China Starbucks to Stop Using Supplier, Amid Milk Scandal

By LORETTA CHAO
Wall Street Journal

BEIJING -- Starbucks Corp.'s China operation has decided to stop using milk from supplier Mengniu Dairy Co., one of China's largest dairy companies, until further notice in the wake of widening poisoned milk scandal, Starbucks said in a statement early Friday.

The decision comes as authorities discovered in recent days that the industrial chemical melamine was added to a broader range of products than baby formula, which has been linked to an unusual spate of kidney stones in thousands of babies. A Starbucks spokeswoman in Shanghai said that customers in their stores have been asking about the safety of the milk used in their products.

More >>