Starbucks Leaving Russian Market, Shutting 130 Stores

Starbucks is pulling out of Russia.

In a memo to employees Monday, the Seattle coffee giant said it was closing its 130 stores and no longer has a brand presence in Russia. Starbucks will pay its Russian employees for six months and help them transition to new jobs.

McDonald's exited the Russian market last week. McDonald's is selling most of its stores to an existing Russian franchisee. McDonald's name or menu won't be allowed to be used by the stores.

Starbucks stores are owned and operated by Alshaya Group, a Kuwait-based franchise operator. A Starbucks representative referred questions to Alshaya.

Starbucks entered the Russian market. After the Russian invasion of Ukraine, Starbucks decided to keep its Russian stores open and donate profits to humanitarian relief efforts.

Coca-Cola, McDonald's, and others temporarily halted their business in Russia after Starbucks closed its Russian stores.

Through this dynamic situation, we will continue to make decisions that are true to our mission and values and communicate with transparency, Kevin Johnson wrote in a message to employees.