucks location is among the units shuttered as part of the broader 250-store reduction.
Live updates
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Starbucks Closes 250 Locations Across North America
Starbucks is closing approximately 250 underperforming coffeehouse locations across the United States and Canada as part of a corporate downsizing plan. The coffee chain announced the closures on September 24, with most locations scheduled to shut down by the end of its 2026 fiscal year. This major retail network reduction coincides with solid comparable sales gains in North America and follows financial performance struggles. The downsizing effort marks the second round of closures during CEO Brian Niccol's tenure, impacting various regional markets including operations in Pasadena and New York State.
Why it matters
Retailers across the United States are currently shrinking parts of their store networks as companies reassess operating costs, customer demand, and underperforming locations. Starbucks paired its network reduction with restructuring charges and trimmed fiscal 2026 store expansion plans. Despite the store closures and job cuts, recent share price returns show positive momentum for the company compared to its longer-term historical record.
What is confirmed
- Starbucks announced on September 24 that it would close approximately 250 coffeehouses across the United States and Canada.
- The store closures are scheduled to be completed by the end of the 2026 fiscal year.
- The closures are part of a corporate downsizing plan addressing underperforming locations and financial performance struggles.
- Starbucks paired solid comparable sales gains in North America with a decision to trim its fiscal 2026 store expansion plans and book related restructuring charges.
What to watch next
- Completion of the remaining store closures before the end of the 2026 fiscal year
- Further corporate announcements regarding total job cuts and financial restructuring charges
confidence 100%Sources used for this update (8)
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Starbucks to close 250 stores, cut 900 jobs
Starbucks is closing 250 underperforming stores across North America, resulting in 900 job cuts and a $300 million charge. The closures, including 17 stores in New York State and eight in New York City, mark the second round of closures during CEO Brian Niccol's tenure. This move is part of a corporate downsizing plan aimed at addressing financial performance struggles.
Why it matters
The store closures and job cuts reflect Starbucks' efforts to restructure and improve its financial performance. The company has been facing challenges, including rising diesel costs and economic concerns. CEO Brian Niccol's strategy to shut underperforming locations aims to streamline operations and boost profitability.
What is confirmed
- Starbucks is closing approximately 250 underperforming coffeehouses across North America.
- The closures result in 900 job cuts and a $300 million charge for the company.
- 17 stores in New York State, including eight in New York City, are among the locations being closed.
- This restructuring marks the second round of closures during CEO Brian Niccol's two-year tenure.
What to watch next
- Starbucks' financial performance in the next quarter
- Impact of store closures on employees and local communities
- Future restructuring plans from CEO Brian Niccol
confidence 100%Sources used for this update (3)
- www.foxbusiness.com — U.S. Economy - Fox Business ,Saving & Investing
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Starbucks Shuts 250 North American Stores in Restructuring
Starbucks is closing approximately 250 underperforming coffeehouses across North America as part of a corporate downsizing plan. The closures result in 900 job cuts and a $300 million charge for the company. Starbucks Chief Operating Officer Mike Grams revealed plans to shutter the locations citing struggles with financial performance. Affected areas include 17 stores in New York State, with eight of those located in New York City. This restructuring marks the second round of closures during CEO Brian Niccol's two-year tenure.
Why it matters
The coffee chain is redirecting billions toward a costly turnaround amid shrinking sales, rising labor tensions, and lower growth forecasts. Fiscal third-quarter revenue dropped 1.40 percent to USD 9.32 billion. Operating margins previously slid to 9.90 percent in fiscal 2025 from earlier highs.
What is confirmed
- Starbucks is closing about 250 underperforming North American coffeehouses in a corporate downsizing plan.
- Chief Operating Officer Mike Grams cited financial performance struggles when revealing the closure plans.
- The closures result in 900 job cuts and a $300 million charge for the company.
- Starbucks expects about 440 net new openings in fiscal 2026, down from 600 to 650.
Still unconfirmed
- A reported 17 Starbucks locations in New York State and eight in New York City are allegedly closing as part of the nationwide cuts.
What to watch next
- Investor response to the turnaround strategy and capital redirection
- Further localized announcements regarding specific store closures across North American regions
confidence 100%Sources used for this update (14)
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Starbucks Shuts Down Underperforming Locations
Starbucks is closing approximately 250 underperforming coffeehouses across North America as part of a corporate downsizing plan announced on September 24, 2026. The closures result in 900 job cuts and a $300 million charge for the company. Affected regions include four locations in South Carolina, a shop in Milwaukee, three downtown Vancouver sites, San Diego County, and Rockford. Company leadership states the move targets struggling locations to improve in-store experiences and meet financial goals. This marks the second round of closures during CEO Brian Niccol's two-year tenure.
Why it matters
The downsizing follows financial pressures and operational restructuring within the coffee chain. Leadership frames the closures as a strategic adjustment to enhance store performance and customer experience. The move directly impacts hundreds of workers through layoffs across multiple regional markets.
What is confirmed
- Starbucks is shutting down approximately 250 underperforming coffeehouses across North America.
- The corporate downsizing involves 900 job cuts and a $300 million charge for the company.
- The closures were announced on September 24, 2026.
- Affected areas include four locations in South Carolina, a shop in Milwaukee's Lower East Side, and three prominent sites in downtown Vancouver.
What to watch next
- Further announcements regarding specific store addresses in San Diego County and other regions.
- Employee union responses to the 900 job cuts.
- Quarterly financial reports detailing the impact of the $300 million charge.
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- www.sandiegouniontribune.com — Is your Starbucks closing? A list of closures in San Diego County – San Diego Union-Tribune
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Starbucks Shuts 250 North American Stores in Restructuring
Starbucks is shutting down approximately 250 underperforming coffeehouses across North America as part of a sweeping corporate downsizing. The closures involve 900 job cuts and a $300 million charge for the company, following an announcement made on September 24, 2026. Affected areas span multiple regions, including four locations in South Carolina, a shop in Milwaukee's Lower East Side, and three prominent sites in downtown Vancouver. Company leadership attributes the practicality of the move to struggling locations, marking the second round of closures during CEO Brian Niccol's two-year tenure.
Why it matters
The restaurant chain is shifting its capital toward store retrofits and lowering its new-store guidance amid falling shares and analyst downgrades. While the total number of closures represents a fraction of the company's 18,000 North American stores, the move has drawn sharp criticism from the United Steelworkers union over corporate priorities. Individual employees are also grappling with fallout from the sudden shutdowns, such as workers facing complex financial hurdles regarding unpaid 401k loans when their stores close.
What is confirmed
- Starbucks announced on September 24, 2026, that it will close about 250 coffeehouses across North America.
- The restructuring involves a $300 million charge, reduced new-store guidance, and a shift of capital toward retrofits.
- The downsizing includes four closed locations in South Carolina, a Lower East Side shop in Milwaukee, and three prominent downtown Vancouver locations.
Still unconfirmed
- Falling shares and analyst downgrades are directly tied to the decision to shift capital from new stores to retrofits.
What to watch next
- Further announcements regarding specific store closures in other cities or regions
- Updates on the 900 job cuts and union responses
- Financial performance metrics following the $300 million restructuring charge
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Starbucks Shuts 250 Stores Across North America
Starbucks is shutting approximately 250 underperforming locations across North America as part of a restructuring plan that impacts roughly 1 percent of its footprint. Company Chief Operating Officer Mike Grams announced the move in a public statement on Thursday, noting that most of the 18,000 North American stores remain profitable while a small portion struggles. The closures began this week and include a specific location on Main Street in East Greenwich. The restructuring involves cutting 900 jobs, drawing criticism from the United Steelworkers union regarding corporate priorities.
Why it matters
The closures represent a targeted contraction for a massive coffee chain operating thousands of locations across the continent. While the vast majority of cafes remain financially viable, leadership is shifting focus toward higher-potential sites. This downsizing drew immediate pushback from labor representatives who argue the company values financial gains over employee livelihoods.
What is confirmed
- Starbucks announced plans to close roughly 250 stores across North America.
- Company COO Mike Grams revealed the closure plans in a public statement on Thursday.
- Most of the 18,000 North American Starbucks stores are profitable.
- The Starbucks location on Main Street in East Greenwich is closing.
Still unconfirmed
- The United Steelworkers union claimed that Starbucks prioritizes profits over workers.
What to watch next
- Further announcements regarding specific store addresses slated for closure
- Additional statements from labor organizations regarding the 900 job cuts
confidence 100%Sources used for this update (3)
- flipboard.com — Starbucks to close 250 stores: 'Difficult decision'
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- www.starbucks.com — Starbucks - Official Site
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Starbucks to close 250 stores in North America
Starbucks is closing approximately 250 underperforming stores across North America, representing about 1% of its locations, as part of a restructuring effort. The closures, which began this week, will affect mostly underperforming stores in the US and Canada. The company cited a "difficult decision" to support higher-potential stores, but the move involves cutting 900 jobs. The United Steelworkers union criticized the action, saying Starbucks prioritizes profits over workers.
Why it matters
The closures are part of Starbucks' effort to restructure and focus on more profitable locations. The company has 18,000 locations in the US, Canada, and Mexico. The decision to close stores comes as Starbucks faces criticism from unions and faces challenges in the competitive coffee market.
What is confirmed
- Starbucks will close approximately 250 stores across North America.
- The closures represent about 1% of Starbucks' North American locations.
- The company is cutting 900 jobs as part of the restructuring effort.
- Starbucks has 18,000 locations in the US, Canada, and Mexico.
- The United Steelworkers union condemned the action, claiming Starbucks prioritizes profits over workers.
What to watch next
- Starbucks' future financial performance
- Reaction from other unions or employee groups
- Details on which specific stores will be closed
confidence 90%Sources used for this update (8)
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- finance.yahoo.com — Beloved coffee chain makes ‘difficult decision’ to close 250 locations in North America
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- note.com — Even though customers are returning, Starbucks is closing 250 stores in North America
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Starbucks to close 250 North American stores in restructuring
Starbucks is shuttering approximately 250 underperforming stores across North America as part of a restructuring effort. The company announced the move on Thursday, with closures scheduled to begin as early as this week. The cuts represent roughly 1% of the chain's North American locations. While the company described the move as a "difficult decision" intended to support higher-potential stores, the restructuring involves cutting 900 jobs. The United Steelworkers union has condemned the action, claiming the corporation is prioritizing profits over workers.
Why it matters
This move marks a second wave of cafe closures for the Seattle-based company. The restructuring aims to shift resources away from underperforming sites to improve overall network efficiency.
What is confirmed
- Starbucks is closing approximately 250 stores in North America.
- The closures are part of a restructuring plan targeting underperforming locations.
- Closures are scheduled to occur by the end of this week.
- The move represents roughly 1% of Starbucks' North American locations.
- Starbucks described the closures as a "difficult decision".
Still unconfirmed
- The restructuring will result in 900 job cuts.
- Some New York locations have already been announced for closure.
What to watch next
- Release of the specific list of stores slated for closure
- Official response from Starbucks regarding the United Steelworkers union claims
confidence 90%Sources used for this update (21)
- Fox Business — Starbucks to close 250 stores: 'Difficult decision'
- CNBC — Starbucks to shutter about 250 stores in latest round of cafe closures
- qz.com — Starbucks closing 250 stores, cutting 900 jobs in restructuring
- WSJ — Starbucks to Close 250 Underperforming Stores
- reuters.com — Starbucks to close another 250 coffeehouses in North America
- AP News — Starbucks to shutter 250 stores in North America this week in 2nd wave of closings
- The Detroit News — Starbucks cuts 250 locations to back higher-potential stores
- USA Today — Starbucks to close 250 locations by the end of this week
- Yahoo — Starbucks to Shut Hundreds of Cafés in New Round of Closures
- East Idaho News — Starbucks is closing hundreds of locations
- Business Insider — Starbucks is closing 250 stores. Read the memo it sent to staff.
- The New York Times — Starbucks to Close 250 Stores in the US
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