Making a strong statement against the now prolonged war between Russia and Ukraine, Starbucks on Monday announced in a memo to its employees that it will be shutting down its presence in Russia.
Set to pull out of the Russian market, Starbucks is set to shut down 130 stores, but it will continue to pay its nearly 2,000 Russian employees for six months and help them transition to new jobs.
“Through this dynamic situation, we will continue to make decisions that are true to our mission and values and communicate with transparency,” then Starbucks Corp. CEO Kevin Johnson wrote in a message to employees.
Starbucks’ stores in Russia are owned and operated by Alshaya Group, a Kuwait-based franchise operator. In early March, after the Russian invasion of Ukraine, Starbucks announced that it would keep its Russian stores open but donate any profits to humanitarian relief efforts in Ukraine.
But after Coca-Cola, PepsiCo, McDonald’s, and others announced a temporary closure of stores in Russia, Starbucks went a step ahead and closed all its Russian stores- at least for the foreseeable future.