Starbucks Corporation (Nasdaq:SBUX) today announced revenues and earnings for the second quarter of fiscal 2000.

For the second quarter ending April 2, 2000, consolidated net revenues increased 34 percent to $505 million from $376 million for the second quarter of fiscal 1999. Retail revenues increased 35 percent to $429 million and specialty revenues increased 33 percent to $76 million. Comparable store sales increased 10 percent as compared with the second quarter of fiscal 1999.

Net earnings for the second fiscal quarter of 2000 increased 30 percent to $23.4 million compared to $18.0 million in the second fiscal quarter of 1999. Diluted earnings per share were $0.12 for the second quarter of 2000 compared to $0.10 for the second quarter of 1999.

For the 26 weeks ending April 2, 2000, consolidated net revenues increased 32 percent to $1.03 billion from $781 million for the same period in fiscal 1999. Retail revenues increased 31 percent to $870 million and specialty revenues increased 35 percent to $162 million. Comparable store sales for the 26-week period ending April 2, 2000 increased 8 percent as compared to the same 26-week period in fiscal 1999.

Net earnings increased 30 percent to $58.2 million for the 26-week period ending April 2, 2000 compared to $44.7 million for the same period in fiscal 1999. Diluted earnings per share were $0.30 for the 26-week period ending April 2, 2000 compared to $0.24 for the same period in fiscal 1999.

The Company also announced today an acceleration of its fiscal 2000 domestic licensed store opening target from 100 to 200 and its international licensed store opening target from 100 to 150. These new targets plus existing plans to open 350 company-owned stores in continental North America and 50 company-owned stores in the United Kingdom, bring the worldwide new store target for fiscal 2000 to 750 locations.

                           STORE INFORMATION
 
                                Stores opened during
                                 the 26 weeks ended   Stores open as of
                                   April 2, 2000         April 2, 2000
                                   -------------         -------------
 Continental North America:
  Company-Operated Stores               202                  2,233
  Licensed Stores                        89                    265
                                      -----                  -----
                                        291                  2,498
 International:
  Company-Operated U.K. Stores           32                    127
  Licensed Stores                        76                    260
                                      -----                  -----
                                        108                    387
 
 Total                                  399                  2,885
                                      =====                  =====
 

Starbucks Coffee Company is the leading retailer, roaster and brand of specialty coffee in the world. In addition to its more than 2,800 retail locations in North America, the United Kingdom, the Pacific Rim and the Middle East, Starbucks sells coffee and tea products through its specialty operations, including its online store at starbucks.com. Additionally, Starbucks produces and sells bottled Frappuccino® coffee drink and a line of superpremium ice creams through its joint venture partnerships and offers a line of innovative premium teas produced by its wholly owned subsidiary, Tazo Tea Company.

                  CONSOLIDATED STATEMENT OF EARNINGS
 
                         Three Months Ended          Six Months Ended
                         ------------------          ----------------
                           Apr. 2,   Mar. 28,       Apr. 2,   Mar. 28,
                             2000       1999          2000       1999
                        (13 weeks) (13 weeks)    (26 weeks) (26 weeks)
                       ----------  ---------     ---------  ---------
 
 Net revenues
  Retail                  $429,031     $318,728    $869,816  $661,516
  Specialty                 75,667       57,094     161,864   119,944
                          --------     --------    --------  --------
 Total net revenues        504,698      375,822   1,031,680   781,460
 
 Cost of sales
  and related occupancy    223,249      169,957     461,651   356,256
                          --------     --------    --------  --------
 Gross margin              281,449      205,865     570,029   425,204
 
 Store operating expense   169,257      121,845     333,457   244,449
 Other operating expense    16,412       11,142      30,724    24,450
 Depreciation and
  amortization              31,951       23,740      61,241    45,634
 General and
  administrative            28,622       22,371      54,767    42,726
                          --------     --------    --------  --------
      Operating income      35,207       26,767      89,840    67,945
 
 Interest/other income, net  2,242        2,197       3,656     4,137
                          --------     --------    --------  --------
 
      Earnings before
       income taxes         37,449       28,964      93,496    72,082
 
 Income taxes               14,043       11,007      35,341    27,391
                          --------     --------    --------  --------
 
 Net earnings              $23,406      $17,957     $58,155   $44,691
                          ========     ========    ========  ========
 
 Earnings per share-basic    $0.13        $0.10       $0.32     $0.25
 Shares used
  in calculation           184,785      181,370     184,106   180,706
 
 Earnings per share
  -diluted                   $0.12        $0.10       $0.30     $0.24
 Shares used
  in calculation           192,417      188,349     191,041   186,917
 
 
                   CONSOLIDATED STATEMENT OF EARNINGS
 
 
                            Three Months Ended        Six Months Ended
                            ------------------        ----------------
                            Apr. 2,    Mar. 28,      Apr. 2,   Mar. 28,
                              2000        1999         2000       1999
                         (13 weeks)  (13 weeks)   (26 weeks) (26 weeks)
                         ---------   ---------    ---------   --------
 
 Net revenues
  Retail                      85.0%        84.8%       84.3%     84.7%
  Specialty                   15.0%        15.2%       15.7%     15.3%
                             -----        -----       -----     -----
 Total net revenues          100.0%       100.0%      100.0%    100.0%
 
 Cost of sales
  and related occupancy       44.2%        45.2%       44.7%     45.6%
                             -----        -----       -----     -----
 Gross margin                 55.8%        54.8%       55.3%     54.4%
 
 Store operating expense  (a) 39.5%    (a) 38.2%   (a) 38.3% (a) 37.0%
 Other operating expense  (b) 21.7%    (b) 19.5%   (b) 19.0% (b) 20.4%
 Depreciation and
  amortization                 6.3%         6.3%        5.9%      5.8%
 General and administrative    5.7%         6.0%        5.3%      5.5%
 
      Operating income         7.0%         7.1%        8.7%      8.7%
 
 Interest/other income, net    0.4%         0.6%        0.4%      0.5%
                             -----        -----       -----     -----
 
      Earnings before
            income taxes       7.4%         7.7%        9.1%      9.2%
 
 Income taxes                  2.8%         2.9%        3.5%      3.5%
                             -----        -----       -----     -----
 
 Net earnings                  4.6%         4.8%        5.6%      5.7%
 
	   (a) Calculated as a percentage of retail revenues.
 	   (b) Calculated as a percentage of specialty revenues.