Starbucks Just Announced Another Round of Store Closures; Here’s What We Know About NJ and PA

It's been a tough economy for retailers both big and small, and now there's some bad news for the country's largest coffee retailer.

Starbucks Announces Big Changes

Starbucks says their business continues to evolve.

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As a result, the company’s Chief Operating Officer Mike Grams revealed that the chain will close 250 stores across North America later this week. The news was reported by several outlets including the AP. 

This represents a small portion of the company's portfolio, which totals more than 18,000 company operated and licensed coffeehouses in North America. Last September they closed about 627 stores in North America, but they've had 60 net openings year-to-date.

Which Starbucks Locations Are Closing?

Starbucks did not immediately make it clear how many stores in the United States would be closing, but it’s safe to assume that such a list should be published pretty soon as employees and retailers learn the news.

"We’re making this decision for a simple reason: we want every Starbucks coffeehouse to be a place customers love and partners are proud to work," the company's chief operating officer, Mike Gram, announced today.

“The locations targeted either aren't delivering acceptable financial results or can't provide the kind of experience that Starbucks wants for customers and employees,” reports say.

The company's executives say the company is positioned to perform for the long term.

Starbucks Says It's Committed to Growth Moving Forward

The chain says they’re committed to growing moving forward. In fact, reports say that the company has already retrofitted about 1,500 stores over the past year with the goal of making the stores “cozier and more inviting.”

“While most are benefiting from this overall momentum, some coffeehouses continue to underperform despite the hard work and commitment of all of you.”

The exact number of employees who will be affected by the decision was also not immediately clear. But those who are affected by the closures will be moved to other retail locations if possible.