Starbucks to raise prices to cover costs

By Mary Jane Credeur
Bloomberg News
Published September 21, 2006

Starbucks Corp., the world's largest coffee-shop chain, plans to raise the price of its coffee by about 5 cents a cup to counter rising employee and energy costs.

The 1.9 percent increase takes effect Oct. 3 and applies to brewed coffee, espresso-based beverages and other drinks, spokeswoman Valerie O'Neil said in an interview today. Starbucks will also raise prices on some packaged whole-bean coffees by about 50 cents per pound, or 3.9 percent.

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