Article

Caribou Coffee Facebook fans steaming over closings

The Minnesota-based coffee chain will close 80 units and transform 88 others into Peet's Coffee.

April 9, 2013 by Cherryh Cansler — Editor, FastCasual.com

Fans of the Caribou Coffee Facebook page have shown everything from support to outrage for the brand since its president announced this week that the chain is closing 80 underperforming locations.

One fan, Charlie Khai Nguyen, wrote:
I have worked pretty darn hard for you Caribou. Every Sunday, delivering countless gallons of coffee to churches and the community. I loved my co-workers and customers but corporate... you guys just screwed over 1000's of employees and lost 100,000's of customers. You want to plant a tree for every like? How about a dollar to every employee that you screwed over so we can feed our family and keep a roof over our head.

Caribou will also convert 88 other units into Peet's Coffee & Tea shops within the next 12 to 18 months, Mike Tattersfield, president and CEO of Caribou Coffee, said in a written statement to FastCasual.com. Caribou merged last year with the Joh. A. Benckiser Group, which is also a major stakeholder in Peet's Coffee & Tea Inc. At that time, Tattersfield said he expected the merger to lead to tremendous growth opportunities for Caribou, however it looks as though he may have spoken too soon.

"Over the past few months, we at Caribou have revisited our business strategy, including closely evaluating our performance by market to make decisions that best position us for long-term growth," Tattersfield said in today's statement.

Specifically, 80 underperforming stores will close for good on Sunday. After that, 88 other Caribou locations will become Peet's as Caribou becomes extinct or critically endangered in Ohio, Michigan, Pennsylvania, Maryland, Virginia, Georgia, Illinois, eastern Wisconsin and Washington.

Tattersfield said when the changes are completed, Minneapolis-based Caribou Coffee will be made up of 468 locations across Minnesota, North Dakota, South Dakota, Western Wisconsin, Iowa, Kansas, North Carolina, Denver and 10 international markets.

"While the decisions we've made have been difficult for our team in Minneapolis, as well as our team members across the country and our guests and fans everywhere, we are working to make this transition as seamless as possible for the Caribou community," Tattersfield said.

According to CNN, in 2009, Caribou employed more than 6,000 people and had revenue of $262 million. Tattersfield did not comment on how many jobs would be lost due to the closings, but Facebook fans were not quiet. Below is a variety of comments left today.

Alex Schutzman
... I will now be unemployed after working for Caribou for almost three years and although I am surprised and hurt by this decision I cannot help but smile when I think of all the friends, make that FAMILY, I made while working at Caribou.

Patricia Rickenbaugh
WHAT ARE YOU THINKING????? Seriously, CLOSE the "one and ONLY' location in Racine, WI????? I can't stand Starbucks...their product is terrible. Alterra is also to strong. I ADORE Caribou!!!

Amy Domagal
Peets coffee sucks!!! UGH! I am so upset right now!!!

Melissa McGuire
Let me join the chorus of those of us in Ohio that will be abandoned by our favorite coffee store, I wish you'd reconsider. I hate to see my favorite coffee disappear. Not interested in whatever Peet's is. I loved the Caribou coffee itself as well the people who work there. Looks like my Keurig will get a lot busier.

Matthew Wyatt
I cant believe my favorite coffee company is leaving Michigan, this is terrible!

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About Cherryh Cansler

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Cherryh Cansler is VP of Events for Networld Media Group and publisher of FastCasual.com. She has been covering the restaurant industry since 2012. Her byline has appeared in Forbes, The Kansas City Star and American Fitness magazine, among many others.

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