(Reuters) Returning Starbucks former CEO Howard Schultz has announced a suspension of the company’s stock repurchase program as he comes back to lead the coffee chain.
Schultz says the stock repurchase will allow the company to invest more in its stores and people.
The suspension comes when Starbucks is facing challenges brought about by strained global supply chains, the Covid-pandemic, and political unrest. Starbucks is also facing a call for the unionization of its US employees.
The former Starbucks CEO returns to lead the company for the third time and would act in the interim role after the retirement of Kevin Johnson.
Schultz would also travel in the next few weeks to connect with employees across the coffee chain stores and production facilities.
Schultz is a well-recognized figure at Starbucks since he took over in 1987. In four decades of his service as Starbucks CEO and chairman, he grew the coffee chain from just 11 to more than 28,000 stores in 77 global markets.
SBUX: NASDAQ is down -0.98%
