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Starbucks (SBUX) China Toy Cup Recall

As if a falling share price and shrinking same store sales growth were not enough, Starbucks (SBUX) is recalling 250,000 children’s cups.

The coffee retailer said if a cup is dropped, the colorful face on the cup can break off and leave small parts or sharp exposed edges that can pose a choking or laceration hazard to young children.

Starbucks has received seven reports of the cups breaking, including two reports in which a child began to choke on a broken piece. The company is offering a complimentary beverage as an incentive to return the recalled cups. Nice touch.

And, of course, the cups were made in China. Maybe the coffee is, too.

Douglas A. McIntyre

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