WATERBURY, Vt. & SEATTLE--(BUSINESS WIRE)--Mar. 14, 2014--
Keurig Green Mountain, Inc. (Keurig) (NASDAQ: GMCR), a leader in
specialty coffee, coffee makers, teas and other beverages with its
innovative brewing technology, and Starbucks Coffee Company (NASDAQ:
SBUX), the global leader in the premium single cup coffee category,
announced today amended terms to the companies’ existing five-year
agreement.
The companies have updated their agreement to continue to expand
Starbucks range of K-Cup® pack offerings and to promote expanded
consumer choice as Keurig continues to build its Keurig® brewing system.
In exchange for eliminating the super-premium coffee exclusivity terms
of the existing agreement Starbucks will receive improved business
terms, including significantly expanded Starbucks K-Cup® pack and
variety types.
Starbucks Coffee Company group president, China and Asia Pacific,
Channel Development and Emerging Brands, John Culver said, “This
amendment advances Starbucks commitment to strengthening its global
leadership position in the nearly $8 billion premium single cup coffee
category. With nearly 2 billion Starbucks K-Cup® packs
shipped from the inception of our relationship through the end of 2013
this contractual update underscores the appeal of Starbucks to the
millions of Keurig brewer owners and the continued innovation and
collaboration our relationship reflects.”
“This amended agreement creates more favorable business terms for both
companies and allows us to build upon our strong relationship,” said
Mark Wood, Senior Vice President, Global Hot Systems for Keurig.
About Keurig Green Mountain, Inc.
As a leader in specialty coffee, coffee makers, teas and other
beverages, Keurig Green Mountain (Keurig) (NASDAQ: GMCR), is recognized
for its award-winning beverages, innovative Keurig® brewing
technology, and socially responsible business practices. The Company has
inspired consumer passion for its products by revolutionizing beverage
preparation at home and in the workplace. Keurig supports local and
global communities by investing in sustainably-grown coffee and by its
active involvement in a variety of social and environmental projects. By
helping consumers drink for themselves, we believe we can brew a better
world. For more information visit: www.KeurigGreenMountain.com.
To purchase Keurig® products visit: www.Keurig.com
or www.Keurig.ca.
Keurig routinely posts information that may be of importance to
investors in the Investor Relations section of its website, www.KeurigGreenMountain.com,
including news releases and its complete financial statements, as filed
with the SEC. The Company encourages investors to consult this section
of its website regularly for important information and news.
Additionally, by subscribing to the Company’s automatic
email news release delivery, individuals can receive news directly
from Keurig as it is released.
Keurig Green Mountain Forward-Looking Statements
Certain information in this filing constitutes "forward-looking
statements." Forward-looking statements can be identified by the fact
that they do not relate strictly to historical or current facts. They
often include words such as "believes," "expects," "anticipates,"
"estimates," "intends," "plans," "seeks" or words of similar meaning, or
future or conditional verbs, such as "will," "should," "could," "may,"
"aims," "intends," or "projects." However, the absence of these words or
similar expressions does not mean that a statement is not
forward-looking. These statements may relate to: the expected impact of
raw material costs and our pricing actions on our results of operations
and gross margins, expected trends in net sales and earnings performance
and other financial measures, the expected productivity and working
capital improvements, the success of introducing and producing new
product offerings, the impact of foreign exchange fluctuations, the
adequacy of internally generated funds and existing sources of
liquidity, such as the availability of bank financing, the expected
results of operations of businesses acquired by us, our ability to issue
debt or additional equity securities, our expectations regarding
purchasing shares of our common stock under the existing authorizations,
projections of payment of dividends, and the impact of the inquiry
initiated by the SEC and any related litigation or additional
governmental inquiry or enforcement proceedings. A forward-looking
statement is neither a prediction nor a guarantee of future events or
circumstances, and those future events or circumstances may not occur.
Management believes that these forward-looking statements are reasonable
as and when made. However, caution should be taken not to place undue
reliance on any such forward-looking statements because such statements
speak only as of the date when made. We expressly disclaim any
obligation to update or revise any forward-looking statements, whether
as a result of new information, future events or otherwise. In addition,
forward-looking statements are subject to certain risks and
uncertainties that could cause actual results to differ materially from
our Company's historical experience and our present expectations or
projections. These risks and uncertainties include, but are not limited
to, those described in Part I, "Item 1A. Risk Factors," and Part II
"Item 7. Management's Discussion and Analysis of Financial Condition and
Results of Operations" in our fiscal 2013 Annual Report filed on Form
10-K with the Securities and Exchange Commission.
Actual results could differ materially from those projected in the
forward-looking statements. We expressly disclaim any obligation to
update or revise any forward-looking statements, whether as a result of
new information, future events or otherwise.
About Starbucks
Since 1971, Starbucks Coffee Company has been committed to ethically
sourcing and roasting high-quality arabica coffee. Today, with stores
around the globe, the company is the premier roaster and retailer of
specialty coffee in the world. Through our unwavering commitment to
excellence and our guiding principles, we bring the unique Starbucks
Experience to life for every customer through every cup. To share in the
experience, please visit us in our stores or online at www.news.starbucks.com.
Starbucks Forward-Looking Statements
Certain statements contained herein are not based on historical fact and
are "forward-looking statements" within the meaning of the applicable
securities laws and regulations. Generally, these statements can be
identified by the use of words such as "anticipate," "believe," "could,"
"estimate," "expect," "feel," "forecast," "intend," "may," "plan,"
"potential," "project," "should," "will," "would," and similar
expressions intended to identify forward-looking statements, although
not all forward-looking statements contain these identifying words.
These statements are based on information available to Starbucks as of
the date hereof, and Starbucks actual results or performance could
differ materially from those stated or implied, due to risks and
uncertainties associated with its business. These risks and
uncertainties include: evolving understanding of the definition of and
consumer preference for super-premium coffee; continued growth in the
single-serve sector and market acceptance of Starbucks coffee and brands
in that sector; the ability of Starbucks to continue its growth in the
single-serve sector; continued consumer success of the Keurig Single-Cup
Brewing system, including successful distribution of the System and
portion packs in existing and contemplated markets and channels
domestically and internationally; the potential introduction of
super-premium coffee by new market entrants including on the Keurig
Single-Cup Brewing system; and the risk factors disclosed in the most
recent Annual Report on Form 10-K, which Starbucks filed with the
Securities and Exchange Commission on November 18, 2013. Forward-looking
statements reflect management's analysis as of the date of this release.
Starbucks does not undertake to revise these statements to reflect
subsequent developments, except as required under the federal securities
laws.
KMG-G
Photos/Multimedia Gallery Available: http://www.businesswire.com/multimedia/home/20140314005344/en/
Source: Starbucks Coffee Company
For Media:
Keurig Green Mountain, Inc.
Kristen Mercure,
802-488-2498
Sr. Corporate Communications Specialist
kristen.mercure@gmcr.com
or
Starbucks
Coffee Company
Jim Olson, 206-318-7100
Press@starbucks.com
or
For
Investors:
Keurig Green Mountain, Inc.
Katie Gilroy,
781-205-7345
Corporate Communications Manager
katie.gilroy@gmcr.com
or
Starbucks
Coffee Company
JoAnn DeGrande, 206-318-7118
Investorrelations@starbucks.com