Pershing Square Activist Presentation Deck
Thoughts on Current Leadership Team
► Recent actions by new CEO Kevin Johnson are encouraging
■ Portfolio restructuring: Nestle CPG and Tazo transactions, closure of Teavana stores,
improved mix of owned and licensed businesses
■ Significant cost reduction initiative: SG&A target of 3.5% of systemwide sales from 4.5%
■ Sizeable share repurchase program: ~$19bn three-year target from FY 2018-2020
Deep internal bench of long-tenured, talented executives
■ Cliff Burrows (head of Siren Retail) and John Culver (head of International) played
leading roles in the 2008 turnaround
► New external hires can provide fresh perspectives
■ Former Sam's Club CEO Roz Brewer joined as COO in October 2017
■ Former Hyatt Hotels and Yum! Brands CFO Pat Grismer replacing retiring Starbucks
CFO Scott Maw in November
We believe Starbucks' recent challenges are fixable with appropriate
management execution
34View entire presentation