Coffee chain Starbucks has declared its first dividend, joining
food and beverage firms like McDonald's and Coca-Cola in making
payouts to shareholders.
The firm’s CEO Howard Schultz said at its annual meeting that
the move signals a reframing of its growth strategy.
He says the dividend is an opportunity to reward its
shareholders.
Mr Schultz bought Starbucks in 1987 and transformed the small
Seattle outfit into one of the world's most recognized
brands.
He was at the helm at the fast-growing company from 1987 to 2000
and remains a very active chairman.
Mr Schultz retook the reins in 2008 and slashed nearly 600 million
US dollars in costs by shuttering hundreds of US
stores.
He also put the brakes on aggressive international
expansion.
At the annual meeting, Mr Schultz also says Starbucks is now ready
to expand its US store base and accelerate international
expansion.
He also expects to turn its Via instant coffee and Seattle's Best
Coffee into billion-dollar businesses.
In addition, the company has announced plans to buy back 15 million
common shares on top of 6.3 million shares remaining under previous
authorizations.
-- 938Live