Pershing Square Activist Presentation Deck slide image

Pershing Square Activist Presentation Deck

Best-in-Class Unit Economics Continued store growth in Starbucks' largest owned markets is supported by industry-leading unit economics New Units Economics: Starbucks vs. Other High-Return Concepts ($¹000s) U.S. - Pretax ROI Store Build Cost Average Unit Volume Store-Level EBITDA % Margin Payback Period (years) 66% TM $680 $1,500 $450 30% 1.5 38% TACO BELL $1,280 $1,765 $480 27% 2.7 China - Pretax ROI 86% TM $300 $700 $260 37% 1.2 59% KFC $380 $890 $225 25% 1.7 Source: SBUX US store build cost and AUV are as per December 2016 investor day, and store-level EBITDA margin is as per June 2018 investor conference. SBUX China data is as per May 2018 China investor day. Taco Bell store build cost is as per Bernstein research, while other assumptions are based on FY 2017 results for Taco Bell's company-operated stores assuming 80% of Taco Bell Division D&A relates to those stores. KFC China data is as per Yum China October 2017 investor day and excludes a 3% franchise fee paid to YUM in order to illustrate the economic returns of each store to the entire system. 7
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