Starbucks to cut 600 positions

SEATTLE, Feb. 22 (UPI) -- Starbucks Corp. Friday announced a cut of 600 office positions as the coffee shop chain said it is seeking changes to help return focus to the customer.

Starbucks has tried several innovations in recent weeks, including testing a $1 cup of coffee in some stores, a $2.40 cup of premium coffee and increased prices to offset the increased costs of dairy products.

The Seattle-based firm also discontinued hot breakfast sandwiches -- at a sacrifice of $100 million in annual sales -- so that the smell of fresh coffee would return to their stores.

Although the coffee shop chain is planning to close 100 of its poorest performing stores, the layoffs do not affect in-store workers, the Seattle Post Intelligencer reported.

In a statement to employees, Chief Executive Officer Howard Schultz said Starbucks went through "a very thorough organizational analysis, which was, at times, very emotional and extremely stressful."

Starbucks will also break the company into four national divisions led by senior vice presidents who will report to a national president.

Currently, the corporation employees 1,700 workers.