Starbucks Signature Brewing Equipment Now Available to the Retail Trade; Home Brewing Machines and Accessories to be Showcased at the International Housewares Show Next Week.

SEATTLE--(BUSINESS WIRE)--Jan. 8, 1999--Starbucks Coffee Company (Nasdaq:SBUX) announced plans today to make its premium home brewing equipment, including the Starbucks espresso pods, available to consumers through traditional retail trade outlets.

Starbucks will showcase its signature line of home espresso machines and brewing accessories at the International Housewares Show in Chicago on January 10-13, 1999. Currently, Starbucks proprietary line of brewing equipment is only available in Starbucks retail locations, online at www.starbucks.com or by calling 1-800-STARBUC.

"Starbucks has developed innovative home brewing equipment -- including our easy to use espresso pods -- to help customers recreate a great coffeehouse experience in their own kitchen," explains Peter Gibbons, Starbucks vice president, Product Development. "Having our brewing equipment available in traditional retail channels is an excellent way for consumers to have easy access to our premium products."

Brewing Equipment

Anchoring the available line is the Starbucks Barista(R) home espresso machine. Introduced in October 1997, this machine makes it easier than ever for espresso lovers to brew the perfect shot of espresso at home. Featuring the Rapporto(tm) Filter system, a specially designed portafilter, the Starbucks Barista(R) can accommodate both ground coffee and espresso pods.

Starbucks Pods

Pods are pre-portioned, pre-tamped, ready-to-brew single shots of espresso that ensure a consistent shot each time. Starbucks pods are available as single-serving Starbucks Espresso, Decaffeinated Espresso, and for a limited time, Starbucks Caffe Verona(R) blend. Like all Starbucks coffee, Starbucks pods are subject to stringent quality standards so that an espresso beverage prepared with a Starbucks pod will have the same sweet, distinctive flavor expected from a Starbucks retail location. Since the pod is preground and individually wrapped, there is no grinding or disposal of wet, loose grounds -- the pod is dropped into the filter, the shot is drawn, and the entire pod is discarded.

"We've heard from a number of customers who do not make espresso drinks at home because they are unable to achieve consistently good results or the process is too messy," said Gibbons. "With the Starbucks Barista(R) machine and Starbucks pods, we have provided a simpler, cleaner, and almost foolproof method of preparing quality espresso beverages at home."

Additional Products

Additional products available include Starbucks coffee presses, stainless steel mugs and tumblers, ceramic logo mugs, Starbucks After Coffee Mints and various espresso preparation accessories, such as stainless steel scoops, steaming pitchers, tampers and timers.

Starbucks pods are part of the Easy Serving Espresso (E.S.E.) standard. Each E.S.E. serving contains seven grams of ground, pressed coffee hermetically sealed between two layers of filter paper. All machines and coffee products that use the E.S.E. technology bear the E.S.E. symbol.

Starbucks Coffee Company is the leading retailer, roaster and brand of specialty coffee in North America. In addition to its retail locations in North America, the United Kingdom and the Pacific Rim, Starbucks sells whole bean coffees through its specialty sales group, direct response business, supermarkets and online at www.starbucks.com. Additionally, through its joint venture partnerships, Starbucks produces and sells bottled Frappuccino(R) coffee drink and a line of premium ice creams.

Editor's Note: During the International Housewares Show, the Starbucks brewing equipment and pods will be available for demonstration and viewing in the South Hall, booth 4282. To schedule an interview with a Starbucks representative, please contact Karmen Johnson, 206/470-8169.