No Turn On Red

As speculated last week, Starbucks has announced layoffs and another round of store closings. For the quarter ending December 28, the coffee retailer announced a 69% drop in net income and a 10% drop in same store sales.

These store closings are on top of the 600 company-owned stores the chain closed in 2008. 200 of the closings will be in the United States with 100 closing oversees.

CEO Howard Schultz also announced that he is reducing his base pay to $10,000 from $1.2 milllion.

Follow reaction to the announcement in the comments posted over at Starbucks Gossip.

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