Overview:
Starbucks Corp. (SBUX, Financial) CEO Keven Johnson did an interview with CNBC's "Squawk on the Street" on Friday. He discussed a range of topics, from the company's recent quarterly earnings to investing in employee benefits and bonuses. The interview was highly informative about the company's plans for the future. During the interview, Jim Cramer asked why Starbucks does not separate its China operations from the rest of the company.
In the most recent quarter, Starbucks saw same-store sales growth of 2.2% thanks to higher average checks as opposed to higher traffic. The company saw weak holiday beverage sales as well. Lower growth and stagnation in the U.S. led to shares falling last week. The company announced it is investing $250 million in its employees and benefits. The company will be handing out bonuses between $500 to $2,000 to its employees.
Interview:
