Starbucks 4th-quarter profit falls 97 percent on costs for closing stores

Seattle-based Starbucks said profit in the quarter fell 97 percent to $5.4 million. Revenue rose 3 percent to $2.52 billion from $2.44 billion.

 Starbucks began shutting the U.S. and
Australian stores this summer as part of its nearly yearlong campaign
to reverse slowing sales and falling profits at the company. Besides
closing the stores, Starbucks has cut more than 1,000 positions —
many of which were unfilled — and introduced a slew of new
products, including Vivanno smoothie drinks and breakfast pastries.

The company also replaced aging
espresso makers, launched new single-cup Clover brewing machines in
some markets, retrained baristas and began a loyalty card program to
offer customers more value for their cup.