Starbucks steps in as Taste faces cash crisis
US company says it is reviewing business growth plans in SA
Starbucks Coffee Company is working closely with cash-strapped Taste Holdings to address problems the local company is facing in rolling out the coffee brand in SA. Taste, which has the master licence agreement for Starbucks in SA, is facing a funding crisis and this week hosts a shareholders' meeting to raise funds yet again. In response to questions on its agreement with Taste, the US-based company said: "We are working closely with Taste to review their plans for maintaining and growing a healthy store portfolio, ensuring those plans are disciplined, thoughtful and reflective of the external conditions shaping the local retail market." The spokesperson added: "We are reviewing business growth plans with Taste, not the contract . We remain encouraged by the opportunity for our business in SA." When asked what penalties Taste faced if it did not comply with the conditions of the agreement, the spokesperson said "other details of our business relationship with Taste Holdings are pro...
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