Expansion through Foodservice demonstrates Starbucks commitment to growth in alternate distribution channels.

Starbucks Coffee International, Inc., a wholly-owned subsidiary of Starbucks Coffee Company (NASDAQ: SBUX), has entered into a license partnership agreement with Emperica Marketing (Pty), Ltd. to distribute Starbucks Coffee in South Africa through its We Proudly Brew Starbucks® coffee program in the hotel, restaurant catering, hospitality and leisure channels.

The first We Proudly Brew coffee will be served in select Southern Sun Hotels and Tsogo Sun Casinos in Johannesburg, Cape Town and Durban in time for the World Cup festivities. Customers will be able to enjoy Starbucks brewed coffees, espresso based beverages and Tazo Teas in restaurants, cafes and catering. In South Africa, all Starbucks espresso and espresso based beverages will be made from 100 percent Fairtrade certified coffee.

Southern Sun and Tsogo Sun Gaming are ideal business partners as they are leaders in the leisure industry and they share the same passion and commitment to providing customers with high quality products, and outstanding service.

African farmers produce some of the most extraordinary coffees in the world and Starbucks has a long history of purchasing coffee from Africa. This move into South Africa through the Foodservice channel is another sign of Starbucks commitment to doing business in Africa.

Graham Wood, MD of Southern Sun, comments, “As a brand with over 40 years of experience in servicing the local and international business and leisure traveller, and with our focus on building our portfolio of successful brands, we are excited about the association between our brand and the global leader in high quality coffee. We look forward to being able to offer our guests the large variety of coffee options that will be available to them in select hotels”.

Says Rob Collins, MD of Tsogo Sun Gaming, “We are delighted to be partnering with Starbucks to bring the world’s foremost coffee brand to visitors at our entertainment destinations. This partnership is an example of an ongoing strategy that has seen Tsogo Sun Gaming developing relationships with like-minded brands such as Disney to bring The Lion King and Beauty and the Beast to SA, in addition to some leading local entertainment and media brands.”

LOCATIONS:
Southern Sun Hotels:

• Johannesburg: Southern Sun, SunSquare Montecasino Hotel
• Johannesburg: InterContinental Johannesburg Sandton Towers
• Cape Town: Southern Sun Cullinan Hotel
• Durban: Southern Sun Elangeni Hotel

Tsogo Sun Gaming :

• Johannesburg: Montecasino
• Johannesburg: The Teatro at Montecasino
• Potential future rollout into other Tsogo Sun properties nationwide

When: Phased rollout from May 31, 2010

More about Starbucks Foodservice Starbucks Foodservice is the leading provider of specialty coffee brands, dedicated to serving the unique needs of business-to-business venues including foodservice and office coffee operators, who in turn serve the consumer. Starbucks looks for opportunities to surprise and delight customers by offering specialty coffee brands in places where customers expect to find our products.

More than 4 million cups of coffee are enjoyed globally by consumers through Starbucks Foodservice venues everyday. Starbucks Foodservice venues span geographic regions and serve customers across nearly all demographics including business and industry, colleges and universities, lodging, resorts, office coffee service and restaurants.