Starbucks (SBUX) – Get Report shares jumped higher in pre-market trading Tuesday after the world’s biggest coffee chain said it expects the vast majority of its company-owned U.S. stores will re-open by the end of the week.
In a letter from CEO Kevin Johnson, published late Monday, Starbucks said 85% of its company-owned stores would be ‘responsibly’ re-opened this week, with at least 90% opened by early June, albeit under ‘modified operations and hours’ that are likely to reflect social distancing guidelines. Johnson also noted that nearly all of its stores are back up-and-running in China, it’s second largest market.
“The foundation of our approach comes from what we have learned in China, where more than 98% of our stores are now open and operating under revised protocols,” Johnson said. “We have adapted these protocols for the U.S. and our goal is to exceed the standards outlined by the Centers for Disease Control and Prevention for a safe experience, including heightened emphasis on cleaning and sanitizing protocols in our stores.”