Starbucks Enhances its Commitment to Education in China; Joins with China Soong Ching Ling Foundation to Boost Rural Education; Program Will Provide Tools and Improved Training for Teachers in Western China

Starbucks Enhances its Commitment to Education in China; Joins with China Soong Ching Ling Foundation to Boost Rural Education; Program Will Provide Tools and Improved Training for Teachers in Western China

February 15, 2006

BEIJING–(BUSINESS WIRE)–Feb. 14, 2006–As part of its long-term

commitment to support improved educational opportunities in China,

Starbucks Coffee Company (Nasdaq:SBUX) today entered into an agreement

with the China Soong Ching Ling Foundation to provide 12 million RMB

($1.5 million USD) to support a program aimed at helping students in

need — and their teachers — in rural China.

In a ceremony at the Great Hall of the People, attended by Starbucks

chairman Howard Schultz, key Chinese government officials including Mme. Gu

Xiulian, Vice Chairman of the Standing Committee of the National People’s

Congress and Chairman of All China Women’s Federation, local dignitaries

and community leaders, Starbucks and China Soong Ching Ling Foundation

signed a formal agreement which establishes a program to help improve

access to education for disadvantaged youth and provide quality training

for women teachers in rural areas. China Soong Ching Ling Foundation

anticipates reaching approximately 3,000 teachers and thousands of students

by the year 2010.

The agreement outlines a multi-faceted educational improvement

program that will be carried out over the next four years, two

elements of which were detailed today:

— Teaching the Teachers. Many teachers in rural schools have

little or no formal training in how to teach. Three thousand

female teachers from 1,000 primary and middle school in five

Western provinces (Chongqing, Yunnan, Shannxi, Sichuan and

Ningxia) will be given training during summer and winter

holidays to improve their teaching skills and provide them

with updated techniques to help their students learn.

— Starbucks “Libraries.” Three hundred schools will be outfitted

with books, computers, teaching tools and upgraded sports

facilities.

“We are as passionate about our commitment to our communities as

we are about achieving financial success,” said Mr. Schultz. “By

creating this program with the China Soong Ching Ling Foundation,

which has done so much good work for children, we will provide tools

and teacher training that will help children in rural China build

brighter futures.”

Mr. Hu Qili, Chairman of China Soong Ching Ling Foundation,

presented an Honorary Certificate to Mr. Schultz to express his

appreciation towards Starbucks on behalf of the Foundation.

Mr. Yu Guilin, Executive Vice Chairman of China Soong Ching Ling

Foundation, noted that “Starbucks has been in China for just a few

years, but they clearly understand how important education is to the

people of China and how vital it is to provide much-needed assistance

to children in rural China, particularly young girls. With this

commitment, we also will be able to provide up-to-date training for

rural teachers, so they will have the skills necessary to inspire

these young minds and help them learn.”

This is the first effort funded under the auspices of the 40

million RMB ($5 million USD) China Education Project, which Starbucks

established in September 2005 with Give2Asia, a US nonprofit

organization founded by The Asia Foundation to promote philanthropy in

Asia, which will administer the Project grants.

The Project is overseen by a steering committee whose members

include: Mr. Yu Guilin, Executive Vice Chairman of China Soong Ching

Ling Foundation; Mme. Mo Wenxiu, Vice Chairman of All China Women’s

Federation; Mr. Cen Jianjun, Deputy Director-General of the Department

of International Cooperation, Ministry of Education; Professor Hu

Dongcheng, Tsinghua University; Gary Locke, attorney and former

governor of Washington state; Xiao Rong, Asia Foundation; Charles

Wang, acting president, MeiDa Beijing Coffee Company; John Hsu,

president, Shanghai Starbucks Coffee Company; Michael Wu, managing

director, Maxim Caterer’s Limited; as well as Starbucks executives

Howard Schultz, Sandra Taylor, Christine Day and Jinlong Wang.

Schultz noted that being both a socially responsible and

profitable business are not mutually exclusive. “At Starbucks, the

commitment to help improve our communities is an integral part of our

culture and business practices,” Mr. Schultz said.

Since the company opened its first store in China in 1999,

Starbucks store partners have been involved in ongoing community

initiatives from volunteer opportunities with local schools to

fund-raising activities in support of AIDS-afflicted orphans, local

educational charities, and the tsunami victims in Southeast Asia.

About Starbucks:

Starbucks Corporation is the leading retailer, roaster and brand

of specialty coffee in the world, with more than 10,500 retail

locations in North America, Latin America, Europe, the Middle East and

the Pacific Rim. The Company is committed to offering the highest

quality coffee and the Starbucks Experience while conducting its

business in ways that produce social, environmental and economic

benefits for communities in which it does business. In addition to its

retail operations, the Company produces and sells bottled

Frappuccino(R) coffee drinks, Starbucks DoubleShot(R) espresso drink,

and a line of superpremium ice creams through its joint venture

partnerships. The Company’s brand portfolio provides a wide variety of

consumer products — innovative superpremium Tazo(R) teas and

exceptional Starbucks Hear Music(TM) compact discs enhance the

Starbucks Experience through best-of-class products. The Seattle’s

Best Coffee(R) and Torrefazione Italia(R) coffee brands enable

Starbucks to appeal to a broader consumer base by offering an

alternative variety of coffee flavor profiles.

About the China Soong Ching Ling Foundation:

The China Soong Ching Ling Foundation (SCLF) was established On

May 29, 1982, in the memory of Mme. Soong Ching Ling, late honorary

president of the People’s Republic of China and wife of Dr. Sun

Yat-Sen, founder of the Republic of China.

The aim of the Foundation is to honor and continue the love and

concern for children’s development that Mme. Soong Ching Ling

displayed during her lifetime, and to contribute to children’s

education, scientific knowledge and overall welfare.

CONTACT:

Edelman Public Relations, Beijing

Johnny Zhang or Carrie Fang, (86) 10 6530 8590 ext. 273

[email protected]

[email protected]

Copyright Business Wire 2006