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International Grounds<br />
Outside the U.S., some <strong>Starbucks</strong><br />
stores have discovered how to reuse<br />
coffee grounds. In Japan, a team<br />
of <strong>Starbucks</strong> partners realized that<br />
coffee grounds could be used as an<br />
ingredient to make paper. A local<br />
printing company used this paper to<br />
print “<strong>Starbucks</strong> Press,” the official<br />
<strong>Starbucks</strong> Japan newsletter.<br />
<strong>Starbucks</strong> partnered with the<br />
Composting Council of Canada to<br />
promote recycling, waste reduction<br />
and environmental awareness. Our<br />
Canadian stores offered complimen-<br />
tary spent coffee grounds, hosted<br />
in-store composting seminars with<br />
master gardeners, and distributed<br />
useful in<strong>for</strong>mation on composting.<br />
In Bahrain, the local <strong>Starbucks</strong> dries<br />
coffee grounds in the sun, packages<br />
them, and gives the grounds to<br />
customers as fertilizer <strong>for</strong> house plants.<br />
And on Environmental Day in South<br />
Korea, our stores gave their customers<br />
flower pots that contained a bag of<br />
reused coffee grounds <strong>for</strong> fertilizer,<br />
topped with some planting seeds.<br />
(See photo above, left.)<br />
Waste Reduction and Reuse<br />
C S R 2 0 0 3 E N V I R O N M E N T 66<br />
Our store partners are very innovative when it comes to reducing waste. An example of<br />
this happened eight years ago when a team of store partners discovered how <strong>Starbucks</strong><br />
could reuse coffee grounds, the heaviest portion of our waste stream. It evolved into a<br />
program, Grounds <strong>for</strong> Your Garden, which involves packaging up five-pound bags of coffee<br />
grounds and offering them to our customers, local parks, schools and nurseries as a soil<br />
amendment <strong>for</strong> gardens.<br />
We also reduce waste in our stores by encouraging our customers to use their own<br />
commuter mugs when purchasing a beverage. Customers receive a discount of $0.10 if<br />
they do. The good news is that customers used commuter mugs more than 13.5 million<br />
times in fiscal 2003, keeping 586,800 pounds of paper and plastic waste from landfills.<br />
Although the overall percentage of commuter mug usage is higher this year compared to<br />
2002, it is still below usage levels from 2001. (See graph on previous page.)<br />
<strong>Starbucks</strong> also reduces paper waste by serving beverages, upon request, in reusable<br />
ceramic coffee mugs to our customers who plan to enjoy their beverages in our stores. In<br />
addition, <strong>Starbucks</strong> adopted a policy in 2002 stating that all <strong>Starbucks</strong> partners should<br />
use reusable mugs <strong>for</strong> the beverages they consume while at work.<br />
Recycling<br />
There are so many compelling reasons to recycle, from saving natural resources and<br />
energy to reducing the need <strong>for</strong> new landfills and incinerators. <strong>Starbucks</strong> is committed<br />
to increasing the amount of recycling in all our company-operated stores, but it comes<br />
with certain challenges. For one, we don’t oversee waste management in all of our<br />
company-operated stores and must rely on our various landlords to place a high priority<br />
on recycling, as well as track their ef<strong>for</strong>ts. In addition, some of our stores are located in<br />
communities where commercial recycling facilities are not available.<br />
Our per<strong>for</strong>mance <strong>for</strong> recycling is reported as the number of company-operated stores<br />
where waste management is controlled by <strong>Starbucks</strong>, and that have recycling programs.<br />
(See graph on previous page.)