Starbucks coffee chain closed hundreds of locations
AL.com••business
Key Points:
- Starbucks closed approximately 400 stores across the U.S. in 2025 as part of a $1 billion restructuring plan that also included layoffs of 900 corporate employees.
- The company is scaling back its previous expansion efforts in major metro areas like New York and Los Angeles due to increased competition and shifting customer behavior post-Covid.
- Sales at Starbucks stores open for at least a year have declined consistently in 2025, contributing to a 9% drop in the company’s stock value this year.
- Closures affected key cities including New York City (40+ stores), Los Angeles (20), Chicago (15), San Francisco (7), Minneapolis (6), and Baltimore (5), with specific locations chosen for underperformance
