Starbucks, the Seattle-based company that turned coffee into a high-priced daily indulgence, announced Wednesday that it will eliminate about 6,700 jobs because of the difficult economy.
In a statement, the company said its profit dropped 69 percent in its fiscal first quarter. Starbucks said it will close 300 underperforming stores in addition to the 600 it already planned to close in the U.S. The company had planned to open 200 stores in the United States but said it will scale back to 140.
Starbucks said the closings and other “labor efficiencies” could cost as many as 6,000 jobs. The company will also lay off 700 employees who work outside of the stores.
