Starbucks to shut 250 North American stores, cut jobs amid India tech expansion

Starbucks plans to close 250 North American stores, including 20 in L.A. County, by fiscal year 2026. The closures are part of its 'Back to Starbucks' strategy to improve performance and financial viability, with estimated restructuring costs of $300 million. This follows a previous round of 627 store closures last year.

Starbucks plans to close 250 North American stores, about 1% of its total locations, due to poor customer experience or financial non-viability. The closures are part of a $1 billion restructuring plan by CEO Brian Niccol and will cost approximately $300 million. Despite the closures, the company reported 7.9% same-store sales growth and plans to open new cafés.

Starbucks plans to close 250 underperforming stores in North America, reducing its fiscal 2026 net-new global coffeehouse target to 440. The company expects $300 million in restructuring charges, with $200 million in cash costs. This follows a July warning about underperforming stores. Starbucks reported improved margins in Q3, partly due to tariff refunds.

Starbucks plans to close 250 underperforming U.S. stores, including six in Washington, by the end of 2026, incurring $300 million in restructuring charges. The company will relocate affected employees or offer severance. Starbucks has also cut 1,200 corporate jobs in recent layoffs, with 200 from its Seattle headquarters.

Starbucks will permanently close its Village Green Shopping Centre location in Vernon by September 26. The closure is part of a broader plan to shut down 250 North American stores by 2026, incurring $300 million in restructuring costs, according to a regulatory filing. Two other Starbucks locations remain in Vernon.

Starbucks plans to close 250 stores in North America by 2026 and reduce its global store-opening target for the year, despite reporting four consecutive quarters of growth. The closures are expected to cost $300M in lease agreements, severance, and asset disposition. The company is adjusting its expansion strategy, which offers lessons for small businesses about scaling and managing growth.