Starbucks to close around 250 underperforming stores in North America

In its filing with the US Securities and Exchange Commission, Starbucks said the closures will be completed by the end of fiscal year 2026, with approximately $300 million of restructuring charges to be incurred.

Starbucks anticipates that approximately $200 million of the restructuring charges will be primarily related to lease exit costs and employee separation benefits.

“Closing any coffeehouse is a difficult decision, and we know today’s news will be hard for the partners, customers and communities affected,” Grams said.

Affected employees will be receiving support through the transition, according to the COO. This includes transfer opportunities wherever possible, as well as severance support for employees who will not be redeployed to other stores.

“To the partners in those coffeehouses impacted by today’s news, I want to say thank you on behalf of Starbucks for the work you have done. We’re committed to supporting you through this transition,” Grams said.