Starbucks Coffee K-Cup Portion Packs Further Expand Company’s Share of Multi-Billion Dollar Single-Cup Coffee Category

SEATTLE, August 30, 2011 - Starbucks Corporation (NASDAQ:SBUX) today announced that Starbucks® coffee K-Cup® Portion Packs for the Keurig® Single Cup Brewing system will be available throughout grocery stores and specialty retailers in the U.S. starting in November 2011. Starbucks is the exclusive licensed super-premium coffee brand for the Keurig® Brewer, which is produced and sold by Green Mountain Coffee Roasters, Inc. (NASDAQ:GMCR).

Starbucks (r) coffee K-Cup (r) Portion Packs available in stores this November. (Photo: Business Wire)

“We are excited to expand our presence in the multi-billion dollar single-cup coffee category with the introduction of Starbucks® coffee K-Cup® Portion Packs, which offer a convenient at-home brewing solution utilizing the popular Keurig Brewer,” said Jeff Hansberry, president of Starbucks Global Consumer Products Group.

Starbucks® coffee K-Cup® Portion Packs will launch in food, drug, mass, club, specialty, and department store retailers just in time for the holidays. Starbucks® coffee K-Cup® Portion Packs will be available in Canada CPG channels in March 2012 and through Starbucks and GMCR’s direct-to-consumer websites in August 2012. Availability at Starbucks retail stores in the U.S. and Canada is targeted for later in 2012.

“We plan to build Starbucks systemwide sales of K-Cup into a $1 billion business over time,” added Hansberry, who noted that Starbucks VIA® Ready Brew surpassed $200 million in system-wide (Starbucks retail and grocery) sales in its first year.

Starbucks® coffee K-Cup® Portion Packs will be available in Starbucks most popular coffee varieties, including Breakfast Blend, Pike Place® Roast, House Blend, Sumatra, and French Roast. In addition, two selections of Tazo® tea will be available in K-Cup® Portion Packs: Tazo® tea Awake and Tazo® tea Zen. Starbucks® coffee K-Cup® Portion Packs will be available in 10-count, 16-count, and 54-count packs. Tazo® tea K-Cup® Portion Packs will be available in 10-count and 16-count.

“Starbucks 40 years of expertise in sourcing and roasting the world’s finest coffee beans allows us to deliver the aroma, body, and rich flavor of Starbucks coffee in a K-Cup,” said Hansberry. “Now, coffee lovers will have another way to easily enjoy a perfect cup of Starbucks coffee at home.”

Overall coffee category growth in the U.S. last year was driven primarily by single-cup coffee sales of nearly $2 billion*. In addition to the introduction of Starbucks®coffee and Tazo® tea K-Cup® Portion Packs, Starbucks premium single-cup strategy led to an alliance last March with Courtesy Products, the nation's leading provider of in-room coffee service to hotels. This will extend the Starbucks brand as the exclusive super-premium coffee offered in 500,000 premium and luxury hotel rooms in the U.S.

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

* Source: Combined data from Euromonitor, Nielsen, Starbucks internal data and GMCR filings

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