Starbucks 2008 Annual Report Download - page 64

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by the financial impact of translating foreign currency denominated payables and receivables, which are also
recognized in “Interest income and other, net.” No similar contracts were held in fiscal 2006.
Note 6: Inventories
Inventories consisted of the following (in millions):
Fiscal Year Ended Sep 28, 2008 Sep 30, 2007
Coffee:
Unroasted .............................................. $377.7 $339.5
Roasted................................................ 89.6 88.6
Other merchandise held for sale ............................... 120.6 175.5
Packaging and other supplies.................................. 104.9 88.1
Total ................................................... $692.8 $691.7
Other merchandise held for sale includes, among other items, brewing equipment, serveware and tea.
As of September 28, 2008, the Company had committed to purchasing green coffee totaling $336 million under
fixed-price contracts and an estimated $246 million under price-to-be-fixed contracts. The Company believes,
based on relationships established with its suppliers in the past, the risk of non-delivery on such purchase
commitments is remote.
Note 7: Equity and Cost Investments
The Company’s equity and cost investments consisted of the following (in millions):
Fiscal Year Ended Sep 28, 2008 Sep 30, 2007
Equity method investments ................................... $267.9 $234.5
Cost method investments. . ................................... 34.7 24.4
Total ................................................... $302.6 $258.9
Equity Method
The Company’s equity investees and ownership interests by reportable operating segment are as follows:
Fiscal Year Ended Sep 28, 2008 Sep 30, 2007
United States
StarCon, LLC ........................................... 50.0% 50.0%
International
Starbucks Coffee Korea Co., Ltd. ............................ 50.0 50.0
Starbucks Coffee Austria GmbH ............................. 50.0 50.0
Starbucks Coffee Switzerland AG ............................ 50.0 50.0
Starbucks Coffee España, S.L. ............................... 50.0 50.0
President Starbucks Coffee Taiwan Ltd. ....................... 50.0 50.0
Shanghai President Coffee Co. .............................. 50.0 50.0
Starbucks Coffee France SAS ............................... 50.0 50.0
Berjaya Starbucks Coffee Company Sdn. Bhd. (Malaysia) .......... 50.0 49.9
Starbucks Brasil Comercio de Cafes Ltda. ...................... 49.0 49.0
Starbucks Coffee Japan, Ltd. ................................ 40.1 40.1
Starbucks Coffee Portugal Lda. .............................. 50.0 —
CPG
The North American Coffee Partnership........................ 50.0 50.0
Starbucks Ice Cream Partnership ............................. 50.0 50.0
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