Starbucks announced a board-approved restructuring plan on May 13, 2026, as part of its ongoing "Back to Starbucks" strategy. The plan is designed to capture cost savings and drive long-term growth by streamlining its support organization and reducing operational complexity, resulting in approximately $400 million in associated charges.
Key Details
- Total Charges: The company expects to incur approximately $400 million in total restructuring charges, with the majority of actions to be completed by the end of fiscal year 2026.
- Charge Breakdown: The charges consist of ~$280 million in non-cash asset impairments, primarily related to its Starbucks Reserve and Roastery locations, and ~$120 million in cash charges for employee separation benefits.
- Strategic Actions: The plan includes streamlining domestic and international support organizations, optimizing non-retail facilities, and simplifying operations at its premium Reserve and Roastery coffeehouses.