Starbucks Coffee Starbucks Coffee CompanyCompany

Pete Bocian Pete Bocian EVP and CFO DesignateEVP and CFO Designate

Goldman SachsGoldman Sachs14th Annual Global Retailing Conference14th Annual Global Retailing Conference

New York, NYNew York, NYSept. 5, 2007Sept. 5, 2007

Forward Looking StatementForward Looking StatementThis presentation includes forward looking statements about This presentation includes forward looking statements about trends in or expectations regarding the Companytrends in or expectations regarding the Company’’s s anticipated anticipated store openings and growth in comparable store sales, net store openings and growth in comparable store sales, net revenue,revenue, net earnings and earnings per share.net earnings and earnings per share. These forward These forward looking statements are based on currently available operating, looking statements are based on currently available operating, financial, and competitive information and are subject to varioufinancial, and competitive information and are subject to various s risks and uncertainties. Actual future results and trends may risks and uncertainties. Actual future results and trends may differ materially depending on a variety of factors including budiffer materially depending on a variety of factors including but t not limited to, coffee, dairy and other raw material prices and not limited to, coffee, dairy and other raw material prices and availability, successful execution of internal performance and availability, successful execution of internal performance and expansion plans, fluctuations in U.S. and international expansion plans, fluctuations in U.S. and international economies and currencies, the impact of initiatives by economies and currencies, the impact of initiatives by competitors, the effect of legal proceedings, and other risks competitors, the effect of legal proceedings, and other risks detailed in the Companydetailed in the Company’’s filings with the Securities and s filings with the Securities and Exchange Commission, including the Exchange Commission, including the ““Risk FactorsRisk Factors”” section of section of Starbucks Annual Report on Form 10Starbucks Annual Report on Form 10--K for the fiscal year ended K for the fiscal year ended October 1, 2006. The Company assumes no obligation to update October 1, 2006. The Company assumes no obligation to update any of these forwardany of these forward--looking statements.looking statements.

StarbucksStarbucks……is a leading retailer and roaster of specialty coffeeis a leading retailer and roaster of specialty coffee

Broad geographic diversityBroad geographic diversitySignificant presence in North AmericaSignificant presence in North AmericaExpanding footprint in AsiaExpanding footprint in Asia--Pacific, Latin America & EMEAPacific, Latin America & EMEA

Brand strength / brand loyaltyBrand strength / brand loyaltyInnovative beverages, food & entertainment offeringsInnovative beverages, food & entertainment offeringsThird Place experience (between home and work)Third Place experience (between home and work)

Balanced growth strategyBalanced growth strategyStrong returns while investing for the futureStrong returns while investing for the future

History of strong financial performanceHistory of strong financial performanceGrowth and profitabilityGrowth and profitability

Our ProfileOur Profile**

Starbucks was founded in 1971, went public Starbucks was founded in 1971, went public in June 1992 with 126 stores...and now?in June 1992 with 126 stores...and now?

More than 14,000 stores in 42 countriesMore than 14,000 stores in 42 countriesApproximately 47 million customer visits per weekApproximately 47 million customer visits per week

2006 Revenues of $7.8 billion2006 Revenues of $7.8 billion2006 Net Earnings of $564 million2006 Net Earnings of $564 million

Approximately 150,000 partners (employees)Approximately 150,000 partners (employees)

* At YTD July 1, 2007, unless otherwise noted* At YTD July 1, 2007, unless otherwise noted

How we look at the businessHow we look at the business

Op Op IncomeIncome(2)(2)

RevsRevsComprised ofComprised ofSegmentsSegments

4%4%

17%17%

79%79%

% of the Total% of the Total(1)(1)

12%12%--Grocery and warehouse club Grocery and warehouse club business business -- Branded products Branded products

Consumer Consumer Products GroupProducts Group

8%8%-- CompanyCompany--operated stores operated stores -- Licensed stores / Joint ventures Licensed stores / Joint ventures -- Foodservice accountsFoodservice accounts

InternationalInternational80%80%

-- CompanyCompany--operated stores operated stores -- Licensed storesLicensed stores-- Foodservice accounts Foodservice accounts

U.S.U.S.

(1)(1) At Q3 YTD FY07At Q3 YTD FY07(2)(2) Represents % contribution to combined operating income of the tRepresents % contribution to combined operating income of the three business segments hree business segments

(excludes unallocated corporate expenses)(excludes unallocated corporate expenses)

Food Items15%

Equip. & Other Merch.

6%Beverages

76%

Whole Bean3%

U.S. Business SegmentU.S. Business Segment

U.S. Retail89%

Foodservice & Other

5%Licensing

6%

Investing in store countInvesting in store countFYE 2005 FYE 2005 –– 7,3537,353FYE 2007e FYE 2007e –– 10,59610,596FYE 2008e FYE 2008e –– 12,29612,296

Established and experienced businessEstablished and experienced businessStore DevelopmentStore DevelopmentOperations Operations Staffing Staffing

Continued growth opportunity Continued growth opportunity –– to 20,000 storesto 20,000 stores

CompanyCompany--operated Retail operated Retail Sales MixSales Mix

Revenue ProfileRevenue Profile

Q3 YTD FY07Q3 YTD FY07

JV/ Licensed

11%

Other Company-operated

17%

United Kingdom

38%

Canada34%

International Business SegmentInternational Business SegmentPresence in 41 countriesPresence in 41 countries

Variety of business modelsVariety of business modelsCanada & U.K. contribute majority of revenue todayCanada & U.K. contribute majority of revenue todayEarly stages of growthEarly stages of growth

Significant investment ahead of the curveSignificant investment ahead of the curveKey markets for future include China, Russia, Brazil and IndiaKey markets for future include China, Russia, Brazil and India

Increasing contribution to CompanyIncreasing contribution to Company’’s growth & profits growth & profitGrowth opportunity Growth opportunity -- to 20,000 storesto 20,000 stores

Licensing13%

Retail85%

Foodservice & Other

2%

Revenue DistributionRevenue Distribution

Q3 YTD FY07Q3 YTD FY07

Revenue ProfileRevenue Profile

UK & Canada includes total UK & Canada includes total geographic revenuegeographic revenue

Global Consumer Products SegmentGlobal Consumer Products SegmentExtends the Extends the Starbucks ExperienceStarbucks Experience outside our outside our retail storesretail storesProvides significant channel and product Provides significant channel and product expansion opportunitiesexpansion opportunitiesPartner with wellPartner with well--known consumer companiesknown consumer companies

Pepsi, Kraft, SuntoryPepsi, Kraft, SuntoryLow cost / high margin business structureLow cost / high margin business structure

Key Drivers To Support Growth StrategyKey Drivers To Support Growth StrategyKey Drivers To Support Growth Strategy

Expand store footprint in new & existing marketsStrong Store Development skills

Continue strong operational performanceQuick ramp to revenues and returns

On a per store basisImprove International margins

Promote continuous innovationIn the Store – Global with local relevance

Remain employer of choiceBenefits Stock optionsSkills learned

Continue to leverage G&A and back-office expensesCommitment to be a responsible company

Responsible sourcing – economic and socialContribution to our communities

Expand store footprint in new & existing marketsExpand store footprint in new & existing marketsStrong Store Development skillsStrong Store Development skills

Continue strong operational performanceContinue strong operational performanceQuick ramp to revenues and returnsQuick ramp to revenues and returns

On a per store basisOn a per store basisImprove International marginsImprove International margins

Promote continuous innovationPromote continuous innovationIn the Store In the Store –– Global with local relevanceGlobal with local relevance

Remain employer of choiceRemain employer of choiceBenefits Benefits Stock optionsStock optionsSkills learnedSkills learned

Continue to leverage G&A and backContinue to leverage G&A and back--office expensesoffice expensesCommitment to be a responsible companyCommitment to be a responsible company

Responsible sourcing Responsible sourcing –– economic and socialeconomic and socialContribution to our communitiesContribution to our communities

NearNear--Term Growth TargetsTerm Growth Targets

+2,600+2,600+2,400+2,400Net Store OpeningsNet Store Openings

+3% to 7%+3% to 7%

+20% to 22%+20% to 22%

~18%~18%

FY 2008FY 2008

+3% to 7%+3% to 7%

$0.87 to $0.89$0.87 to $0.89

~20%~20%

FY 2007FY 2007

Comparable Store SalesComparable Store Sales

Earnings Per ShareEarnings Per Share

Net RevenueNet Revenue

Growth Goals: Into the FutureGrowth Goals: Into the Future

20072007--2010:2010:

Open at least 10,000 new stores in next four yearsOpen at least 10,000 new stores in next four years

Double the size of the business in next 4 Double the size of the business in next 4 –– 5 years5 years

Grow Net Earnings faster than RevenueGrow Net Earnings faster than Revenue

LongLong--term Opportunity:term Opportunity:40,000 stores worldwide 40,000 stores worldwide –– CompanyCompany--operated and licensedoperated and licensed

Extend the brand through other channels and productsExtend the brand through other channels and products