Seattle, Washington: Coffee mega-giant Starbucks blames quarterly losses of almost seven million dollars on the closing of 600 of it's slower stores. Drop-off in clients in the UK and Canada contributed to the fall of the company.
Next year Starbucks plans to close more stores than it opens. 61 of 85 stores in Australia will close shop. There is a plan to cut 1,000 corporate office jobs as well.
Increased gourmet coffee competition is partly to blame as McDonald's and Dunkin' Donuts take up selling fancy beans. Paradoxically, though this was it's first quarterly net loss in 15 years, Starbucks sales rose 9 percent.