s worked with Seattle's Redhook Ale Brewery to create Double Black Stout, a stout beer with a shot of Starbucks coffee extract in it. In October 1995, SBI signed an agreement with SAZABY Inc., a Japanese retailer and restaurateur, to form a joint venture, which will primarily develop Starbucks retails stores in Japan. In August 1996, SBI signed an agreement with Bonvests Holdings Limited to open retail stores in Singapore. United Airlines has joined the ranks of Delta and Horizon Airlines in serving coffee on board. Starbucks set up strict quality control on 500-plus United planes with varying equipment, and Starbucks became the coffee supplier to the 20 million passengers flying United each year. According to Financial Times (may1st, 2001), Compaq Computer Corp. and Starbucks Coffee Co. announced a five-year, $100 million deal in which Compaq will equip the coffee shop chain to give its customers wireless Internet access while they sip their Caf Latte. Starbucks has also collaborated with Capitol Records Inc., on two Starbucks jazz CDs, available in Starbucks stores.Joint venture income was $20.3 million for fiscal 2000,compared to $3.2 million for fiscal 1999.The increase was primarily due to the crossover from losses to profitability of Starbucks Coffee JapanLimited as a result of an increase in scale, and due to the improved profitability of the North American business.Licensed Stores and Speciality Sales: Growth of Distribution Channels The company does not offer franchising opportunities. Though in recent years Starbucks had begun entering into a limited number of licensing agreements for store locations in areas where the company was not able to locate their shops due to limits in capability. There is much value in transferring knowledge and best practices between parts of a global firm. To protect Starbucks quality brand information is carefully shared with licensees through training, ...
