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Starbucks to raise prices for that cuppa caffeine

SEATTLE, June 21 (UPI) -- That wake-me-up drink at Starbucks will cost more next week as the chain said it would raise the price of some drinks at U.S. stores an average of 1 percent.

Spokesman Jim Olson said the price increase will affect beverages such as Starbucks' brewed coffee, tea, latte and espresso drinks, CNNMoney reported Friday.

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Noting drink prices vary from city to city, Olson said customers in some markets could pay about a dime more for a tall brewed coffee.

But, Olson said, less than a third of all Starbucks beverages will be affected by the price hikes. For example, he said, prices won't increase at a majority of Starbucks stores for venti and grande-sized brewed coffees or for its Frappuccinos.

He said the Seattle-based company's first price hike in nearly two years was triggered by rising costs for labor, raw materials and rent.

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