Starbucks sees no slowdown in China

Starbucks has said that its business in China has not been affected by the closure of outlets in other markets and expects growth in the mainland to increase. Starbucks in China has over 350 outlets out of Starbucks' global portfolio of some 17,000. Starbucks Coffee International President Martin Coles did not give any growth forecast for China but said it would take less than 10 years to open the next 350 outlets. “International is the future engine for our company,” he said. Starbucks is to sign co-operation agreements for days with local governments in the southern Yunnan province aimed at helping farmers increase coffee yields and improve quality. The China plan contrasts sharply with the company's recent earnings results. Starbucks' net profit for the fourth quarter 2008 ended 28 September dropped 97% to USD5.4 million and like-for-like sales fell 5% in the US during fiscal 2008.

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