Starbucks Set to Rocket as CEO Gets the Boot

Kevin Johnson, current CEO of Starbucks, will step down as CEO and director of the board on April 4th.

This is happening during a unionization push, which Johnson seems unable to contain.

In the last year, SBUX shares are down about 24%, while the S&P 500 is only down about 4%.

Last year, shareholders rejected the CEO’s pay package proposal, which would have seen Johnson receive a one-time bonus of $1.86 million.

Johnson said he’s not being pushed out, and this was his own decision.

He will be replaced by Howard Schultz, who served as the chairman and chief executive officer of Starbucks from 1986 to 2000, and then again from 2008 to 2017.

Schultz will serve as interim CEO.

Under Schultz’s command, the stock price went from approximately $9 in 2008, to $57 in 2017.

In 2008 there were approximately 7,000 locations. In 2018, there were about 23,000.