STARBUCKS CORP, 10-Q filed on 8/1/2017
Quarterly Report
Document And Entity Information
In Millions, unless otherwise specified
9 Months Ended
Jul. 2, 2017
Jul. 27, 2017
Document And Entity Information [Abstract]
 
 
Document Type
10-Q 
 
Amendment Flag
false 
 
Document Period End Date
Jul. 02, 2017 
 
Document Fiscal Year Focus
2017 
 
Document Fiscal Period Focus
Q3 
 
Trading Symbol
SBUX 
 
Entity Registrant Name
STARBUCKS CORP 
 
Entity Central Index Key
0000829224 
 
Current Fiscal Year End Date
--10-01 
 
Entity Filer Category
Large Accelerated Filer 
 
Entity Common Stock, Shares Outstanding
 
1,443.9 
Condensed Consolidated Statements of Earnings (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Net revenues:
 
 
 
 
Total net revenues
$ 5,661.5 
$ 5,238.0 
$ 16,688.5 
$ 15,604.7 
Cost of sales including occupancy costs
2,249.1 
2,060.3 
6,685.3 
6,256.9 
Store operating expenses
1,628.9 
1,529.4 
4,853.5 
4,502.0 
Other operating expenses
142.5 
137.5 
422.7 
423.3 
Depreciation and amortization expenses
252.6 
247.6 
756.0 
730.9 
General and administrative expenses
325.0 
323.4 
1,008.2 
959.4 
Goodwill and Asset Impairment Charge
120.2 
0 
120.2 
0 
Total operating expenses
4,718.3 
4,298.2 
13,845.9 
12,872.5 
Income from equity investees
101.0 
82.5 
269.5 
212.3 
Operating income
1,044.2 
1,022.3 
3,112.1 
2,944.5 
Interest income and other, net
31.7 
72.9 
123.7 
95.5 
Interest expense
(23.5)
(21.8)
(70.2)
(56.6)
Earnings before income taxes
1,052.4 
1,073.4 
3,165.6 
2,983.4 
Income tax expense
361.1 
318.9 
1,070.1 
966.2 
Net earnings including noncontrolling interests
691.3 
754.5 
2,095.5 
2,017.2 
Net earnings/(loss) attributable to noncontrolling interests
(0.3)
0.4 
(0.6)
0.4 
Net earnings attributable to Starbucks
691.6 
754.1 
2,096.1 
2,016.8 
Earnings per share - basic
$ 0.48 
$ 0.51 
$ 1.44 
$ 1.37 
Earnings per share - diluted
$ 0.47 
$ 0.51 
$ 1.43 
$ 1.35 
Weighted average shares outstanding:
 
 
 
 
Basic
1,447.7 
1,465.3 
1,452.8 
1,474.4 
Diluted
1,459.4 
1,479.3 
1,464.9 
1,489.7 
Cash dividends declared per share
$ 0.25 
$ 0.20 
$ 0.75 
$ 0.6 
Company-operated stores [Member]
 
 
 
 
Net revenues:
 
 
 
 
Total net revenues
4,509.0 
4,181.6 
13,173.7 
12,336.3 
Licensed stores [Member]
 
 
 
 
Net revenues:
 
 
 
 
Total net revenues
588.3 
527.2 
1,737.4 
1,561.0 
CPG, foodservice and other [Member]
 
 
 
 
Net revenues:
 
 
 
 
Total net revenues
$ 564.2 
$ 529.2 
$ 1,777.4 
$ 1,707.4 
Condensed Consolidated Statements of Comprehensive Income (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Net earnings including noncontrolling interests
$ 691.3 
$ 754.5 
$ 2,095.5 
$ 2,017.2 
Other comprehensive loss, net of tax:
 
 
 
 
Other comprehensive income/(loss)
21.3 
60.6 
(76.7)
70.8 
Comprehensive income including noncontrolling interests
712.6 
815.1 
2,018.8 
2,088.0 
Comprehensive income/(loss) attributable to noncontrolling interests
(0.3)
0.4 
(0.6)
0.4 
Comprehensive income attributable to Starbucks
712.9 
814.7 
2,019.4 
2,087.6 
Available-for-sale Securities [Member]
 
 
 
 
Other comprehensive loss, net of tax:
 
 
 
 
Unrealized holding gains/(losses) on available-for-sale securities, before tax
1.6 
(4.1)
(9.9)
0.7 
Unrealized holding gains/(losses) on available-for-sale securities, tax (expense)/benefit
(0.6)
1.5 
3.0 
(0.3)
Cash Flow Hedging [Member]
 
 
 
 
Other comprehensive loss, net of tax:
 
 
 
 
Unrealized gains/(losses) on hedging instruments, before tax
(15.2)
(48.4)
64.8 
(110.7)
Unrealized gains/(losses) on hedging instruments, tax (expense)/benefit
2.5 
12.8 
(16.3)
27.5 
Net Investment Hedging [Member]
 
 
 
 
Other comprehensive loss, net of tax:
 
 
 
 
Unrealized gains/(losses) on hedging instruments, before tax
2.7 
0 
18.6 
0 
Unrealized gains/(losses) on hedging instruments, tax (expense)/benefit
(1.0)
0 
(6.9)
0 
Translation Adjustment [Member]
 
 
 
 
Other comprehensive loss, net of tax:
 
 
 
 
Translation adjustment and other, before tax
38.0 
49.8 
(75.2)
79.8 
Translation adjustment and other, tax (expense)/benefit
(1.8)
4.9 
(0.9)
11.5 
Other comprehensive income/(loss)
36.2 
54.7 
(76.1)
91.3 
Reclassification out of Accumulated Other Comprehensive Income [Member]
 
 
 
 
Other comprehensive loss, net of tax:
 
 
 
 
Reclassification adjustment for net (gains)/losses realized in net earnings for available-for-sale securities, hedging instruments, and translation adjustment, before tax
(6.4)
53.8 
(67.9)
73.3 
Reclassification adjustment for net (gains)/losses realized in net earnings for available-for-sale securities, hedging instruments, and translation adjustment, tax expense/(benefit)
$ 1.5 
$ (9.7)
$ 14.0 
$ (11.0)
Condensed Consolidated Balance Sheets (USD $)
In Millions, unless otherwise specified
Jul. 2, 2017
Oct. 2, 2016
Current assets:
 
 
Cash and cash equivalents
$ 2,716.2 
$ 2,128.8 
Short-term investments
289.9 
134.4 
Accounts receivable, net
791.1 
768.8 
Inventories
1,357.3 
1,378.5 
Prepaid expenses and other current assets
354.8 
347.4 
Total current assets
5,509.3 
4,757.9 
Long-term investments
708.3 
1,141.7 
Equity and cost investments
430.2 
354.5 
Property, plant and equipment, net
4,699.8 
4,533.8 
Deferred income taxes, net
805.9 
885.4 
Other long-term assets
365.3 
403.3 
Other intangible assets
454.8 
516.3 
Goodwill
1,549.1 
1,719.6 
TOTAL ASSETS
14,522.7 
14,312.5 
Current liabilities:
 
 
Accounts payable
702.2 
730.6 
Accrued liabilities
1,770.6 
1,999.1 
Insurance reserves
211.5 
246.0 
Stored value card liability
1,342.2 
1,171.2 
Current portion of long-term debt
0 
399.9 
Total current liabilities
4,026.5 
4,546.8 
Long-term debt
3,935.5 
3,185.3 
Other long-term liabilities
711.2 
689.7 
Total liabilities
8,673.2 
8,421.8 
Shareholders' equity:
 
 
Common stock ($0.001 par value) — authorized, 2,400.0 shares; issued and outstanding, 1,457.2 shares and 1,460.5 shares, respectively
1.4 
1.5 
Additional paid-in capital
41.1 
41.1 
Retained earnings
5,986.0 
5,949.8 
Accumulated other comprehensive loss
(185.1)
(108.4)
Total shareholders' equity
5,843.4 
5,884.0 
Noncontrolling interests
6.1 
6.7 
Total equity
5,849.5 
5,890.7 
TOTAL LIABILITIES AND EQUITY
$ 14,522.7 
$ 14,312.5 
Condensed Consolidated Balance Sheets (Parenthetical) (USD $)
Jul. 2, 2017
Oct. 2, 2016
Statement of Financial Position [Abstract]
 
 
Common stock, par value
$ 0.001 
$ 0.001 
Common stock, shares authorized
2,400,000,000 
2,400,000,000 
Common stock, shares issued
1,445,700,000 
1,460,500,000 
Common stock, shares outstanding
1,445,700,000 
1,460,500,000 
Condensed Consolidated Statements of Cash Flows (USD $)
In Millions, unless otherwise specified
9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
OPERATING ACTIVITIES:
 
 
Net earnings including noncontrolling interests
$ 2,095.5 
$ 2,017.2 
Adjustments to reconcile net earnings to net cash provided by operating activities:
 
 
Depreciation and amortization
796.4 
768.2 
Deferred income taxes, net
75.1 
344.7 
Income earned from equity method investees
(210.1)
(165.5)
Distributions received from equity method investees
133.2 
139.4 
Gain resulting from sale of equity in joint venture and certain retail operations
9.6 
30.7 
Stock-based compensation
148.7 
158.4 
Excess tax benefit on share-based awards
(69.4)
(110.9)
Goodwill, Impairment Loss
87.2 
0 
Other
28.2 
40.8 
Cash provided by changes in operating assets and liabilities:
 
 
Accounts receivable
(40.1)
(39.5)
Inventories
19.1 
(15.7)
Accounts payable
(18.3)
(3.7)
Stored value card liability
178.3 
223.5 
Other operating assets and liabilities
124.6 
59.3 
Net cash provided by operating activities
3,089.6 
3,266.9 
INVESTING ACTIVITIES:
 
 
Purchases of investments
(592.5)
(1,022.7)
Sales of investments
831.7 
409.6 
Maturities and calls of investments
61.7 
11.8 
Additions to property, plant and equipment
(1,025.3)
(1,029.7)
Proceeds from sale of equity in joint venture
0 
69.6 
Other
54.9 
3.3 
Net cash used by investing activities
(669.5)
(1,558.1)
FINANCING ACTIVITIES:
 
 
Proceeds from issuance of long-term debt
750.2 
1,254.5 
Principal payments on long-term debt
400.0 
0 
Proceeds from issuance of common stock
131.5 
120.9 
Excess tax benefit on share-based awards
69.4 
110.9 
Cash dividends paid
(1,089.8)
(884.8)
Repurchase of common stock
(1,214.1)
(1,590.4)
Minimum tax withholdings on share-based awards
(71.5)
(105.3)
Other
1.5 
0.1 
Net cash used by financing activities
(1,822.8)
(1,094.1)
Effect of exchange rate changes on cash and cash equivalents
(9.9)
(3.0)
Net increase/(decrease) in cash and cash equivalents
587.4 
611.7 
CASH AND CASH EQUIVALENTS:
 
 
Beginning of period
2,128.8 
1,530.1 
End of period
2,716.2 
2,141.8 
Cash paid during the period for:
 
 
Interest, net of capitalized interest
87.3 
68.3 
Income taxes, net of refunds
$ 1,084.6 
$ 669.8 
Summary of Significant Accounting Policies
Summary Of Significant Accounting Policies
Summary of Significant Accounting Policies
Financial Statement Preparation
The unaudited condensed consolidated financial statements as of July 2, 2017, and for the quarter and three quarters ended July 2, 2017 and June 26, 2016, have been prepared by Starbucks Corporation under the rules and regulations of the Securities and Exchange Commission (“SEC”). In the opinion of management, the financial information for the quarter and three quarters ended July 2, 2017 and June 26, 2016 reflects all adjustments and accruals, which are of a normal recurring nature, necessary for a fair presentation of the financial position, results of operations and cash flows for the interim periods. In this Quarterly Report on Form 10-Q (“10-Q”), Starbucks Corporation is referred to as “Starbucks,” the “Company,” “we,” “us” or “our.”
The financial information as of October 2, 2016 is derived from our audited consolidated financial statements and notes for the fiscal year ended October 2, 2016 (“fiscal 2016”) included in Item 8 in the Fiscal 2016 Annual Report on Form 10-K (the “10-K”). The information included in this 10-Q should be read in conjunction with the footnotes and management’s discussion and analysis of the consolidated financial statements in the 10-K.
The results of operations for the quarter and three quarters ended July 2, 2017 are not necessarily indicative of the results of operations that may be achieved for the entire fiscal year ending October 1, 2017 (“fiscal 2017”).
Recent Accounting Pronouncements
In January 2017, the Financial Accounting Standards Board (“FASB”) issued guidance that simplifies the measurement of goodwill impairment. Under this new guidance, an impairment charge, if triggered, is calculated as the difference between a reporting unit’s carrying value and fair value, but it is limited to the carrying value of goodwill. During the second quarter of fiscal 2017, we elected to early-adopt this guidance on a prospective basis.
In October 2016, the FASB issued guidance on the accounting for income tax effects of intercompany sales or transfers of assets other than inventory. The guidance requires entities to recognize the income tax impact of an intra-entity sale or transfer of an asset other than inventory when the sale or transfer occurs, rather than when the asset has been sold to an outside party. The guidance will require a modified retrospective application with a cumulative catch-up adjustment to opening retained earnings at the beginning of our first quarter of fiscal 2019 but permits adoption in an earlier period. We are currently evaluating the impact this guidance will have on our consolidated financial statements and the timing of adoption.
In June 2016, the FASB issued guidance on the measurement and recognition of credit losses on most financial assets. For trade receivables, loans, and held-to-maturity debt securities, the current probable loss recognition methodology is being replaced by an expected credit loss model. For available-for-sale debt securities, the recognition model on credit losses is generally unchanged, except the losses will be presented as an adjustable allowance. The guidance will be applied retrospectively with the cumulative effect recognized as of the date of adoption. The guidance will become effective at the beginning of our first quarter of fiscal 2021 but can be adopted as early as the beginning of our first quarter of fiscal 2020. We are currently evaluating the impact this guidance will have on our consolidated financial statements and the timing of adoption.
In March 2016, the FASB issued guidance related to stock-based compensation, which changes the accounting and classification of excess tax benefits and minimum tax withholdings on share-based awards. With this adoption, excess tax benefits and tax deficiencies related to stock-based compensation will be prospectively reflected as income tax expense in our consolidated statement of earnings instead of additional paid-in capital on our consolidated balance sheet. Additionally, within our consolidated statement of cash flows, this guidance will require excess tax benefits to be presented as an operating activity, rather than a financing activity, in the same manner as other cash flows related to income taxes. As a result, we expect the adoption will have a significant impact on income tax expense and earnings per share, as reported in our consolidated statement of earnings, and consolidated statement of cash flows. We will adopt this guidance in the first quarter of fiscal 2018.
In March 2016, the FASB issued guidance for financial liabilities resulting from selling prepaid stored value products that are redeemable at third-party merchants. Under the new guidance, expected breakage amounts associated with these products must be recognized proportionately in earnings as redemption occurs. Our current accounting policy of applying the remote method to all of our stored value cards, including cards redeemable at the third-party licensed locations, will no longer be allowed. We will adopt and implement the provisions of this guidance and the new revenue recognition standard issued by the FASB, as discussed below, in the first quarter of fiscal 2019.
In February 2016, the FASB issued guidance on the recognition and measurement of leases. Under the new guidance, lessees are required to recognize a lease liability, which represents the discounted obligation to make future minimum lease payments, and a corresponding right-of-use asset on the balance sheet for most leases. The guidance retains the current accounting for lessors and does not make significant changes to the recognition, measurement, and presentation of expenses and cash flows by a lessee. Enhanced disclosures will also be required to give financial statement users the ability to assess the amount, timing and uncertainty of cash flows arising from leases. The guidance will require modified retrospective application at the beginning of our first quarter of fiscal 2020, with optional practical expedients, but permits adoption in an earlier period. We are currently evaluating the impact this guidance will have on our consolidated financial statements. We expect this adoption will result in a material increase in the assets and liabilities on our consolidated balance sheets but will likely have an insignificant impact on our consolidated statements of earnings.
In April 2015, the FASB issued guidance on the financial statement presentation of debt issuance costs. This guidance requires these costs to be presented in the balance sheet as a reduction of the related debt liability rather than as an asset. We retrospectively adopted this guidance in the first quarter of fiscal 2017, which resulted in the reclassification of $17.0 million of debt issuance costs previously presented in prepaid expenses and other current assets and other long-term assets to long-term debt in our consolidated balance sheet as of October 2, 2016. Components of our long-term debt and aggregate debt issuance costs and unamortized premium are disclosed in Note 7, Debt.
In May 2014, the FASB issued guidance outlining a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers that supersedes most current revenue recognition guidance. This guidance requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The new guidance may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized as of the date of adoption. We are currently evaluating the overall impact this guidance will have on our consolidated financial statements, as well as the expected method of adoption. Based on our continued assessment, which may identify other accounting impacts, we have determined the adoption will change the timing of recognition and classification of our stored value card breakage income, which is currently recognized using the remote method and recorded in interest income and other, net. The new guidance will require application of the proportional method and classification within total net revenues on our consolidated statements of earnings. Additionally, the new guidance requires enhanced disclosures, including revenue recognition policies to identify performance obligations to customers and significant judgments in measurement and recognition.
Acquisitions and Divestitures
Acquisitions and Divestitures
Note 2:
Acquisitions and Divestitures
Fiscal 2016
During the third quarter of fiscal 2016, we sold our ownership interest in our Germany retail business to AmRest Holdings SE for a total of $47.3 million. This transaction converted these company-operated stores to a fully licensed market. The cumulative pre-tax gains recognized upon satisfying certain related contingent items were insignificant and were included in interest income and other, net on our condensed consolidated statement of earnings.
In the first quarter of fiscal 2016, we sold our 49% ownership interest in our Spanish joint venture, Starbucks Coffee España, S.L. (“Starbucks Spain”), to our joint venture partner, Sigla S.A. (Grupo Vips), for a total purchase price of $30.2 million. This transaction resulted in an insignificant pre-tax gain, which was included in interest income and other, net on our condensed consolidated statements of earnings.
Derivative Financial Instruments
Derivative Financial Instruments
Derivative Financial Instruments
Interest Rates
We are subject to interest rate volatility with regard to existing and future issuances of debt. From time to time, we enter into swap agreements to manage our exposure to interest rate fluctuations.
To hedge the variability in cash flows due to changes in benchmark interest rates, we enter into interest rate swap agreements related to anticipated debt issuances. These agreements are cash settled at the time of the pricing of the related debt. The effective portion of the derivative's gain or loss is recorded in accumulated other comprehensive income (“AOCI”) and is subsequently reclassified to interest expense over the life of the related debt.
To hedge the exposure to changes in the fair value of our fixed-rate debt, we enter into interest rate swap agreements, which are designated as fair value hedges. The changes in fair values of these derivative instruments and the offsetting changes in fair values of the underlying hedged debt are recorded in interest expense and have an insignificant impact on our condensed consolidated statement of earnings. We entered into an interest rate swap agreement during the third quarter of fiscal 2017 related to our 3.850% Senior Notes due in October 2023 (“2023 notes”). Refer to Note 7, Debt, for additional information on our long-term debt.
Foreign Currency
To reduce cash flow volatility from foreign currency fluctuations, we enter into forward and swap contracts to hedge portions of cash flows of anticipated intercompany royalty payments, inventory purchases, and intercompany borrowing and lending activities. The effective portion of the derivative's gain or loss is recorded in AOCI and is subsequently reclassified to revenue, cost of sales including occupancy costs, or interest income and other, net, respectively, when the hedged exposure affects net earnings.
From time to time, we enter into forward contracts or use foreign currency-denominated debt to hedge the currency exposure of our net investment in certain international operations. The effective portion of these instruments' gain or loss is recorded in AOCI and is subsequently reclassified to net earnings when the hedged net investment is either sold or substantially liquidated.
Foreign currency forward and swap contracts not designated as hedging instruments are used to mitigate the foreign exchange risk of certain other balance sheet items. Gains and losses from these derivatives are largely offset by the financial impact of translating foreign currency denominated payables and receivables; these gains and losses are recorded in interest income and other, net.
Commodities
Depending on market conditions, we may enter into coffee futures contracts and collars (the combination of a purchased call option and a sold put option) to hedge a portion of anticipated cash flows under our price-to-be-fixed green coffee contracts, which are described further in Note 5, Inventories. The effective portion of each derivative's gain or loss is recorded in AOCI and is subsequently reclassified to cost of sales including occupancy costs when the hedged exposure affects net earnings.
To mitigate the price uncertainty of a portion of our future purchases, primarily of dairy products, diesel fuel and other commodities, we enter into swap contracts, futures and collars that are not designated as hedging instruments. Gains and losses from these derivatives are recorded in interest income and other, net to help offset price fluctuations on our beverage, food, packaging and transportation costs, which are included in cost of sales including occupancy costs on our consolidated statements of earnings.
Gains and losses on derivative contracts and foreign currency-denominated debt designated as hedging instruments included in AOCI and expected to be reclassified into earnings within 12 months, net of tax (in millions):
 
Net Gains/(Losses)
Included in AOCI
 
Net Gains Expected to be Reclassified from AOCI into Earnings within 12 Months
 
Outstanding Contract/Debt Remaining Maturity
(Months)
 
Jul 2,
2017
 
Oct 2,
2016
 
 
Cash Flow Hedges:
 
 
 
 
 
 
 
Interest rates
$
18.2

 
$
20.5

 
$
3.0

 
0
Cross-currency swaps
(5.5
)
 
(7.7
)
 
—

 
89
Foreign currency - other
0.7

 
(0.4
)
 
2.0

 
35
Coffee
(10.2
)
 
(1.6
)
 
(10.2
)
 
7
Net Investment Hedges:
 
 
 
 
 
 
 
Foreign currency
19.1

 
1.3

 
—

 
0
Foreign currency debt
(6.1
)
 
—

 
—

 
82

Pretax gains and losses on derivative contracts and foreign-denominated long-term debt designated as hedging instruments recognized in other comprehensive income (“OCI”) and reclassifications from AOCI to earnings (in millions):
 
Quarter Ended
 
Three Quarters Ended
 
Gains/(Losses)
Recognized in
OCI Before Reclassifications
 
Gains/(Losses) Reclassified from
AOCI to Earnings
 
Gains/(Losses)
Recognized in
OCI Before Reclassifications
 
Gains/(Losses) Reclassified from
AOCI to Earnings
 
Jul 2,
2017
 
Jun 26,
2016
 
Jul 2,
2017
 
Jun 26,
2016
 
Jul 2,
2017
 
Jun 26,
2016
 
Jul 2,
2017
 
Jun 26,
2016
Cash Flow Hedges:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest rates
$
—

 
$
(2.0
)
 
$
1.2

 
$
1.2

 
$
—

 
$
(10.3
)
 
$
3.6

 
$
4.0

Cross-currency swaps
5.9

 
(28.0
)
 
1.6

 
(57.6
)
 
58.5

 
(72.9
)
 
55.8

 
(95.8
)
Foreign currency - other
(10.6
)
 
(19.1
)
 
4.2

 
2.2

 
15.9

 
(27.9
)
 
12.2

 
18.5

Coffee
(10.7
)
 
0.8

 
0.7

 
(0.5
)
 
(9.8
)
 
0.4

 
(0.3
)
 
(1.1
)
Net Investment Hedges:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign currency
2.7

 
—

 
—

 
—

 
28.2

 
—

 
—

 
—

Foreign currency debt
—

 
—

 
—

 
—

 
(9.6
)
 
—

 
—

 
—


Pretax gains and losses on non-designated derivatives and designated fair value hedging instruments recognized in earnings (in millions):
 
Gains/(Losses) Recognized in Earnings
 
Quarter Ended
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Jul 2, 2017
 
Jun 26, 2016
Non-Designated Derivatives:
 
 
 
 
 
 
 
Foreign currency
$
6.6

 
$
(7.1
)
 
$
10.0

 
$
(9.0
)
Dairy
(0.6
)
 
2.9

 
2.2

 
(4.1
)
Diesel fuel and other commodities
(1.4
)
 
3.8

 
(0.9
)
 
(0.4
)
Designated Fair Value Hedging Instruments:
 
 
 
 
 
 
 
Interest rate swap
(4.8
)
 
—

 
(4.8
)
 
—


Notional amounts of outstanding derivative contracts (in millions):
 
Jul 2, 2017
 
Oct 2, 2016
Interest rate swap
$
750

 
$
—

Cross-currency swaps
$
536

 
$
660

Foreign currency - other
1,298

 
688

Coffee
55

 
7

Dairy
36

 
76

Diesel fuel and other commodities
39

 
46


Fair value of outstanding derivative contracts (in millions):
 
Derivative Assets
 
Derivative Liabilities
 
Jul 2, 2017
 
Oct 2, 2016
 
Jul 2, 2017
 
Oct 2, 2016
Designated Derivative Instruments:
 
 
 
 
 
 
 
Cross-currency swaps
$
11.9

 
$
—

 
$
10.4

 
$
57.0

Foreign currency - other
11.7

 
20.8

 
11.5

 
24.0

Coffee
—

 
1.8

 
6.2

 
—

Net investment hedges
0.4

 
—

 
—

 
—

Interest rate swap
—

 
—

 
4.7

 
—

Non-designated Derivative Instruments:
 
 
 
 
 
 
 
Foreign currency
23.0

 
6.2

 
5.3

 
6.5

Dairy
—

 
1.5

 
0.8

 
1.6

Diesel fuel and other commodities
0.1

 
3.8

 
1.7

 
0.5


Additional disclosures related to cash flow gains and losses included in AOCI, as well as subsequent reclassifications to earnings, are included in Note 8, Equity.
Fair Value Measurements
Fair Value Measurements
Fair Value Measurements
Assets and Liabilities Measured at Fair Value on a Recurring Basis (in millions):

 
 
 
Fair Value Measurements at Reporting Date Using
 
Balance at
Jul 2, 2017
 
Quoted Prices
in Active
Markets for 
Identical Assets
(Level 1)
 
Significant 
Other Observable 
Inputs
(Level 2)
 
Significant
Unobservable  Inputs
(Level 3)
Assets:
 
 
 
 
 
 
 
Cash and cash equivalents
$
2,716.2

 
$
2,716.2

 
$
—

 
$
—

Short-term investments:
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
 
 
Agency obligations
3.3

 
—

 
3.3

 
—

Commercial paper
14.9

 
—

 
14.9

 
—

Corporate debt securities
71.7

 
—

 
71.7

 
—

Foreign government obligations
5.1

 
—

 
5.1

 
—

U.S. government treasury securities
97.0

 
97.0

 
—

 
—

Mortgage and other asset-backed securities
12.1

 
—

 
12.1

 
—

Certificates of deposit
12.3

 
—

 
12.3

 
—

Total available-for-sale securities
216.4

 
97.0

 
119.4

 
—

Trading securities
73.5

 
73.5

 
—

 
—

Total short-term investments
289.9

 
170.5

 
119.4

 
—

Prepaid expenses and other current assets:
 
 
 
 
 
 
 
Derivative assets
20.9

 
—

 
20.9

 
—

Long-term investments:
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
 
 
Agency obligations
28.2

 
—

 
28.2

 
—

Corporate debt securities
284.6

 
—

 
284.6

 
—

Auction rate securities
5.8

 
—

 
—

 
5.8

Foreign government obligations
37.7

 
—

 
37.7

 
—

U.S. government treasury securities
151.3

 
151.3

 
—

 
—

State and local government obligations
7.4

 
—

 
7.4

 
—

Mortgage and other asset-backed securities
193.3

 
—

 
193.3

 
—

Total long-term investments
708.3

 
151.3

 
551.2

 
5.8

Other long-term assets:
 
 
 
 
 
 
 
Derivative assets
26.2

 
—

 
26.2

 
—

Total assets
$
3,761.5

 
$
3,038.0

 
$
717.7

 
$
5.8

Liabilities:
 
 
 
 
 
 
 
Accrued liabilities:
 
 
 
 
 
 
 
Derivative liabilities
$
20.7

 
$
6.8

 
$
13.9

 
$
—

Other long-term liabilities:
 
 
 
 
 
 
 
Derivative liabilities
19.9

 
—

 
19.9

 
—

Total liabilities
$
40.6

 
$
6.8

 
$
33.8

 
$
—


 
 
 
Fair Value Measurements at Reporting Date Using
 
Balance at
Oct 2, 2016
 
Quoted Prices
in Active
Markets for 
Identical Assets
(Level 1)
 
Significant 
Other Observable 
Inputs
(Level 2)
 
Significant
Unobservable  Inputs
(Level 3)
Assets:
 
 
 
 
 
 
 
Cash and cash equivalents
$
2,128.8

 
$
2,128.8

 
$
—

 
$
—

Short-term investments:
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
 
 
Agency obligations
1.3

 
—

 
1.3

 
—

Commercial paper
2.6

 
—

 
2.6

 
—

Corporate debt securities
34.2

 
—

 
34.2

 
—

Foreign government obligations
5.5

 
—

 
5.5

 
—

U.S. government treasury securities
15.8

 
15.8

 
—

 
—

State and local government obligations
0.5

 
—

 
0.5

 
—

Certificates of deposit
5.8

 
—

 
5.8

 
—

Total available-for-sale securities
65.7

 
15.8

 
49.9

 
—

Trading securities
68.7

 
68.7

 
—

 
—

Total short-term investments
134.4

 
84.5

 
49.9

 
—

Prepaid expenses and other current assets:
 
 
 
 
 
 
 
Derivative assets
27.7

 
3.1

 
24.6

 
—

Long-term investments:
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
 
 
Agency obligations
44.4

 
—

 
44.4

 
—

Corporate debt securities
459.3

 
—

 
459.3

 
—

Auction rate securities
5.7

 
—

 
—

 
5.7

Foreign government obligations
46.7

 
—

 
46.7

 
—

U.S. government treasury securities
358.2

 
358.2

 
—

 
—

State and local government obligations
57.5

 
—

 
57.5

 
—

Mortgage and other asset-backed securities
169.9

 
—

 
169.9

 
—

Total long-term investments
1,141.7

 
358.2

 
777.8

 
5.7

Other long-term assets:
 
 
 
 
 
 
 
Derivative assets
6.4

 
—

 
6.4

 
—

Total assets
$
3,439.0

 
$
2,574.6

 
$
858.7

 
$
5.7

Liabilities:
 
 
 
 
 
 
 
Accrued liabilities:
 
 
 
 
 
 
 
Derivative liabilities
$
18.0

 
$
1.7

 
$
16.3

 
$
—

Other long-term liabilities:
 
 
 
 
 
 
 
Derivative liabilities
71.6

 
—

 
71.6

 
—

Total
$
89.6

 
$
1.7

 
$
87.9

 
$
—


There were no transfers between levels, and there was no significant activity within Level 3 instruments during the periods presented. The fair values of any financial instruments presented above exclude the impact of netting assets and liabilities when a legally enforceable master netting agreement exists.
Gross unrealized holding gains and losses on investments were not material as of July 2, 2017 and October 2, 2016.
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis
Assets and liabilities recognized or disclosed at fair value on the condensed consolidated financial statements on a nonrecurring basis include items such as property, plant and equipment, goodwill and other intangible assets, equity and cost method investments, and other assets. These assets are measured at fair value if determined to be impaired.
During the third quarter of fiscal 2017, management finalized its long-term strategy for the Teavana reporting unit. The plan emphasizes sales of premium Teavana® tea products at Starbucks branded stores and, to a lesser extent, consumer product channels. The existing portfolio of Teavana-branded retail stores are expected to be closed over the next several quarters. This change in strategic direction triggered an impairment test first of the retail store assets and then an impairment test of the goodwill asset, which also coincided with our annual goodwill testing process. The retail store assets were determined to be fully impaired, which resulted in a charge of $33.0 million. For goodwill, we utilized a combination of income and market approaches to determine the implied fair value of the reporting unit. These approaches used primarily unobservable inputs, including discount, sales growth and royalty rates and valuation multiples of a selection of similar publicly traded companies, which are considered Level 3 fair value measurements. We then compared the implied fair value with the carrying value and recognized a goodwill impairment charge of $69.3 million, thus reducing goodwill of the Teavana reporting unit to $398.3 million as of July 2, 2017. The remaining intangible assets for the Teavana reporting unit of $117.2 million, consisting primarily of the indefinite-lived tradename and definite-lived tea recipes, were also tested, and no impairment losses were recorded.
The ongoing impact of the macro economic challenges we have experienced in our EMEA company-owned markets and the continued strength of the Swiss franc, when compared to the relatively inexpensive euro in surrounding countries, have posed strong headwinds to our Switzerland retail reporting unit. Our latest mitigation efforts incorporated into our Level 3 fair value calculation for our Switzerland retail business are not expected to fully recover the reporting unit’s carrying value given the sustained nature of these and other external factors on consumer behavior and tourism. As a result, we have recorded a goodwill impairment charge of $17.9 million, and, as of July 2, 2017, we had approximately $37.0 million of goodwill remaining on our condensed consolidated balance sheet associated with this reporting unit.
The estimated fair value of our long-term debt based on the quoted market price (Level 2) is included at Note 7, Debt. Other than the aforementioned fair value adjustments, there were no other material fair value adjustments during the quarter and three quarters ended July 2, 2017 and June 26, 2016.
Inventories
Inventories
Inventories (in millions)
 
Jul 2, 2017
 
Oct 2, 2016
 
Jun 26, 2016
Coffee:
 
 
 
 
 
Unroasted
$
614.7

 
$
561.6

 
$
625.2

Roasted
258.4

 
300.4

 
269.8

Other merchandise held for sale
261.3

 
308.6

 
243.7

Packaging and other supplies
222.9

 
207.9

 
186.4

Total
$
1,357.3

 
$
1,378.5

 
$
1,325.1

Other merchandise held for sale includes, among other items, tea and serveware. Inventory levels vary due to seasonality, commodity market supply and price fluctuations.
As of July 2, 2017, we had committed to purchasing green coffee totaling $806 million under fixed-price contracts and an estimated $336 million under price-to-be-fixed contracts. As of July 2, 2017, approximately $55 million of our price-to-be fixed contracts were effectively fixed through the use of futures contracts. Price-to-be-fixed contracts are purchase commitments whereby the quality, quantity, delivery period, and other negotiated terms are agreed upon, but the date, and therefore the price, at which the base “C” coffee commodity price component will be fixed has not yet been established. For most contracts, either Starbucks or the seller has the option to “fix” the base “C” coffee commodity price prior to the delivery date. For other contracts, Starbucks and the seller may agree upon pricing parameters determined by the base “C” coffee commodity price. Until prices are fixed, we estimate the total cost of these purchase commitments. We believe, based on relationships established with our suppliers in the past, the risk of non-delivery on these purchase commitments is remote.
Supplemental Balance Sheet Information
Supplemental Balance Sheet Information
Supplemental Balance Sheet Information (in millions)

Property, Plant and Equipment, net
 
Jul 2, 2017
 
Oct 2, 2016
Land
$
46.8

 
$
46.6

Buildings
475.7

 
458.4

Leasehold improvements
6,200.2

 
5,892.9

Store equipment
2,059.1

 
1,931.7

Roasting equipment
612.6

 
605.4

Furniture, fixtures and other
1,477.3

 
1,366.9

Work in progress
362.2

 
271.4

Property, plant and equipment, gross
11,233.9

 
10,573.3

Accumulated depreciation
(6,534.1
)
 
(6,039.5
)
Property, plant and equipment, net
$
4,699.8

 
$
4,533.8



Accrued Liabilities
 
Jul 2, 2017
 
Oct 2, 2016
Accrued compensation and related costs
$
501.0

 
$
510.8

Accrued occupancy costs
141.0

 
137.5

Accrued taxes
171.6

 
368.4

Accrued dividends payable
361.4

 
365.1

Accrued capital and other operating expenditures
595.6

 
617.3

Total accrued liabilities
$
1,770.6

 
$
1,999.1

Debt
Debt
Debt
Short-term Debt
Under our commercial paper program, we may issue unsecured commercial paper notes up to a maximum aggregate amount outstanding at any time of $1 billion, with individual maturities that may vary but not exceed 397 days from the date of issue. Amounts outstanding under the commercial paper program are required to be backstopped by available commitments under our credit facility. The proceeds from borrowings under our commercial paper program may be used for working capital needs, capital expenditures and other corporate purposes, including, but not limited to, business expansion, payment of cash dividends on our common stock and share repurchases. As of July 2, 2017, we had no borrowings outstanding under the program.
Long-term Debt
In March 2017, we issued Japanese yen-denominated long-term debt in an underwritten registered public offering. The 7-year 0.372% Senior Notes (the “2024 notes”) due March 2024 were issued with a face value of ¥85 billion, of which ¥76 billion has been designated to hedge the foreign currency exposure of our net investment in Japan. Interest on the 2024 notes is payable semi-annually on March 15 and September 15 of each year, commencing on September 15, 2017.
In December 2016, we repaid the $400 million of 0.875% Senior Notes (the “2016 notes”) at maturity.
Components of long-term debt including the associated interest rates and related estimated fair values by calendar maturity (in millions, except interest rates):
 
Jul 2, 2017
 
Oct 2, 2016
 
Stated Interest Rate
Effective Interest Rate (1)
Issuance
Amount
Estimated Fair Value
 
Amount
Estimated Fair Value
 
2016 notes
$
—

$
—

 
$
400.0

$
400

 
0.875
%
0.941
%
2018 notes
350.0

352

 
350.0

357

 
2.000
%
2.012
%
2021 notes
500.0

503

 
500.0

511

 
2.100
%
2.293
%
2021 notes
250.0

251

 
250.0

255

 
2.100
%
1.600
%
2022 notes
500.0

510

 
500.0

526

 
2.700
%
2.819
%
2023 notes
750.0

807

 
750.0

839

 
3.850
%
2.860
%
2024 notes (2)
758.3

762

 
—

—

 
0.372
%
0.462
%
2026 notes
500.0

482

 
500.0

509

 
2.450
%
2.511
%
2045 notes
350.0

386

 
350.0

417

 
4.300
%
4.348
%
Total
3,958.3

4,053

 
3,600.0

3,814

 
 
 
Aggregate debt issuance costs and unamortized premium, net
(18.0
)
 
 
(14.8
)
 
 
 
 
Hedge accounting fair value adjustment (3)
(4.8
)
 
 
—

 
 
 
 
Total
$
3,935.5

 
 
$
3,585.2

 
 
 
 
(1) 
Includes the effects of the amortization of any premium or discount and any gain or loss upon settlement of related treasury locks or forward-starting interest rate swaps utilized to hedge the interest rate risk prior to the debt issuance.
(2) 
Japanese yen-denominated long-term debt.
(3) 
Amount represents the change in fair value due to changes in benchmark interest rates related to our 2023 notes. Refer to Note 3, Derivative Financial Instruments, for additional information on our interest rate swap designated as a fair value hedge.
The indentures under which the above notes were issued require us to maintain compliance with certain covenants, including limits on future liens and sale and leaseback transactions on certain material properties. As of July 2, 2017, we were in compliance with all applicable covenants.
The following table summarizes our long-term debt maturities as of July 2, 2017 by fiscal year (in millions):
Fiscal Year
Total
2018
$
—

2019
350.0

2020
—

2021
750.0

2022
500.0

Thereafter
2,358.3

Total
$
3,958.3

Equity
Equity
Changes in total equity (in millions):
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Attributable to Starbucks
 
Noncontrolling interests
 
Total Equity
 
Attributable to Starbucks
 
Noncontrolling interest
 
Total Equity
Beginning balance of total equity
$
5,884.0

 
$
6.7

 
$
5,890.7

 
$
5,818.0

 
$
1.8

 
$
5,819.8

Net earnings including noncontrolling interests
2,096.1

 
(0.6
)
 
2,095.5

 
2,016.8

 
0.4

 
2,017.2

Translation adjustment and other, net of reclassifications and tax
(76.1
)
 
—

 
(76.1
)
 
91.3

 
—

 
91.3

Unrealized gains/(losses), net of reclassifications and tax
(0.6
)
 
—

 
(0.6
)
 
(20.5
)
 
—

 
(20.5
)
Other comprehensive income/(loss)
(76.7
)
 
—

 
(76.7
)
 
70.8

 
—

 
70.8

Stock-based compensation expense
150.1

 
—

 
150.1

 
159.6

 
—

 
159.6

Exercise of stock options/vesting of RSUs
108.0

 
—

 
108.0

 
115.4

 
—

 
115.4

Sale of common stock
21.6

 
—

 
21.6

 
12.7

 
—

 
12.7

Repurchase of common stock
(1,254.1
)
 
—

 
(1,254.1
)
 
(1,590.4
)
 
—

 
(1,590.4
)
Cash dividends declared
(1,085.6
)
 
—

 
(1,085.6
)
 
(881.1
)
 
—

 
(881.1
)
Ending balance of total equity
$
5,843.4

 
$
6.1

 
$
5,849.5

 
$
5,721.8

 
$
2.2

 
$
5,724.0


Changes in AOCI by component, net of tax (in millions):
Quarter Ended
 
 Available-for-Sale Securities
 
 Cash Flow Hedges
 
 Net Investment Hedges
 
Translation Adjustment and Other
 
Total
July 2, 2017
 
 
 
 
 
 
 
 
 
Net gains/(losses) in AOCI, beginning of period
$
(5.3
)
 
$
21.6

 
$
11.3

 
$
(234.0
)
 
$
(206.4
)
Net gains/(losses) recognized in OCI before reclassifications
1.0

 
(12.7
)
 
1.7

 
36.2

 
26.2

Net (gains)/losses reclassified from AOCI to earnings
0.8

 
(5.7
)
 
—

 
—

 
(4.9
)
Other comprehensive income/(loss) attributable to Starbucks
1.8

 
(18.4
)
 
1.7

 
36.2

 
21.3

Net gains/(losses) in AOCI, end of period
$
(3.5
)
 
$
3.2

 
$
13.0

 
$
(197.8
)
 
$
(185.1
)
 
 
 
 
 
 
 
 
 
 
June 26, 2016
 
 
 
 
 
 
 
 
 
Net gains/(losses) in AOCI, beginning of period
$
2.9

 
$
(3.8
)
 
$
1.3

 
$
(189.6
)
 
$
(189.2
)
Net gains/(losses) recognized in OCI before reclassifications
(2.6
)
 
(35.6
)
 
—

 
54.7

 
16.5

Net (gains)/losses reclassified from AOCI to earnings
(0.6
)
 
44.7

 
—

 
—

 
44.1

Other comprehensive income/(loss) attributable to Starbucks
(3.2
)
 
9.1

 
—

 
54.7

 
60.6

Net gains/(losses) in AOCI, end of period
$
(0.3
)
 
$
5.3

 
$
1.3

 
$
(134.9
)
 
$
(128.6
)
Three Quarters Ended
 
 
 
 
 
 
 
 
 
 
 
 Available-for-Sale Securities
 
 Cash Flow Hedges
 
 Net Investment Hedges
 
Translation Adjustment and Other
 
Total
July 2, 2017
 
 
 
 
 
 
 
 
 
Net gains/(losses) in AOCI, beginning of period
$
1.1

 
$
10.9

 
$
1.3

 
$
(121.7
)
 
$
(108.4
)
Net gains/(losses) recognized in OCI before reclassifications
(6.9
)
 
48.5

 
11.7

 
(76.1
)
 
(22.8
)
Net (gains)/losses reclassified from AOCI to earnings
2.3

 
(56.2
)
 
—

 
—

 
(53.9
)
Other comprehensive income/(loss) attributable to Starbucks
(4.6
)
 
(7.7
)
 
11.7

 
(76.1
)
 
(76.7
)
Net gains/(losses) in AOCI, end of period
$
(3.5
)
 
$
3.2

 
$
13.0

 
$
(197.8
)
 
$
(185.1
)
 
 
 
 
 
 
 
 
 
 
June 26, 2016
 
 
 
 
 
 
 
 
 
Net gains/(losses) in AOCI, beginning of period
$
(0.1
)
 
$
25.6

 
$
1.3

 
$
(226.2
)
 
$
(199.4
)
Net gains/(losses) recognized in OCI before reclassifications
0.4

 
(83.2
)
 
—

 
91.3

 
8.5

Net (gains)/losses reclassified from AOCI to earnings
(0.6
)
 
62.9

 
—

 
—

 
62.3

Other comprehensive income/(loss) attributable to Starbucks
(0.2
)
 
(20.3
)
 
—

 
91.3

 
70.8

Net gains/(losses) in AOCI, end of period
$
(0.3
)
 
$
5.3

 
$
1.3

 
$
(134.9
)
 
$
(128.6
)

Impact of reclassifications from AOCI on the consolidated statements of earnings (in millions):
Quarter Ended
AOCI
Components
 
Amounts Reclassified from AOCI
 
Affected Line Item in
the Statements of Earnings
 
Jul 2, 2017
 
Jun 26, 2016
 
Gains/(losses) on available-for-sale securities
 
$
(1.2
)
 
$
0.9

 
Interest income and other, net
Gains/(losses) on cash flow hedges
 
 
 
 
 
 
Interest rate hedges
 
1.2

 
1.2

 
Interest expense
Cross-currency swaps
 
1.5

 
(57.6
)
 
Interest income and other, net
Foreign currency hedges
 
1.2

 
0.1

 
Revenues
Foreign currency/coffee hedges
 
3.7

 
1.6

 
Cost of sales including occupancy costs
 
 
6.4

 
(53.8
)
 
Total before tax
 
 
(1.5
)
 
9.7

 
Tax benefit
 
 
$
4.9

 
$
(44.1
)
 
Net of tax
Three Quarters Ended
 
 
 
 
 
 
 
AOCI
Components
 
Amounts Reclassified from AOCI
 
Affected Line Item in
the Statements of Earnings
 
Jul 2, 2017
 
Jun 26, 2016
 
Gains/(losses) on available-for-sale securities
 
$
(3.2
)
 
$
1.1

 
Interest income and other, net
Gains/(losses) on cash flow hedges
 
 
 
 
 
 
Interest rate hedges
 
3.6

 
4.0

 
Interest expense
Cross-currency swaps
 
55.6

 
(95.8
)
 
Interest income and other, net
Foreign currency hedges
 
3.7

 
5.5

 
Revenues
Foreign currency/coffee hedges
 
8.2

 
11.9

 
Cost of sales including occupancy costs
 
 
67.9

 
(73.3
)
 
Total before tax
 
 
(14.0
)
 
11.2

 
Tax (expense)/benefit
 
 
$
53.9

 
$
(62.1
)
 
Net of tax

In addition to 2.4 billion shares of authorized common stock with $0.001 par value per share, the Company has authorized 7.5 million shares of preferred stock, none of which was outstanding as of July 2, 2017.
We repurchased 22.4 million shares of common stock at a total cost of $1.3 billion, and 27.6 million shares at a total cost of $1.6 billion for three quarters ended July 2, 2017 and June 26, 2016, respectively. As of July 2, 2017, 95.4 million shares remained available for repurchase under current authorizations.
During the third quarter of fiscal 2017, our Board of Directors declared a quarterly cash dividend to shareholders of $0.25 per share to be paid on August 25, 2017 to shareholders of record as of the close of business on August 10, 2017.
Employee Stock Plans
Employee Stock Plans
Employee Stock Plans
As of July 2, 2017, there were 73.1 million shares of common stock available for issuance pursuant to future equity-based compensation awards and 13.5 million shares available for issuance under our employee stock purchase plan.
Stock-based compensation expense recognized in the consolidated statements of earnings (in millions):
 
Quarter Ended
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Jul 2, 2017
 
Jun 26, 2016
Options
$
10.1

 
$
9.2

 
$
34.1

 
$
32.2

Restricted Stock Units (“RSUs”)
33.8

 
40.6

 
114.7

 
126.2

Total stock-based compensation expense
$
43.9

 
$
49.8

 
$
148.8

 
$
158.4


Stock option and RSU transactions from October 2, 2016 through July 2, 2017 (in millions):
 
 
Stock Options
 
RSUs
Options outstanding/Nonvested RSUs, October 2, 2016
31.3

 
8.3

Granted
7.0

 
5.0

Options exercised/RSUs vested
(4.7
)
 
(3.8
)
Forfeited/expired
(1.5
)
 
(1.2
)
Options outstanding/Nonvested RSUs, July 2, 2017
32.1

 
8.3

Total unrecognized stock-based compensation expense, net of estimated forfeitures, as of July 2, 2017
$
46.9

 
$
152.0

Earnings Per Share
Earnings Per Share
Earnings per Share
Calculation of net earnings per common share (“EPS”) — basic and diluted (in millions, except EPS):
 
Quarter Ended
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Jul 2, 2017
 
Jun 26, 2016
Net earnings attributable to Starbucks
$
691.6

 
$
754.1

 
$
2,096.1

 
$
2,016.8

Weighted average common shares outstanding (for basic calculation)
1,447.7

 
1,465.3

 
1,452.8

 
1,474.4

Dilutive effect of outstanding common stock options and RSUs
11.7

 
14.0

 
12.1

 
15.3

Weighted average common and common equivalent shares outstanding (for diluted calculation)
1,459.4

 
1,479.3

 
1,464.9

 
1,489.7

EPS — basic
$
0.48

 
$
0.51

 
$
1.44

 
$
1.37

EPS — diluted
$
0.47

 
$
0.51

 
$
1.43

 
$
1.35


Potential dilutive shares consist of the incremental common shares issuable upon the exercise of outstanding stock options (both vested and nonvested) and unvested RSUs, calculated using the treasury stock method. The calculation of dilutive shares outstanding excludes out-of-the-money stock options (i.e., such options’ exercise prices were greater than the average market price of our common shares for the period) because their inclusion would have been antidilutive. Out-of-the-money stock options totaled approximately 4.5 million and 5.3 million as of July 2, 2017 and June 26, 2016, respectively.
Segment Reporting
Segment Reporting
Segment Reporting
Our chief executive officer and executive chairman comprise the Company's Chief Operating Decision Maker function (“CODM”). Segment information is prepared on the same basis that our CODM manages the segments, evaluates financial results and makes key operating decisions.
The table below presents financial information for our reportable operating segments and All Other Segments (in millions):
Quarter Ended
 
Americas
 
China/
Asia Pacific
 
EMEA(1)
 
Channel
Development
 
All Other Segments(1)
 
Segment
Total
July 2, 2017
 
 
 
 
 
 
 
 
 
 
 
Total net revenues
$
3,991.9

 
$
840.6

 
$
249.9

 
$
478.7

 
$
100.4

 
$
5,661.5

Depreciation and amortization expenses
152.8

 
51.0

 
7.7

 
0.5

 
3.0

 
215.0

Income from equity investees
—

 
51.8

 
—

 
49.2

 
—

 
101.0

Operating income/(loss)
974.8

 
223.8

 
9.8

 
210.2

 
(112.3
)
 
1,306.3

 
 
 
 
 
 
 
 
 
 
 
 
June 26, 2016
 
 
 
 
 
 
 
 
 
 
 
Total net revenues
$
3,645.5

 
$
768.2

 
$
273.4

 
$
440.8

 
$
110.1

 
$
5,238.0

Depreciation and amortization expenses
149.2

 
45.7

 
10.3

 
0.7

 
3.1

 
209.0

Income from equity investees
—

 
40.2

 
—

 
42.3

 
—

 
82.5

Operating income/(loss)
898.5

 
182.8

 
29.9

 
187.8

 
(14.9
)
 
1,284.1

Three Quarters Ended
 
Americas
 
China/
Asia Pacific
 
EMEA(1)
 
Channel
Development
 
All Other Segments(1)
 
Segment
Total
July 2, 2017
 
 
 
 
 
 
 
 
 
 
 
Total net revenues
$
11,703.7

 
$
2,380.3

 
$
743.9

 
$
1,493.6

 
$
367.0

 
$
16,688.5

Depreciation and amortization expenses
460.6

 
148.9

 
22.9

 
1.7

 
9.3

 
643.4

Income from equity investees
—

 
138.4

 
—

 
131.1

 
—

 
269.5

Operating income/(loss)
2,759.4

 
563.2

 
81.5

 
646.5

 
(127.9
)
 
3,922.7

 
 
 
 
 
 
 
 
 
 
 
 
June 26, 2016
 
 
 
 
 
 
 
 
 
 
 
Total net revenues
$
10,827.2

 
$
2,099.6

 
$
854.7

 
$
1,414.0

 
$
409.2

 
$
15,604.7

Depreciation and amortization expenses
441.6

 
131.7

 
32.4

 
2.1

 
10.1

 
617.9

Income from equity investees
—

 
104.3

 
1.5

 
106.5

 
—

 
212.3

Operating income/(loss)
2,645.1

 
439.2

 
105.8

 
563.0

 
(28.1
)
 
3,725.0

(1) During the quarter and three quarters ended July 2, 2017, EMEA and All Other Segments operating income/(loss) included impairment charges of $17.9 million and $102.3 million, respectively, associated with our Starbucks Coffee Switzerland and Teavana reporting units. Refer to Note 4, Fair Value Measurements, for additional information.

Reconciliation of total segment operating income to consolidated earnings before income taxes (in millions):
 
Quarter Ended
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Jul 2, 2017
 
Jun 26, 2016
Total segment operating income
$
1,306.3

 
$
1,284.1

 
$
3,922.7

 
$
3,725.0

Unallocated corporate operating expenses
(262.1
)
 
(261.8
)
 
(810.6
)
 
(780.5
)
Consolidated operating income
1,044.2

 
1,022.3

 
3,112.1

 
2,944.5

Interest income and other, net
31.7

 
72.9

 
123.7

 
95.5

Interest expense
(23.5
)
 
(21.8
)
 
(70.2
)
 
(56.6
)
Earnings before income taxes
$
1,052.4

 
$
1,073.4

 
$
3,165.6

 
$
2,983.4

Summary of Significant Accounting Policies Summary of Significant Policies (Policies)
Recent Accounting Pronouncements
Recent Accounting Pronouncements
In January 2017, the Financial Accounting Standards Board (“FASB”) issued guidance that simplifies the measurement of goodwill impairment. Under this new guidance, an impairment charge, if triggered, is calculated as the difference between a reporting unit’s carrying value and fair value, but it is limited to the carrying value of goodwill. During the second quarter of fiscal 2017, we elected to early-adopt this guidance on a prospective basis.
In October 2016, the FASB issued guidance on the accounting for income tax effects of intercompany sales or transfers of assets other than inventory. The guidance requires entities to recognize the income tax impact of an intra-entity sale or transfer of an asset other than inventory when the sale or transfer occurs, rather than when the asset has been sold to an outside party. The guidance will require a modified retrospective application with a cumulative catch-up adjustment to opening retained earnings at the beginning of our first quarter of fiscal 2019 but permits adoption in an earlier period. We are currently evaluating the impact this guidance will have on our consolidated financial statements and the timing of adoption.
In June 2016, the FASB issued guidance on the measurement and recognition of credit losses on most financial assets. For trade receivables, loans, and held-to-maturity debt securities, the current probable loss recognition methodology is being replaced by an expected credit loss model. For available-for-sale debt securities, the recognition model on credit losses is generally unchanged, except the losses will be presented as an adjustable allowance. The guidance will be applied retrospectively with the cumulative effect recognized as of the date of adoption. The guidance will become effective at the beginning of our first quarter of fiscal 2021 but can be adopted as early as the beginning of our first quarter of fiscal 2020. We are currently evaluating the impact this guidance will have on our consolidated financial statements and the timing of adoption.
In March 2016, the FASB issued guidance related to stock-based compensation, which changes the accounting and classification of excess tax benefits and minimum tax withholdings on share-based awards. With this adoption, excess tax benefits and tax deficiencies related to stock-based compensation will be prospectively reflected as income tax expense in our consolidated statement of earnings instead of additional paid-in capital on our consolidated balance sheet. Additionally, within our consolidated statement of cash flows, this guidance will require excess tax benefits to be presented as an operating activity, rather than a financing activity, in the same manner as other cash flows related to income taxes. As a result, we expect the adoption will have a significant impact on income tax expense and earnings per share, as reported in our consolidated statement of earnings, and consolidated statement of cash flows. We will adopt this guidance in the first quarter of fiscal 2018.
In March 2016, the FASB issued guidance for financial liabilities resulting from selling prepaid stored value products that are redeemable at third-party merchants. Under the new guidance, expected breakage amounts associated with these products must be recognized proportionately in earnings as redemption occurs. Our current accounting policy of applying the remote method to all of our stored value cards, including cards redeemable at the third-party licensed locations, will no longer be allowed. We will adopt and implement the provisions of this guidance and the new revenue recognition standard issued by the FASB, as discussed below, in the first quarter of fiscal 2019.
In February 2016, the FASB issued guidance on the recognition and measurement of leases. Under the new guidance, lessees are required to recognize a lease liability, which represents the discounted obligation to make future minimum lease payments, and a corresponding right-of-use asset on the balance sheet for most leases. The guidance retains the current accounting for lessors and does not make significant changes to the recognition, measurement, and presentation of expenses and cash flows by a lessee. Enhanced disclosures will also be required to give financial statement users the ability to assess the amount, timing and uncertainty of cash flows arising from leases. The guidance will require modified retrospective application at the beginning of our first quarter of fiscal 2020, with optional practical expedients, but permits adoption in an earlier period. We are currently evaluating the impact this guidance will have on our consolidated financial statements. We expect this adoption will result in a material increase in the assets and liabilities on our consolidated balance sheets but will likely have an insignificant impact on our consolidated statements of earnings.
In April 2015, the FASB issued guidance on the financial statement presentation of debt issuance costs. This guidance requires these costs to be presented in the balance sheet as a reduction of the related debt liability rather than as an asset. We retrospectively adopted this guidance in the first quarter of fiscal 2017, which resulted in the reclassification of $17.0 million of debt issuance costs previously presented in prepaid expenses and other current assets and other long-term assets to long-term debt in our consolidated balance sheet as of October 2, 2016. Components of our long-term debt and aggregate debt issuance costs and unamortized premium are disclosed in Note 7, Debt.
In May 2014, the FASB issued guidance outlining a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers that supersedes most current revenue recognition guidance. This guidance requires an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The new guidance may be applied retrospectively to each prior period presented or retrospectively with the cumulative effect recognized as of the date of adoption. We are currently evaluating the overall impact this guidance will have on our consolidated financial statements, as well as the expected method of adoption. Based on our continued assessment, which may identify other accounting impacts, we have determined the adoption will change the timing of recognition and classification of our stored value card breakage income, which is currently recognized using the remote method and recorded in interest income and other, net. The new guidance will require application of the proportional method and classification within total net revenues on our consolidated statements of earnings. Additionally, the new guidance requires enhanced disclosures, including revenue recognition policies to identify performance obligations to customers and significant judgments in measurement and recognition. We will adopt this guidance in the first quarter of fiscal 2019.
Derivative Financial Instruments (Tables)
Derivative Gains and Losses Included in AOCI and Expected to be Reclassified into Earnings in 12 Months, Net of Tax 
Gains and losses on derivative contracts and foreign currency-denominated debt designated as hedging instruments included in AOCI and expected to be reclassified into earnings within 12 months, net of tax (in millions):
 
Net Gains/(Losses)
Included in AOCI
 
Net Gains Expected to be Reclassified from AOCI into Earnings within 12 Months
 
Outstanding Contract/Debt Remaining Maturity
(Months)
 
Jul 2,
2017
 
Oct 2,
2016
 
 
Cash Flow Hedges:
 
 
 
 
 
 
 
Interest rates
$
18.2

 
$
20.5

 
$
3.0

 
0
Cross-currency swaps
(5.5
)
 
(7.7
)
 
—

 
89
Foreign currency - other
0.7

 
(0.4
)
 
2.0

 
35
Coffee
(10.2
)
 
(1.6
)
 
(10.2
)
 
7
Net Investment Hedges:
 
 
 
 
 
 
 
Foreign currency
19.1

 
1.3

 
—

 
0
Foreign currency debt
(6.1
)
 
—

 
—

 
82
Pretax Gains and Losses on Derivative Contracts Designated as Hedging Instruments Recognized in OCI and Reclassifications from AOCI to Earnings 
Pretax gains and losses on derivative contracts and foreign-denominated long-term debt designated as hedging instruments recognized in other comprehensive income (“OCI”) and reclassifications from AOCI to earnings (in millions):
 
Quarter Ended
 
Three Quarters Ended
 
Gains/(Losses)
Recognized in
OCI Before Reclassifications
 
Gains/(Losses) Reclassified from
AOCI to Earnings
 
Gains/(Losses)
Recognized in
OCI Before Reclassifications
 
Gains/(Losses) Reclassified from
AOCI to Earnings
 
Jul 2,
2017
 
Jun 26,
2016
 
Jul 2,
2017
 
Jun 26,
2016
 
Jul 2,
2017
 
Jun 26,
2016
 
Jul 2,
2017
 
Jun 26,
2016
Cash Flow Hedges:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Interest rates
$
—

 
$
(2.0
)
 
$
1.2

 
$
1.2

 
$
—

 
$
(10.3
)
 
$
3.6

 
$
4.0

Cross-currency swaps
5.9

 
(28.0
)
 
1.6

 
(57.6
)
 
58.5

 
(72.9
)
 
55.8

 
(95.8
)
Foreign currency - other
(10.6
)
 
(19.1
)
 
4.2

 
2.2

 
15.9

 
(27.9
)
 
12.2

 
18.5

Coffee
(10.7
)
 
0.8

 
0.7

 
(0.5
)
 
(9.8
)
 
0.4

 
(0.3
)
 
(1.1
)
Net Investment Hedges:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Foreign currency
2.7

 
—

 
—

 
—

 
28.2

 
—

 
—

 
—

Foreign currency debt
—

 
—

 
—

 
—

 
(9.6
)
 
—

 
—

 
—

Pretax Gains and Losses on Derivative Contracts Not Designated as Hedging Instruments Recognized in Earnings 
Pretax gains and losses on non-designated derivatives and designated fair value hedging instruments recognized in earnings (in millions):
 
Gains/(Losses) Recognized in Earnings
 
Quarter Ended
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Jul 2, 2017
 
Jun 26, 2016
Non-Designated Derivatives:
 
 
 
 
 
 
 
Foreign currency
$
6.6

 
$
(7.1
)
 
$
10.0

 
$
(9.0
)
Dairy
(0.6
)
 
2.9

 
2.2

 
(4.1
)
Diesel fuel and other commodities
(1.4
)
 
3.8

 
(0.9
)
 
(0.4
)
Designated Fair Value Hedging Instruments:
 
 
 
 
 
 
 
Interest rate swap
(4.8
)
 
—

 
(4.8
)
 
—

Notional Amounts of Outstanding Derivative Contracts 
Notional amounts of outstanding derivative contracts (in millions):
 
Jul 2, 2017
 
Oct 2, 2016
Interest rate swap
$
750

 
$
—

Cross-currency swaps
$
536

 
$
660

Foreign currency - other
1,298

 
688

Coffee
55

 
7

Dairy
36

 
76

Diesel fuel and other commodities
39

 
46

Fair Value of Outstanding Derivative Contracts 
Fair value of outstanding derivative contracts (in millions):
 
Derivative Assets
 
Derivative Liabilities
 
Jul 2, 2017
 
Oct 2, 2016
 
Jul 2, 2017
 
Oct 2, 2016
Designated Derivative Instruments:
 
 
 
 
 
 
 
Cross-currency swaps
$
11.9

 
$
—

 
$
10.4

 
$
57.0

Foreign currency - other
11.7

 
20.8

 
11.5

 
24.0

Coffee
—

 
1.8

 
6.2

 
—

Net investment hedges
0.4

 
—

 
—

 
—

Interest rate swap
—

 
—

 
4.7

 
—

Non-designated Derivative Instruments:
 
 
 
 
 
 
 
Foreign currency
23.0

 
6.2

 
5.3

 
6.5

Dairy
—

 
1.5

 
0.8

 
1.6

Diesel fuel and other commodities
0.1

 
3.8

 
1.7

 
0.5

Fair Value Measurements (Tables)
Assets And Liabilities Measured At Fair Value On A Recurring Basis
Assets and Liabilities Measured at Fair Value on a Recurring Basis (in millions):

 
 
 
Fair Value Measurements at Reporting Date Using
 
Balance at
Jul 2, 2017
 
Quoted Prices
in Active
Markets for 
Identical Assets
(Level 1)
 
Significant 
Other Observable 
Inputs
(Level 2)
 
Significant
Unobservable  Inputs
(Level 3)
Assets:
 
 
 
 
 
 
 
Cash and cash equivalents
$
2,716.2

 
$
2,716.2

 
$
—

 
$
—

Short-term investments:
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
 
 
Agency obligations
3.3

 
—

 
3.3

 
—

Commercial paper
14.9

 
—

 
14.9

 
—

Corporate debt securities
71.7

 
—

 
71.7

 
—

Foreign government obligations
5.1

 
—

 
5.1

 
—

U.S. government treasury securities
97.0

 
97.0

 
—

 
—

Mortgage and other asset-backed securities
12.1

 
—

 
12.1

 
—

Certificates of deposit
12.3

 
—

 
12.3

 
—

Total available-for-sale securities
216.4

 
97.0

 
119.4

 
—

Trading securities
73.5

 
73.5

 
—

 
—

Total short-term investments
289.9

 
170.5

 
119.4

 
—

Prepaid expenses and other current assets:
 
 
 
 
 
 
 
Derivative assets
20.9

 
—

 
20.9

 
—

Long-term investments:
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
 
 
Agency obligations
28.2

 
—

 
28.2

 
—

Corporate debt securities
284.6

 
—

 
284.6

 
—

Auction rate securities
5.8

 
—

 
—

 
5.8

Foreign government obligations
37.7

 
—

 
37.7

 
—

U.S. government treasury securities
151.3

 
151.3

 
—

 
—

State and local government obligations
7.4

 
—

 
7.4

 
—

Mortgage and other asset-backed securities
193.3

 
—

 
193.3

 
—

Total long-term investments
708.3

 
151.3

 
551.2

 
5.8

Other long-term assets:
 
 
 
 
 
 
 
Derivative assets
26.2

 
—

 
26.2

 
—

Total assets
$
3,761.5

 
$
3,038.0

 
$
717.7

 
$
5.8

Liabilities:
 
 
 
 
 
 
 
Accrued liabilities:
 
 
 
 
 
 
 
Derivative liabilities
$
20.7

 
$
6.8

 
$
13.9

 
$
—

Other long-term liabilities:
 
 
 
 
 
 
 
Derivative liabilities
19.9

 
—

 
19.9

 
—

Total liabilities
$
40.6

 
$
6.8

 
$
33.8

 
$
—


 
 
 
Fair Value Measurements at Reporting Date Using
 
Balance at
Oct 2, 2016
 
Quoted Prices
in Active
Markets for 
Identical Assets
(Level 1)
 
Significant 
Other Observable 
Inputs
(Level 2)
 
Significant
Unobservable  Inputs
(Level 3)
Assets:
 
 
 
 
 
 
 
Cash and cash equivalents
$
2,128.8

 
$
2,128.8

 
$
—

 
$
—

Short-term investments:
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
 
 
Agency obligations
1.3

 
—

 
1.3

 
—

Commercial paper
2.6

 
—

 
2.6

 
—

Corporate debt securities
34.2

 
—

 
34.2

 
—

Foreign government obligations
5.5

 
—

 
5.5

 
—

U.S. government treasury securities
15.8

 
15.8

 
—

 
—

State and local government obligations
0.5

 
—

 
0.5

 
—

Certificates of deposit
5.8

 
—

 
5.8

 
—

Total available-for-sale securities
65.7

 
15.8

 
49.9

 
—

Trading securities
68.7

 
68.7

 
—

 
—

Total short-term investments
134.4

 
84.5

 
49.9

 
—

Prepaid expenses and other current assets:
 
 
 
 
 
 
 
Derivative assets
27.7

 
3.1

 
24.6

 
—

Long-term investments:
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
 
 
Agency obligations
44.4

 
—

 
44.4

 
—

Corporate debt securities
459.3

 
—

 
459.3

 
—

Auction rate securities
5.7

 
—

 
—

 
5.7

Foreign government obligations
46.7

 
—

 
46.7

 
—

U.S. government treasury securities
358.2

 
358.2

 
—

 
—

State and local government obligations
57.5

 
—

 
57.5

 
—

Mortgage and other asset-backed securities
169.9

 
—

 
169.9

 
—

Total long-term investments
1,141.7

 
358.2

 
777.8

 
5.7

Other long-term assets:
 
 
 
 
 
 
 
Derivative assets
6.4

 
—

 
6.4

 
—

Total assets
$
3,439.0

 
$
2,574.6

 
$
858.7

 
$
5.7

Liabilities:
 
 
 
 
 
 
 
Accrued liabilities:
 
 
 
 
 
 
 
Derivative liabilities
$
18.0

 
$
1.7

 
$
16.3

 
$
—

Other long-term liabilities:
 
 
 
 
 
 
 
Derivative liabilities
71.6

 
—

 
71.6

 
—

Total
$
89.6

 
$
1.7

 
$
87.9

 
$
—

Inventories (Tables)
Inventories
 
Jul 2, 2017
 
Oct 2, 2016
 
Jun 26, 2016
Coffee:
 
 
 
 
 
Unroasted
$
614.7

 
$
561.6

 
$
625.2

Roasted
258.4

 
300.4

 
269.8

Other merchandise held for sale
261.3

 
308.6

 
243.7

Packaging and other supplies
222.9

 
207.9

 
186.4

Total
$
1,357.3

 
$
1,378.5

 
$
1,325.1

Supplemental Balance Sheet Information (Tables)
Property, Plant And Equipment, net 
 
Jul 2, 2017
 
Oct 2, 2016
Land
$
46.8

 
$
46.6

Buildings
475.7

 
458.4

Leasehold improvements
6,200.2

 
5,892.9

Store equipment
2,059.1

 
1,931.7

Roasting equipment
612.6

 
605.4

Furniture, fixtures and other
1,477.3

 
1,366.9

Work in progress
362.2

 
271.4

Property, plant and equipment, gross
11,233.9

 
10,573.3

Accumulated depreciation
(6,534.1
)
 
(6,039.5
)
Property, plant and equipment, net
$
4,699.8

 
$
4,533.8

Accrued Liabilities 
 
Jul 2, 2017
 
Oct 2, 2016
Accrued compensation and related costs
$
501.0

 
$
510.8

Accrued occupancy costs
141.0

 
137.5

Accrued taxes
171.6

 
368.4

Accrued dividends payable
361.4

 
365.1

Accrued capital and other operating expenditures
595.6

 
617.3

Total accrued liabilities
$
1,770.6

 
$
1,999.1

Debt (Tables)
Components of Long-Term Debt Including Associated Interest Rates and Related Estimated Fair Values 
Components of long-term debt including the associated interest rates and related estimated fair values by calendar maturity (in millions, except interest rates):
 
Jul 2, 2017
 
Oct 2, 2016
 
Stated Interest Rate
Effective Interest Rate (1)
Issuance
Amount
Estimated Fair Value
 
Amount
Estimated Fair Value
 
2016 notes
$
—

$
—

 
$
400.0

$
400

 
0.875
%
0.941
%
2018 notes
350.0

352

 
350.0

357

 
2.000
%
2.012
%
2021 notes
500.0

503

 
500.0

511

 
2.100
%
2.293
%
2021 notes
250.0

251

 
250.0

255

 
2.100
%
1.600
%
2022 notes
500.0

510

 
500.0

526

 
2.700
%
2.819
%
2023 notes
750.0

807

 
750.0

839

 
3.850
%
2.860
%
2024 notes (2)
758.3

762

 
—

—

 
0.372
%
0.462
%
2026 notes
500.0

482

 
500.0

509

 
2.450
%
2.511
%
2045 notes
350.0

386

 
350.0

417

 
4.300
%
4.348
%
Total
3,958.3

4,053

 
3,600.0

3,814

 
 
 
Aggregate debt issuance costs and unamortized premium, net
(18.0
)
 
 
(14.8
)
 
 
 
 
Hedge accounting fair value adjustment (3)
(4.8
)
 
 
—

 
 
 
 
Total
$
3,935.5

 
 
$
3,585.2

 
 
 
 
(1) 
Long-Term Debt Maturities 
The following table summarizes our long-term debt maturities as of July 2, 2017 by fiscal year (in millions):
Fiscal Year
Total
2018
$
—

2019
350.0

2020
—

2021
750.0

2022
500.0

Thereafter
2,358.3

Total
$
3,958.3

Equity (Tables)
Changes in total equity 
Changes in total equity (in millions):
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Attributable to Starbucks
 
Noncontrolling interests
 
Total Equity
 
Attributable to Starbucks
 
Noncontrolling interest
 
Total Equity
Beginning balance of total equity
$
5,884.0

 
$
6.7

 
$
5,890.7

 
$
5,818.0

 
$
1.8

 
$
5,819.8

Net earnings including noncontrolling interests
2,096.1

 
(0.6
)
 
2,095.5

 
2,016.8

 
0.4

 
2,017.2

Translation adjustment and other, net of reclassifications and tax
(76.1
)
 
—

 
(76.1
)
 
91.3

 
—

 
91.3

Unrealized gains/(losses), net of reclassifications and tax
(0.6
)
 
—

 
(0.6
)
 
(20.5
)
 
—

 
(20.5
)
Other comprehensive income/(loss)
(76.7
)
 
—

 
(76.7
)
 
70.8

 
—

 
70.8

Stock-based compensation expense
150.1

 
—

 
150.1

 
159.6

 
—

 
159.6

Exercise of stock options/vesting of RSUs
108.0

 
—

 
108.0

 
115.4

 
—

 
115.4

Sale of common stock
21.6

 
—

 
21.6

 
12.7

 
—

 
12.7

Repurchase of common stock
(1,254.1
)
 
—

 
(1,254.1
)
 
(1,590.4
)
 
—

 
(1,590.4
)
Cash dividends declared
(1,085.6
)
 
—

 
(1,085.6
)
 
(881.1
)
 
—

 
(881.1
)
Ending balance of total equity
$
5,843.4

 
$
6.1

 
$
5,849.5

 
$
5,721.8

 
$
2.2

 
$
5,724.0

Changes in Accumulated Other Comprehensive Income by component, net of tax 
Changes in AOCI by component, net of tax (in millions):
Quarter Ended
 
 Available-for-Sale Securities
 
 Cash Flow Hedges
 
 Net Investment Hedges
 
Translation Adjustment and Other
 
Total
July 2, 2017
 
 
 
 
 
 
 
 
 
Net gains/(losses) in AOCI, beginning of period
$
(5.3
)
 
$
21.6

 
$
11.3

 
$
(234.0
)
 
$
(206.4
)
Net gains/(losses) recognized in OCI before reclassifications
1.0

 
(12.7
)
 
1.7

 
36.2

 
26.2

Net (gains)/losses reclassified from AOCI to earnings
0.8

 
(5.7
)
 
—

 
—

 
(4.9
)
Other comprehensive income/(loss) attributable to Starbucks
1.8

 
(18.4
)
 
1.7

 
36.2

 
21.3

Net gains/(losses) in AOCI, end of period
$
(3.5
)
 
$
3.2

 
$
13.0

 
$
(197.8
)
 
$
(185.1
)
 
 
 
 
 
 
 
 
 
 
June 26, 2016
 
 
 
 
 
 
 
 
 
Net gains/(losses) in AOCI, beginning of period
$
2.9

 
$
(3.8
)
 
$
1.3

 
$
(189.6
)
 
$
(189.2
)
Net gains/(losses) recognized in OCI before reclassifications
(2.6
)
 
(35.6
)
 
—

 
54.7

 
16.5

Net (gains)/losses reclassified from AOCI to earnings
(0.6
)
 
44.7

 
—

 
—

 
44.1

Other comprehensive income/(loss) attributable to Starbucks
(3.2
)
 
9.1

 
—

 
54.7

 
60.6

Net gains/(losses) in AOCI, end of period
$
(0.3
)
 
$
5.3

 
$
1.3

 
$
(134.9
)
 
$
(128.6
)
Three Quarters Ended
 
 
 
 
 
 
 
 
 
 
 
 Available-for-Sale Securities
 
 Cash Flow Hedges
 
 Net Investment Hedges
 
Translation Adjustment and Other
 
Total
July 2, 2017
 
 
 
 
 
 
 
 
 
Net gains/(losses) in AOCI, beginning of period
$
1.1

 
$
10.9

 
$
1.3

 
$
(121.7
)
 
$
(108.4
)
Net gains/(losses) recognized in OCI before reclassifications
(6.9
)
 
48.5

 
11.7

 
(76.1
)
 
(22.8
)
Net (gains)/losses reclassified from AOCI to earnings
2.3

 
(56.2
)
 
—

 
—

 
(53.9
)
Other comprehensive income/(loss) attributable to Starbucks
(4.6
)
 
(7.7
)
 
11.7

 
(76.1
)
 
(76.7
)
Net gains/(losses) in AOCI, end of period
$
(3.5
)
 
$
3.2

 
$
13.0

 
$
(197.8
)
 
$
(185.1
)
 
 
 
 
 
 
 
 
 
 
June 26, 2016
 
 
 
 
 
 
 
 
 
Net gains/(losses) in AOCI, beginning of period
$
(0.1
)
 
$
25.6

 
$
1.3

 
$
(226.2
)
 
$
(199.4
)
Net gains/(losses) recognized in OCI before reclassifications
0.4

 
(83.2
)
 
—

 
91.3

 
8.5

Net (gains)/losses reclassified from AOCI to earnings
(0.6
)
 
62.9

 
—

 
—

 
62.3

Other comprehensive income/(loss) attributable to Starbucks
(0.2
)
 
(20.3
)
 
—

 
91.3

 
70.8

Net gains/(losses) in AOCI, end of period
$
(0.3
)
 
$
5.3

 
$
1.3

 
$
(134.9
)
 
$
(128.6
)
Impact of reclassifications from Accumulated Other Comprehensive Income on the consolidated statements of earnings 
Impact of reclassifications from AOCI on the consolidated statements of earnings (in millions):
Quarter Ended
AOCI
Components
 
Amounts Reclassified from AOCI
 
Affected Line Item in
the Statements of Earnings
 
Jul 2, 2017
 
Jun 26, 2016
 
Gains/(losses) on available-for-sale securities
 
$
(1.2
)
 
$
0.9

 
Interest income and other, net
Gains/(losses) on cash flow hedges
 
 
 
 
 
 
Interest rate hedges
 
1.2

 
1.2

 
Interest expense
Cross-currency swaps
 
1.5

 
(57.6
)
 
Interest income and other, net
Foreign currency hedges
 
1.2

 
0.1

 
Revenues
Foreign currency/coffee hedges
 
3.7

 
1.6

 
Cost of sales including occupancy costs
 
 
6.4

 
(53.8
)
 
Total before tax
 
 
(1.5
)
 
9.7

 
Tax benefit
 
 
$
4.9

 
$
(44.1
)
 
Net of tax
Three Quarters Ended
 
 
 
 
 
 
 
AOCI
Components
 
Amounts Reclassified from AOCI
 
Affected Line Item in
the Statements of Earnings
 
Jul 2, 2017
 
Jun 26, 2016
 
Gains/(losses) on available-for-sale securities
 
$
(3.2
)
 
$
1.1

 
Interest income and other, net
Gains/(losses) on cash flow hedges
 
 
 
 
 
 
Interest rate hedges
 
3.6

 
4.0

 
Interest expense
Cross-currency swaps
 
55.6

 
(95.8
)
 
Interest income and other, net
Foreign currency hedges
 
3.7

 
5.5

 
Revenues
Foreign currency/coffee hedges
 
8.2

 
11.9

 
Cost of sales including occupancy costs
 
 
67.9

 
(73.3
)
 
Total before tax
 
 
(14.0
)
 
11.2

 
Tax (expense)/benefit
 
 
$
53.9

 
$
(62.1
)
 
Net of tax

Employee Stock Plans (Tables)
Stock-Based Compensation Expense Recognized in Consolidated Statements of Earnings 
Stock-based compensation expense recognized in the consolidated statements of earnings (in millions):
 
Quarter Ended
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Jul 2, 2017
 
Jun 26, 2016
Options
$
10.1

 
$
9.2

 
$
34.1

 
$
32.2

Restricted Stock Units (“RSUs”)
33.8

 
40.6

 
114.7

 
126.2

Total stock-based compensation expense
$
43.9

 
$
49.8

 
$
148.8

 
$
158.4

Stock Option and RSU Transactions 
Stock option and RSU transactions from October 2, 2016 through July 2, 2017 (in millions):
 
 
Stock Options
 
RSUs
Options outstanding/Nonvested RSUs, October 2, 2016
31.3

 
8.3

Granted
7.0

 
5.0

Options exercised/RSUs vested
(4.7
)
 
(3.8
)
Forfeited/expired
(1.5
)
 
(1.2
)
Options outstanding/Nonvested RSUs, July 2, 2017
32.1

 
8.3

Total unrecognized stock-based compensation expense, net of estimated forfeitures, as of July 2, 2017
$
46.9

 
$
152.0

Earnings Per Share (Tables)
Calculation of Net Earnings Per Common Share (EPS) - Basic and Diluted
Calculation of net earnings per common share (“EPS”) — basic and diluted (in millions, except EPS):
 
Quarter Ended
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Jul 2, 2017
 
Jun 26, 2016
Net earnings attributable to Starbucks
$
691.6

 
$
754.1

 
$
2,096.1

 
$
2,016.8

Weighted average common shares outstanding (for basic calculation)
1,447.7

 
1,465.3

 
1,452.8

 
1,474.4

Dilutive effect of outstanding common stock options and RSUs
11.7

 
14.0

 
12.1

 
15.3

Weighted average common and common equivalent shares outstanding (for diluted calculation)
1,459.4

 
1,479.3

 
1,464.9

 
1,489.7

EPS — basic
$
0.48

 
$
0.51

 
$
1.44

 
$
1.37

EPS — diluted
$
0.47

 
$
0.51

 
$
1.43

 
$
1.35

Segment Reporting (Tables)
Financial Information For Reportable Operating Segments And All Other Segments 
The table below presents financial information for our reportable operating segments and All Other Segments (in millions):
Quarter Ended
 
Americas
 
China/
Asia Pacific
 
EMEA(1)
 
Channel
Development
 
All Other Segments(1)
 
Segment
Total
July 2, 2017
 
 
 
 
 
 
 
 
 
 
 
Total net revenues
$
3,991.9

 
$
840.6

 
$
249.9

 
$
478.7

 
$
100.4

 
$
5,661.5

Depreciation and amortization expenses
152.8

 
51.0

 
7.7

 
0.5

 
3.0

 
215.0

Income from equity investees
—

 
51.8

 
—

 
49.2

 
—

 
101.0

Operating income/(loss)
974.8

 
223.8

 
9.8

 
210.2

 
(112.3
)
 
1,306.3

 
 
 
 
 
 
 
 
 
 
 
 
June 26, 2016
 
 
 
 
 
 
 
 
 
 
 
Total net revenues
$
3,645.5

 
$
768.2

 
$
273.4

 
$
440.8

 
$
110.1

 
$
5,238.0

Depreciation and amortization expenses
149.2

 
45.7

 
10.3

 
0.7

 
3.1

 
209.0

Income from equity investees
—

 
40.2

 
—

 
42.3

 
—

 
82.5

Operating income/(loss)
898.5

 
182.8

 
29.9

 
187.8

 
(14.9
)
 
1,284.1

Three Quarters Ended
 
Americas
 
China/
Asia Pacific
 
EMEA(1)
 
Channel
Development
 
All Other Segments(1)
 
Segment
Total
July 2, 2017
 
 
 
 
 
 
 
 
 
 
 
Total net revenues
$
11,703.7

 
$
2,380.3

 
$
743.9

 
$
1,493.6

 
$
367.0

 
$
16,688.5

Depreciation and amortization expenses
460.6

 
148.9

 
22.9

 
1.7

 
9.3

 
643.4

Income from equity investees
—

 
138.4

 
—

 
131.1

 
—

 
269.5

Operating income/(loss)
2,759.4

 
563.2

 
81.5

 
646.5

 
(127.9
)
 
3,922.7

 
 
 
 
 
 
 
 
 
 
 
 
June 26, 2016
 
 
 
 
 
 
 
 
 
 
 
Total net revenues
$
10,827.2

 
$
2,099.6

 
$
854.7

 
$
1,414.0

 
$
409.2

 
$
15,604.7

Depreciation and amortization expenses
441.6

 
131.7

 
32.4

 
2.1

 
10.1

 
617.9

Income from equity investees
—

 
104.3

 
1.5

 
106.5

 
—

 
212.3

Operating income/(loss)
2,645.1

 
439.2

 
105.8

 
563.0

 
(28.1
)
 
3,725.0

(1) During the quarter and three quarters ended July 2, 2017, EMEA and All Other Segments operating income/(loss) included impairment charges of $17.9 million and $102.3 million, respectively, associated with our Starbucks Coffee Switzerland and Teavana reporting units. Refer to Note 4, Fair Value Measurements, for additional information.
Reconciliation Of Total Segment Operating Income To Consolidated Earnings Before Income Taxes 
Reconciliation of total segment operating income to consolidated earnings before income taxes (in millions):
 
Quarter Ended
 
Three Quarters Ended
 
Jul 2, 2017
 
Jun 26, 2016
 
Jul 2, 2017
 
Jun 26, 2016
Total segment operating income
$
1,306.3

 
$
1,284.1

 
$
3,922.7

 
$
3,725.0

Unallocated corporate operating expenses
(262.1
)
 
(261.8
)
 
(810.6
)
 
(780.5
)
Consolidated operating income
1,044.2

 
1,022.3

 
3,112.1

 
2,944.5

Interest income and other, net
31.7

 
72.9

 
123.7

 
95.5

Interest expense
(23.5
)
 
(21.8
)
 
(70.2
)
 
(56.6
)
Earnings before income taxes
$
1,052.4

 
$
1,073.4

 
$
3,165.6

 
$
2,983.4

Summary of Significant Accounting Policies Summary of Significant Accounting Policies (Narrative) (Details) (Long-term Debt [Member], USD $)
In Millions, unless otherwise specified
Oct. 2, 2016
Long-term Debt [Member]
 
Debt Instrument [Line Items]
 
Debt Issuance Costs
$ 17.0 
Summary of Significant Accounting Policies Goodwill (Details) (USD $)
In Millions, unless otherwise specified
Jul. 2, 2017
Oct. 2, 2016
Goodwill [Line Items]
 
 
Goodwill
$ 1,549.1 
$ 1,719.6 
Teavana [Member]
 
 
Goodwill [Line Items]
 
 
Goodwill
$ 398.3 
 
Acquisitions and Divestitures (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 15 Months Ended 3 Months Ended
Jun. 26, 2016
Germany Retail Operations [Member]
Jul. 2, 2017
Germany Retail Operations [Member]
Dec. 27, 2015
Spain JV [Member]
Business Acquisition [Line Items]
 
 
 
Sale of Ownership Interest in Retail Business
$ 47.3 
 
 
Gain/(loss) resulting from divestiture
 
insignificant 
insignificant 
Preexisting ownership percentage in equity method investment
 
 
49.00% 
Purchase price of joint venture sold
 
 
$ 30.2 
Derivative Financial Instruments (Derivative Gains and Losses Included in AOCI and Expected to be Reclassified into Earnings in 12 Months, Net of Tax) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Jul. 2, 2017
Oct. 2, 2016
Cash Flow Hedging [Member] |
Interest Rate Contract [Member]
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
Net Gains/(Losses) Included in AOCI
$ 18.2 
$ 20.5 
Net Gains/(Losses) Expected to be Reclassified from AOCI into Earnings within 12 Months
3.0 
 
Outstanding Contract Remaining Maturity (Months)
0 months 
 
Cash Flow Hedging [Member] |
Cross-Currency Swap [Member]
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
Net Gains/(Losses) Included in AOCI
(5.5)
(7.7)
Net Gains/(Losses) Expected to be Reclassified from AOCI into Earnings within 12 Months
0 
 
Outstanding Contract Remaining Maturity (Months)
89 months 
 
Cash Flow Hedging [Member] |
Foreign Currency Contract - Other [Member]
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
Net Gains/(Losses) Included in AOCI
0.7 
(0.4)
Net Gains/(Losses) Expected to be Reclassified from AOCI into Earnings within 12 Months
2.0 
 
Outstanding Contract Remaining Maturity (Months)
35 months 
 
Cash Flow Hedging [Member] |
Coffee Contracts [Member]
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
Net Gains/(Losses) Included in AOCI
(10.2)
(1.6)
Net Gains/(Losses) Expected to be Reclassified from AOCI into Earnings within 12 Months
(10.2)
 
Outstanding Contract Remaining Maturity (Months)
7 months 
 
Net Investment Hedging [Member] |
Foreign Currency Contract - Other [Member]
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
Net Gains/(Losses) Included in AOCI
19.1 
1.3 
Net Gains/(Losses) Expected to be Reclassified from AOCI into Earnings within 12 Months
0 
 
Outstanding Contract Remaining Maturity (Months)
0 months 
 
Net Investment Hedging [Member] |
ForeignExchangeYenDebt [Member]
 
 
Derivative Instruments and Hedging Activities Disclosures [Line Items]
 
 
Net Gains/(Losses) Included in AOCI
(6.1)
0 
Net Gains/(Losses) Expected to be Reclassified from AOCI into Earnings within 12 Months
$ 0 
 
Outstanding Contract Remaining Maturity (Months)
82 months 
 
Derivative Financial Instruments (Pretax Gains and Losses on Derivative Contracts Designated as Hedging Instruments Recognized in OCI and Reclassifications from AOCI to Earnings) (Details) (Designated as Hedging Instrument [Member], USD $)
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Cash Flow Hedging [Member] |
Interest Rate Contract [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in OCI Before Reclassifications
$ 0 
$ (2,000,000)
$ 0 
$ (10,300,000)
Gains/(Losses) Reclassified from AOCI to Earnings
1,200,000 
1,200,000 
3,600,000 
4,000,000 
Cash Flow Hedging [Member] |
Cross-Currency Swap [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in OCI Before Reclassifications
5,900,000 
(28,000,000)
58,500,000 
(72,900,000)
Gains/(Losses) Reclassified from AOCI to Earnings
1,600,000 
(57,600,000)
55,800,000 
(95,800,000)
Cash Flow Hedging [Member] |
Foreign Currency Contract - Other [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in OCI Before Reclassifications
(10,600,000)
(19,100,000)
15,900,000 
(27,900,000)
Gains/(Losses) Reclassified from AOCI to Earnings
4,200,000 
2,200,000 
12,200,000 
18,500,000 
Cash Flow Hedging [Member] |
Coffee Contracts [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in OCI Before Reclassifications
(10,700,000)
800,000 
(9,800,000)
400,000 
Gains/(Losses) Reclassified from AOCI to Earnings
700,000 
(500,000)
(300,000)
(1,100,000)
Net Investment Hedging [Member] |
Foreign Currency Contract - Other [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in OCI Before Reclassifications
2,700,000 
0 
28,200,000 
0 
Gains/(Losses) Reclassified from AOCI to Earnings
0 
0 
0 
0 
Net Investment Hedging [Member] |
ForeignExchangeYenDebt [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in OCI Before Reclassifications
0 
0.0 
(9,600,000)
0 
Gains/(Losses) Reclassified from AOCI to Earnings
$ 0.0 
$ 0.0 
$ 0 
$ 0 
Derivative Financial Instruments (Pretax Gains and Losses on Derivative Contracts Not Designated as Hedging Instruments Recognized in Earnings) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Foreign Currency Contract - Other [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in Earnings
$ 6.6 
$ (7.1)
$ 10.0 
$ (9.0)
Dairy Contracts [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in Earnings
(0.6)
2.9 
2.2 
(4.1)
Diesel and Other Contracts [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Gains/(Losses) Recognized in Earnings
(1.4)
3.8 
(0.9)
(0.4)
Interest Rate Swap [Member]
 
 
 
 
Derivative Instruments, Gain (Loss) [Line Items]
 
 
 
 
Derivative, Gain (Loss) on Derivative, Net
$ (4.8)
$ 0 
$ (4.8)
$ 0 
Derivative and Financial Instruments (Notional Amounts of Outstanding Derivative Contracts) (Details) (USD $)
In Millions, unless otherwise specified
Jul. 2, 2017
Interest Rate Contract [Member]
Jun. 26, 2016
Interest Rate Contract [Member]
Jul. 2, 2017
Cross-Currency Swap [Member]
Oct. 2, 2016
Cross-Currency Swap [Member]
Jul. 2, 2017
Foreign Currency Contract - Other [Member]
Oct. 2, 2016
Foreign Currency Contract - Other [Member]
Jul. 2, 2017
Coffee Contracts [Member]
Oct. 2, 2016
Coffee Contracts [Member]
Jul. 2, 2017
Dairy Contracts [Member]
Oct. 2, 2016
Dairy Contracts [Member]
Jul. 2, 2017
Diesel and Other Contracts [Member]
Oct. 2, 2016
Diesel and Other Contracts [Member]
Derivative [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
Notional amounts of outstanding derivative contracts
$ 750 
$ 0 
$ 536 
$ 660 
$ 1,298 
$ 688 
$ 55 
$ 7 
$ 36 
$ 76 
$ 39 
$ 46 
Derivative Financial Instruments Derivative Financial Instruments (Fair Value of Outstanding Derivative Contracts) (Details) (USD $)
In Millions, unless otherwise specified
Jul. 2, 2017
Oct. 2, 2016
Designated as Hedging Instrument [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
$ 55.0 
 
Designated as Hedging Instrument [Member] |
Cross-Currency Swap [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
11.9 
0 
Derivative Liabilities
10.4 
57.0 
Designated as Hedging Instrument [Member] |
Foreign Currency - Other [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
11.7 
20.8 
Derivative Liabilities
11.5 
24.0 
Designated as Hedging Instrument [Member] |
Coffee Contracts [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
0 
1.8 
Derivative Liabilities
6.2 
0 
Designated as Hedging Instrument [Member] |
Interest Rate Swap [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
0 
0 
Derivative Liabilities
4.7 
0 
Not Designated as Hedging Instrument [Member] |
Foreign Currency - Other [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
23.0 
6.2 
Derivative Liabilities
5.3 
6.5 
Not Designated as Hedging Instrument [Member] |
Dairy Contracts [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
0 
1.5 
Derivative Liabilities
0.8 
1.6 
Not Designated as Hedging Instrument [Member] |
Diesel and Other Contracts [Member]
 
 
Derivative [Line Items]
 
 
Derivative Assets
0.1 
3.8 
Derivative Liabilities
$ 1.7 
$ 0.5 
Fair Value Measurements (Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Details) (USD $)
In Millions, unless otherwise specified
9 Months Ended 3 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Oct. 2, 2016
Jul. 2, 2017
Cash and Cash Equivalents [Member]
Oct. 2, 2016
Cash and Cash Equivalents [Member]
Jul. 2, 2017
Short-term Investments [Member]
Oct. 2, 2016
Short-term Investments [Member]
Jul. 2, 2017
Prepaid Expenses and Other Current Assets [Member]
Oct. 2, 2016
Prepaid Expenses and Other Current Assets [Member]
Jul. 2, 2017
Long-term Investments [Member]
Oct. 2, 2016
Long-term Investments [Member]
Jul. 2, 2017
Other Long-Term Assets [Member]
Oct. 2, 2016
Other Long-Term Assets [Member]
Jul. 2, 2017
Accrued Liabilities [Member]
Oct. 2, 2016
Accrued Liabilities [Member]
Jul. 2, 2017
Other Long-Term Liabilities [Member]
Oct. 2, 2016
Other Long-Term Liabilities [Member]
Jul. 2, 2017
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Oct. 2, 2016
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Jul. 2, 2017
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Cash and Cash Equivalents [Member]
Oct. 2, 2016
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Cash and Cash Equivalents [Member]
Jul. 2, 2017
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Prepaid Expenses and Other Current Assets [Member]
Oct. 2, 2016
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Prepaid Expenses and Other Current Assets [Member]
Jul. 2, 2017
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Other Long-Term Assets [Member]
Oct. 2, 2016
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Other Long-Term Assets [Member]
Jul. 2, 2017
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Accrued Liabilities [Member]
Oct. 2, 2016
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Accrued Liabilities [Member]
Jul. 2, 2017
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Other Long-Term Liabilities [Member]
Oct. 2, 2016
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Other Long-Term Liabilities [Member]
Jul. 2, 2017
Significant Other Observable Inputs (Level 2) [Member]
Oct. 2, 2016
Significant Other Observable Inputs (Level 2) [Member]
Jul. 2, 2017
Significant Other Observable Inputs (Level 2) [Member]
Cash and Cash Equivalents [Member]
Oct. 2, 2016
Significant Other Observable Inputs (Level 2) [Member]
Cash and Cash Equivalents [Member]
Jul. 2, 2017
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Significant Other Observable Inputs (Level 2) [Member]
Prepaid Expenses and Other Current Assets [Member]
Oct. 2, 2016
Significant Other Observable Inputs (Level 2) [Member]
Prepaid Expenses and Other Current Assets [Member]
Jul. 2, 2017
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Significant Other Observable Inputs (Level 2) [Member]
Other Long-Term Assets [Member]
Oct. 2, 2016
Significant Other Observable Inputs (Level 2) [Member]
Other Long-Term Assets [Member]
Jul. 2, 2017
Significant Other Observable Inputs (Level 2) [Member]
Accrued Liabilities [Member]
Oct. 2, 2016
Significant Other Observable Inputs (Level 2) [Member]
Accrued Liabilities [Member]
Jul. 2, 2017
Significant Other Observable Inputs (Level 2) [Member]
Other Long-Term Liabilities [Member]
Oct. 2, 2016
Significant Other Observable Inputs (Level 2) [Member]
Other Long-Term Liabilities [Member]
Jul. 2, 2017
Significant Unobservable Inputs (Level 3) [Member]
Oct. 2, 2016
Significant Unobservable Inputs (Level 3) [Member]
Jul. 2, 2017
Significant Unobservable Inputs (Level 3) [Member]
Cash and Cash Equivalents [Member]
Oct. 2, 2016
Significant Unobservable Inputs (Level 3) [Member]
Cash and Cash Equivalents [Member]
Jul. 2, 2017
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Significant Unobservable Inputs (Level 3) [Member]
Prepaid Expenses and Other Current Assets [Member]
Oct. 2, 2016
Significant Unobservable Inputs (Level 3) [Member]
Prepaid Expenses and Other Current Assets [Member]
Jul. 2, 2017
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Significant Unobservable Inputs (Level 3) [Member]
Other Long-Term Assets [Member]
Oct. 2, 2016
Significant Unobservable Inputs (Level 3) [Member]
Other Long-Term Assets [Member]
Jul. 2, 2017
Significant Unobservable Inputs (Level 3) [Member]
Accrued Liabilities [Member]
Oct. 2, 2016
Significant Unobservable Inputs (Level 3) [Member]
Accrued Liabilities [Member]
Jul. 2, 2017
Significant Unobservable Inputs (Level 3) [Member]
Other Long-Term Liabilities [Member]
Oct. 2, 2016
Significant Unobservable Inputs (Level 3) [Member]
Other Long-Term Liabilities [Member]
Jul. 2, 2017
Agency Obligations [Member]
Short-term Investments [Member]
Oct. 2, 2016
Agency Obligations [Member]
Short-term Investments [Member]
Jul. 2, 2017
Agency Obligations [Member]
Long-term Investments [Member]
Oct. 2, 2016
Agency Obligations [Member]
Long-term Investments [Member]
Jul. 2, 2017
Agency Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Agency Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Agency Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Agency Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Agency Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Agency Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Agency Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Agency Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Agency Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Agency Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Agency Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Agency Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Commercial Paper [Member]
Short-term Investments [Member]
Oct. 2, 2016
Commercial Paper [Member]
Short-term Investments [Member]
Jul. 2, 2017
Commercial Paper [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Commercial Paper [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Commercial Paper [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Commercial Paper [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Commercial Paper [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Commercial Paper [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Corporate Debt Securities [Member]
Short-term Investments [Member]
Oct. 2, 2016
Corporate Debt Securities [Member]
Short-term Investments [Member]
Jul. 2, 2017
Corporate Debt Securities [Member]
Long-term Investments [Member]
Oct. 2, 2016
Corporate Debt Securities [Member]
Long-term Investments [Member]
Jul. 2, 2017
Corporate Debt Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Corporate Debt Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Corporate Debt Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Corporate Debt Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Corporate Debt Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Corporate Debt Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Corporate Debt Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Corporate Debt Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Corporate Debt Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Corporate Debt Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Corporate Debt Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Corporate Debt Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Foreign Government Obligations [Member]
Short-term Investments [Member]
Oct. 2, 2016
Foreign Government Obligations [Member]
Short-term Investments [Member]
Jul. 2, 2017
Foreign Government Obligations [Member]
Long-term Investments [Member]
Oct. 2, 2016
Foreign Government Obligations [Member]
Long-term Investments [Member]
Jul. 2, 2017
Foreign Government Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Foreign Government Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Foreign Government Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Foreign Government Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Foreign Government Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Foreign Government Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Foreign Government Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Foreign Government Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Foreign Government Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Foreign Government Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Foreign Government Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Foreign Government Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Jul. 2, 2017
U.S. Government Treasury Securities [Member]
Short-term Investments [Member]
Oct. 2, 2016
U.S. Government Treasury Securities [Member]
Short-term Investments [Member]
Jul. 2, 2017
U.S. Government Treasury Securities [Member]
Long-term Investments [Member]
Oct. 2, 2016
U.S. Government Treasury Securities [Member]
Long-term Investments [Member]
Jul. 2, 2017
U.S. Government Treasury Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Oct. 2, 2016
U.S. Government Treasury Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
U.S. Government Treasury Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
U.S. Government Treasury Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Jul. 2, 2017
U.S. Government Treasury Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Oct. 2, 2016
U.S. Government Treasury Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
U.S. Government Treasury Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
U.S. Government Treasury Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Jul. 2, 2017
U.S. Government Treasury Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Oct. 2, 2016
U.S. Government Treasury Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
U.S. Government Treasury Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
U.S. Government Treasury Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
State and Local Government Obligations [Member]
Short-term Investments [Member]
Jul. 2, 2017
State and Local Government Obligations [Member]
Long-term Investments [Member]
Oct. 2, 2016
State and Local Government Obligations [Member]
Long-term Investments [Member]
Oct. 2, 2016
State and Local Government Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
State and Local Government Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
State and Local Government Obligations [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
State and Local Government Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
State and Local Government Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
State and Local Government Obligations [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
State and Local Government Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
State and Local Government Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
State and Local Government Obligations [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Certificates of Deposit [Member]
Short-term Investments [Member]
Oct. 2, 2016
Certificates of Deposit [Member]
Short-term Investments [Member]
Jul. 2, 2017
Certificates of Deposit [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Certificates of Deposit [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Certificates of Deposit [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Certificates of Deposit [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Certificates of Deposit [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Oct. 2, 2016
Certificates of Deposit [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Auction Rate Securities [Member]
Long-term Investments [Member]
Oct. 2, 2016
Auction Rate Securities [Member]
Long-term Investments [Member]
Jul. 2, 2017
Auction Rate Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Auction Rate Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Auction Rate Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Auction Rate Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Auction Rate Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Auction Rate Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Mortgage and Other Asset-backed Securities [Member]
Short-term Investments [Member]
Jul. 2, 2017
Mortgage and Other Asset-backed Securities [Member]
Long-term Investments [Member]
Oct. 2, 2016
Mortgage and Other Asset-backed Securities [Member]
Long-term Investments [Member]
Jul. 2, 2017
Mortgage and Other Asset-backed Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Mortgage and Other Asset-backed Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Mortgage and Other Asset-backed Securities [Member]
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Mortgage and Other Asset-backed Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Mortgage and Other Asset-backed Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Mortgage and Other Asset-backed Securities [Member]
Significant Other Observable Inputs (Level 2) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Mortgage and Other Asset-backed Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Short-term Investments [Member]
Jul. 2, 2017
Mortgage and Other Asset-backed Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Oct. 2, 2016
Mortgage and Other Asset-backed Securities [Member]
Significant Unobservable Inputs (Level 3) [Member]
Long-term Investments [Member]
Jul. 2, 2017
Teavana [Member]
Jul. 2, 2017
Starbucks Coffee Switzerland [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill, Impairment Loss
$ 87.2 
$ 0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 69.3 
$ 17.9 
Asset Impairment Charges
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
33.0 
 
Assets:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash and cash equivalents
 
 
 
2,716.2 
2,128.8 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
2,716.2 
2,128.8 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Available-for-sale securities
 
 
 
 
 
216.4 
65.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
97.0 
15.8 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
119.4 
49.9 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
3.3 
1.3 
 
 
0 
0 
 
 
3.3 
1.3 
 
 
0 
0 
 
 
14.9 
2.6 
0 
0 
14.9 
2.6 
0 
0 
71.7 
34.2 
 
 
0 
0 
 
 
71.7 
34.2 
 
 
0 
0 
 
 
5.1 
5.5 
 
 
0 
0 
 
 
5.1 
5.5 
 
 
0 
0 
 
 
97.0 
15.8 
 
 
97.0 
15.8 
 
 
0 
0 
 
 
0 
0 
 
 
0.5 
 
 
0 
 
 
0.5 
 
 
0 
 
 
12.3 
5.8 
0 
0 
12.3 
5.8 
0 
0 
 
 
 
 
 
 
 
 
12.1 
 
 
0 
 
 
12.1 
 
 
0 
 
 
 
 
Trading securities
 
 
 
 
 
73.5 
68.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
73.5 
68.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total short-term investments
289.9 
 
134.4 
 
 
289.9 
134.4 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
170.5 
84.5 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
119.4 
49.9 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivative assets
 
 
 
 
 
 
 
20.9 
27.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
3.1 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
20.9 
24.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Available-for-sale securities
708.3 
 
1,141.7 
 
 
 
 
 
 
708.3 
1,141.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
151.3 
358.2 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
551.2 
777.8 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
5.8 
5.7 
 
 
 
 
 
 
 
 
28.2 
44.4 
 
 
0 
0 
 
 
28.2 
44.4 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
284.6 
459.3 
 
 
0 
0 
 
 
284.6 
459.3 
 
 
0 
0 
 
 
37.7 
46.7 
 
 
0 
0 
 
 
37.7 
46.7 
 
 
0 
0 
 
 
151.3 
358.2 
 
 
151.3 
358.2 
 
 
0 
0 
 
 
0 
0 
 
7.4 
57.5 
 
0 
0 
 
7.4 
57.5 
 
0 
0 
 
 
 
 
 
 
 
 
5.8 
5.7 
0 
0 
0 
0 
5.8 
5.7 
 
193.3 
169.9 
 
0 
0 
 
193.3 
169.9 
 
0 
0 
 
 
Derivative assets
 
 
 
 
 
 
 
 
 
 
 
26.2 
6.4 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
26.2 
6.4 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Assets
3,761.5 
 
3,439.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
3,038.0 
2,574.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
717.7 
858.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
5.8 
5.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liabilities:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivative liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
20.7 
18.0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
6.8 
1.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
13.9 
16.3 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivative liabilities
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
19.9 
71.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
19.9 
71.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Total Liabilities
40.6 
 
89.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
6.8 
1.7 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
33.8 
87.9 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
0 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Goodwill
1,549.1 
 
1,719.6 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
398.3 
37.0 
Intangible Assets, Net (Excluding Goodwill)
$ 454.8 
 
$ 516.3 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
$ 117.2 
 
Inventories (Narrative) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Jul. 2, 2017
Price-to-be-fixed Contract [Member]
Jul. 2, 2017
Fixed-price Contract [Member]
Jul. 2, 2017
Designated as Hedging Instrument [Member]
Jul. 2, 2017
Designated as Hedging Instrument [Member]
Coffee Contracts [Member]
Oct. 2, 2016
Designated as Hedging Instrument [Member]
Coffee Contracts [Member]
Inventory [Line Items]
 
 
 
 
 
Amount of coffee committed to be purchased
$ 336 
$ 806 
 
 
 
Derivative Assets
 
 
$ 55.0 
$ 0 
$ 1.8 
Inventories (Components of Inventory) (Details) (USD $)
In Millions, unless otherwise specified
Jul. 2, 2017
Oct. 2, 2016
Jun. 26, 2016
Inventory Disclosure [Abstract]
 
 
 
Unroasted coffee
$ 614.7 
$ 561.6 
$ 625.2 
Roasted coffee
258.4 
300.4 
269.8 
Other merchandise held for sale
261.3 
308.6 
243.7 
Packaging and other supplies
222.9 
207.9 
186.4 
Total
$ 1,357.3 
$ 1,378.5 
$ 1,325.1 
Supplemental Balance Sheet Information (Property, Plant And Equipment, net) (Details) (USD $)
In Millions, unless otherwise specified
Jul. 2, 2017
Oct. 2, 2016
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
$ 11,233.9 
$ 10,573.3 
Accumulated depreciation
(6,534.1)
(6,039.5)
Property, plant and equipment, net
4,699.8 
4,533.8 
Land [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
46.8 
46.6 
Buildings [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
475.7 
458.4 
Leasehold Improvements [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
6,200.2 
5,892.9 
Store Equipment [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
2,059.1 
1,931.7 
Roasting Equipment [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
612.6 
605.4 
Furniture, Fixtures and Other [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
1,477.3 
1,366.9 
Work in Progress [Member]
 
 
Property, Plant and Equipment [Line Items]
 
 
Property, plant and equipment, gross
$ 362.2 
$ 271.4 
Supplemental Balance Sheet Information (Accrued Liabilities) (Details) (USD $)
In Millions, unless otherwise specified
Jul. 2, 2017
Oct. 2, 2016
Balance Sheet Related Disclosures [Abstract]
 
 
Accrued compensation and related costs
$ 501.0 
$ 510.8 
Accrued occupancy costs
141.0 
137.5 
Accrued taxes
171.6 
368.4 
Accrued dividends payable
361.4 
365.1 
Accrued capital and other operating expenditures
595.6 
617.3 
Total accrued liabilities
$ 1,770.6 
$ 1,999.1 
Debt Debt (Narrative) (Details)
In Millions, unless otherwise specified
3 Months Ended 1 Months Ended
Jul. 2, 2017
Jan. 1, 2017
USD ($)
Mar. 31, 2017
PointThreeSevenTwoPercentageYenDenominatedSeniorNotes [Member]
JPY (¥)
Jul. 2, 2017
PointThreeSevenTwoPercentageYenDenominatedSeniorNotes [Member]
USD ($)
Oct. 2, 2016
PointThreeSevenTwoPercentageYenDenominatedSeniorNotes [Member]
USD ($)
Jul. 2, 2017
Point Eight Seven Five Percentage Senior Notes [Member]
USD ($)
Oct. 2, 2016
Point Eight Seven Five Percentage Senior Notes [Member]
USD ($)
Jul. 2, 2017
Designated as Hedging Instrument [Member]
ForeignExchangeYenDebt [Member]
JPY (¥)
Debt Instrument [Line Items]
 
 
 
 
 
 
 
 
Debt Instrument, Term
 
 
7 years 
 
 
 
 
 
Derivative, Notional Amount
 
 
 
 
 
 
 
¥ 76,000 
Debt Redemption, Amount
 
400 
 
 
 
 
 
 
Stated Interest Rate
 
 
0.372% 
0.372% 
 
0.875% 
 
 
Debt Instrument, Face Amount
 
 
¥ 85,000.0 
$ 758.3 
$ 0 
$ 0 
$ 400.0 
 
Long-term debt covenant compliance
The indentures under which the above notes were issued also require us to maintain compliance with certain covenants, including limits on future liens and sale and leaseback transactions on certain material properties. As of July 2, 2017, we were in compliance with all applicable covenants.  
 
 
 
 
 
 
 
Debt Debt (Summary of long-term debt maturities) (Details) (USD $)
9 Months Ended
Jul. 2, 2017
Oct. 2, 2016
Jul. 2, 2017
Commercial Paper [Member]
Jul. 2, 2017
Maximum [Member]
Commercial Paper [Member]
Short-term Debt [Line Items]
 
 
 
 
Maximum allowable amount under Commercial Paper Program
 
 
$ 1,000,000,000 
 
Maximum allowable maturity period of credit under Commercial Paper Program
 
 
 
397 days 
Outstanding commercial paper
 
 
0 
 
2018
0 
 
 
 
2019
350,000,000 
 
 
 
2020
0 
 
 
 
2021
750,000,000 
 
 
 
2022
500,000,000 
 
 
 
Thereafter
2,358,300,000 
 
 
 
Total
$ 3,958,300,000 
$ 3,600,000,000 
 
 
Equity (Narrative) (Details) (USD $)
In Millions, except Share data, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jul. 2, 2017
Jun. 26, 2016
Oct. 2, 2016
Equity [Abstract]
 
 
 
 
Authorized shares of common stock
2,400,000,000 
2,400,000,000 
 
2,400,000,000 
Par value of common stock
$ 0.001 
$ 0.001 
 
$ 0.001 
Authorized shares of preferred stock
7,500,000 
7,500,000 
 
 
Outstanding shares of preferred stock
0 
0 
 
 
Shares of common stock repurchased
 
22,400,000 
27,600,000 
 
Total cost of common stock repurchased
 
$ 1,254.1 
$ 1,590.4 
 
Shares available for repurchase
95,400,000 
95,400,000 
 
 
Cash dividend declared to shareholders
$ 0.25 
$ 0.25 
 
 
Dividends payable, payment date
Aug. 25, 2017 
 
 
 
Dividends payable, record date
Aug. 10, 2017 
 
 
 
Equity (Changes In Total Equity) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Beginning balance of total equity
 
 
$ 5,890.7 
$ 5,819.8 
Net earnings including noncontrolling interests
691.3 
754.5 
2,095.5 
2,017.2 
Translation adjustment and other, net of reclassifications and tax
 
 
(76.1)
91.3 
Unrealized gains/(losses), net of reclassifications and tax
 
 
(0.6)
(20.5)
Other comprehensive income/(loss)
21.3 
60.6 
(76.7)
70.8 
Stock-based compensation expense
 
 
150.1 
159.6 
Exercise of stock options/vesting of RSUs
 
 
108.0 
115.4 
Sale of common stock
 
 
21.6 
12.7 
Repurchase of common stock
 
 
(1,254.1)
(1,590.4)
Cash dividends declared
 
 
(1,085.6)
(881.1)
Ending balance of total equity
5,849.5 
5,724.0 
5,849.5 
5,724.0 
Parent [Member]
 
 
 
 
Beginning balance of total equity
 
 
5,884.0 
5,818.0 
Net earnings including noncontrolling interests
 
 
2,096.1 
2,016.8 
Translation adjustment and other, net of reclassifications and tax
 
 
(76.1)
91.3 
Unrealized gains/(losses), net of reclassifications and tax
 
 
(0.6)
(20.5)
Other comprehensive income/(loss)
 
 
(76.7)
70.8 
Stock-based compensation expense
 
 
150.1 
159.6 
Exercise of stock options/vesting of RSUs
 
 
108.0 
115.4 
Sale of common stock
 
 
21.6 
12.7 
Repurchase of common stock
 
 
(1,254.1)
(1,590.4)
Cash dividends declared
 
 
(1,085.6)
(881.1)
Ending balance of total equity
5,843.4 
5,721.8 
5,843.4 
5,721.8 
Noncontrolling Interest [Member]
 
 
 
 
Beginning balance of total equity
 
 
6.7 
1.8 
Net earnings including noncontrolling interests
 
 
(0.6)
0.4 
Translation adjustment and other, net of reclassifications and tax
 
 
0 
0 
Unrealized gains/(losses), net of reclassifications and tax
 
 
0 
0 
Other comprehensive income/(loss)
 
 
0 
0 
Stock-based compensation expense
 
 
0 
0 
Exercise of stock options/vesting of RSUs
 
 
0 
0 
Sale of common stock
 
 
0 
0 
Repurchase of common stock
 
 
0 
0 
Cash dividends declared
 
 
0 
0 
Ending balance of total equity
$ 6.1 
$ 2.2 
$ 6.1 
$ 2.2 
Equity (Components Of Accumulated Other Comprehensive Income, Net Of Tax) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Apr. 2, 2017
Oct. 2, 2016
Dec. 27, 2015
Sep. 27, 2015
Accumulated Other Comprehensive Income (Loss) [Line Items]
 
 
 
 
 
 
 
 
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest
$ 5,849.5 
$ 5,724.0 
$ 5,849.5 
$ 5,724.0 
 
$ 5,890.7 
 
$ 5,819.8 
Net gains/(losses) in AOCI, beginning of period
 
 
(108.4)
 
 
 
 
 
Other comprehensive income/(loss)
21.3 
60.6 
(76.7)
70.8 
 
 
 
 
Net gains/(losses) in AOCI, end of period
(185.1)
 
(185.1)
 
 
 
 
 
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member]
 
 
 
 
 
 
 
 
Accumulated Other Comprehensive Income (Loss) [Line Items]
 
 
 
 
 
 
 
 
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest
(3.5)
(0.3)
(3.5)
(0.3)
(5.3)
1.1 
2.9 
(0.1)
Net gains/(losses) recognized in OCI before reclassifications
1.0 
(2.6)
(6.9)
0.4 
 
 
 
 
Net (gains)/losses reclassified from AOCI to earnings
0.8 
(0.6)
2.3 
(0.6)
 
 
 
 
Other comprehensive income/(loss)
1.8 
(3.2)
(4.6)
(0.2)
 
 
 
 
Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent [Member]
 
 
 
 
 
 
 
 
Accumulated Other Comprehensive Income (Loss) [Line Items]
 
 
 
 
 
 
 
 
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest
3.2 
5.3 
3.2 
5.3 
21.6 
10.9 
(3.8)
25.6 
Net gains/(losses) recognized in OCI before reclassifications
(12.7)
(35.6)
48.5 
(83.2)
 
 
 
 
Net (gains)/losses reclassified from AOCI to earnings
(5.7)
44.7 
(56.2)
62.9 
 
 
 
 
Other comprehensive income/(loss)
(18.4)
9.1 
(7.7)
(20.3)
 
 
 
 
Accumulated Net Investment Hedge Gain (Loss) Attributable to Parent [Member]
 
 
 
 
 
 
 
 
Accumulated Other Comprehensive Income (Loss) [Line Items]
 
 
 
 
 
 
 
 
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest
13.0 
1.3 
13.0 
1.3 
11.3 
1.3 
1.3 
1.3 
Net gains/(losses) recognized in OCI before reclassifications
1.7 
0 
11.7 
0 
 
 
 
 
Net (gains)/losses reclassified from AOCI to earnings
0 
0 
0 
0 
 
 
 
 
Other comprehensive income/(loss)
1.7 
0 
11.7 
0 
 
 
 
 
Translation Adjustment [Member]
 
 
 
 
 
 
 
 
Accumulated Other Comprehensive Income (Loss) [Line Items]
 
 
 
 
 
 
 
 
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest
(197.8)
(134.9)
(197.8)
(134.9)
(234.0)
(121.7)
(189.6)
(226.2)
Net gains/(losses) recognized in OCI before reclassifications
36.2 
54.7 
(76.1)
91.3 
 
 
 
 
Net (gains)/losses reclassified from AOCI to earnings
0 
0 
0 
0 
 
 
 
 
Other comprehensive income/(loss)
36.2 
54.7 
(76.1)
91.3 
 
 
 
 
AOCI Attributable to Parent [Member]
 
 
 
 
 
 
 
 
Accumulated Other Comprehensive Income (Loss) [Line Items]
 
 
 
 
 
 
 
 
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest
(185.1)
(128.6)
(185.1)
(128.6)
(206.4)
(108.4)
(189.2)
(199.4)
Net gains/(losses) recognized in OCI before reclassifications
26.2 
16.5 
(22.8)
8.5 
 
 
 
 
Net (gains)/losses reclassified from AOCI to earnings
(4.9)
44.1 
(53.9)
62.3 
 
 
 
 
Other comprehensive income/(loss)
$ 21.3 
$ 60.6 
$ (76.7)
$ 70.8 
 
 
 
 
Equity (Impact of Reclassifications from Accumulated Other Comprehensive Income on Earnings) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Total cost of common stock repurchased
 
 
$ 1,254.1 
$ 1,590.4 
Amounts Reclassified from AOCI, Interest income and other, net
31.7 
72.9 
123.7 
95.5 
Amounts Reclassified from AOCI, Interest expense
(23.5)
(21.8)
(70.2)
(56.6)
Amounts Reclassified from AOCI, Revenues
5,661.5 
5,238.0 
16,688.5 
15,604.7 
Amounts Reclassified from AOCI, Cost of sales including occupancy costs
(2,249.1)
(2,060.3)
(6,685.3)
(6,256.9)
Amounts Reclassified from AOCI, Tax (expense)/benefit
(361.1)
(318.9)
(1,070.1)
(966.2)
Reclassification out of Accumulated Other Comprehensive Income [Member]
 
 
 
 
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Amounts Reclassified from AOCI, Total before tax
6.4 
(53.8)
67.9 
(73.3)
Amounts Reclassified from AOCI, Tax (expense)/benefit
(1.5)
9.7 
(14.0)
11.2 
Amounts Reclassified from AOCI, Net of tax
4.9 
(44.1)
53.9 
(62.1)
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member]
 
 
 
 
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Amounts Reclassified from AOCI, Net of tax
0.8 
(0.6)
2.3 
(0.6)
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member] |
Reclassification out of Accumulated Other Comprehensive Income [Member]
 
 
 
 
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Amounts Reclassified from AOCI, Interest income and other, net
(1.2)
0.9 
(3.2)
1.1 
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member]
 
 
 
 
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Amounts Reclassified from AOCI, Net of tax
(5.7)
44.7 
(56.2)
62.9 
Interest Rate Contract [Member] |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] |
Reclassification out of Accumulated Other Comprehensive Income [Member]
 
 
 
 
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Amounts Reclassified from AOCI, Interest expense
1.2 
1.2 
3.6 
4.0 
Cross-Currency Swap [Member] |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] |
Reclassification out of Accumulated Other Comprehensive Income [Member]
 
 
 
 
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Amounts Reclassified from AOCI, Interest income and other, net
1.5 
(57.6)
55.6 
(95.8)
Foreign Currency Contract - Other [Member] |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] |
Reclassification out of Accumulated Other Comprehensive Income [Member]
 
 
 
 
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Amounts Reclassified from AOCI, Revenues
1.2 
0.1 
3.7 
5.5 
Foreign Currency and Coffee Contracts [Member] |
Accumulated Net Gain (Loss) from Designated or Qualifying Cash Flow Hedges [Member] |
Reclassification out of Accumulated Other Comprehensive Income [Member]
 
 
 
 
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items]
 
 
 
 
Amounts Reclassified from AOCI, Cost of sales including occupancy costs
$ 3.7 
$ 1.6 
$ 8.2 
$ 11.9 
Employee Stock Plans (Narrative) (Details)
In Millions, unless otherwise specified
Jul. 2, 2017
Stock Options and Restricted Stock Units [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Common stock available for issuance pursuant to future equity-based compensation awards and ESPP
73.1 
Employee Stock Purchase Plan [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Common stock available for issuance pursuant to future equity-based compensation awards and ESPP
13.5 
Employee Stock Plans (Stock-Based Compensation Expense Recognized in Consolidated Statement of Earnings) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
 
 
 
 
Stock-based compensation expense
$ 43.9 
$ 49.8 
$ 148.8 
$ 158.4 
Stock Options [Member]
 
 
 
 
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
 
 
 
 
Stock-based compensation expense
10.1 
9.2 
34.1 
32.2 
Restricted Stock Units (RSUs) [Member]
 
 
 
 
Employee Service Share-based Compensation, Allocation of Recognized Period Costs [Line Items]
 
 
 
 
Stock-based compensation expense
$ 33.8 
$ 40.6 
$ 114.7 
$ 126.2 
Employee Stock Plans (Stock Option and RSU Transactions) (Details) (USD $)
In Millions, unless otherwise specified
9 Months Ended
Jul. 2, 2017
Stock Options [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Options outstanding, October 2, 2016
31.3 
Granted, Stock Options
7.0 
Options exercised, Stock Options
(4.7)
Forfeited/expired, Stock Options
(1.5)
Options outstanding, April 2, 2017
32.1 
Total unrecognized stock-based compensation expense, net of estimated forfeitures, Stock Options
$ 46.9 
Restricted Stock Units (RSUs) [Member]
 
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
 
Nonvested RSUs, October 2, 2016
8.3 
Granted, RSUs
5.0 
RSUs vested, RSUs
(3.8)
Forfeited/expired, RSUs
(1.2)
Nonvested RSUs, April 2, 2017
8.3 
Total unrecognized stock-based compensation expense, net of estimated forfeitures, RSUs
$ 152.0 
Earnings Per Share (Narrative) (Details) (Stock Options [Member])
In Millions, unless otherwise specified
9 Months Ended
Jul. 2, 2017
Stock Options [Member]
 
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
 
Out-of-the-money stock options
4.5 
Earnings Per Share (Calculation of Net Earnings Per Common Share (EPS) - Basic and Diluted) (Details) (USD $)
In Millions, except Per Share data, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Earnings Per Share [Abstract]
 
 
 
 
Net earnings attributable to Starbucks
$ 691.6 
$ 754.1 
$ 2,096.1 
$ 2,016.8 
Weighted average common shares outstanding (for basic calculation)
1,447.7 
1,465.3 
1,452.8 
1,474.4 
Dilutive effect of outstanding common stock options and RSUs
11.7 
14.0 
12.1 
15.3 
Weighted average common and common equivalent shares outstanding (for diluted calculation)
1,459.4 
1,479.3 
1,464.9 
1,489.7 
EPS - basic
$ 0.48 
$ 0.51 
$ 1.44 
$ 1.37 
EPS - diluted
$ 0.47 
$ 0.51 
$ 1.43 
$ 1.35 
Segment Reporting (Financial Information For Reportable Operating Segments And All Other Segments) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Segment Reporting Information [Line Items]
 
 
 
 
Total net revenues
$ 5,661.5 
$ 5,238.0 
$ 16,688.5 
$ 15,604.7 
Depreciation and amortization expenses
252.6 
247.6 
756.0 
730.9 
Income from equity investees
101.0 
82.5 
269.5 
212.3 
Operating income/(loss)
1,044.2 
1,022.3 
3,112.1 
2,944.5 
Goodwill, Impairment Loss
 
 
87.2 
0 
Goodwill and Asset Impairment Charge
120.2 
0 
120.2 
0 
Teavana [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Goodwill, Impairment Loss
69.3 
 
 
 
Goodwill and Asset Impairment Charge
102.3 
 
 
 
Operating Segments [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total net revenues
5,661.5 
5,238.0 
16,688.5 
15,604.7 
Depreciation and amortization expenses
215.0 
209.0 
643.4 
617.9 
Income from equity investees
101.0 
82.5 
269.5 
212.3 
Operating income/(loss)
1,306.3 
1,284.1 
3,922.7 
3,725.0 
Operating Segments [Member] |
Americas [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total net revenues
3,991.9 
3,645.5 
11,703.7 
10,827.2 
Depreciation and amortization expenses
152.8 
149.2 
460.6 
441.6 
Income from equity investees
0 
0 
0 
0 
Operating income/(loss)
974.8 
898.5 
2,759.4 
2,645.1 
Operating Segments [Member] |
China/Asia Pacific [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total net revenues
840.6 
768.2 
2,380.3 
2,099.6 
Depreciation and amortization expenses
51.0 
45.7 
148.9 
131.7 
Income from equity investees
51.8 
40.2 
138.4 
104.3 
Operating income/(loss)
223.8 
182.8 
563.2 
439.2 
Operating Segments [Member] |
EMEA [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total net revenues
249.9 
273.4 
743.9 
854.7 
Depreciation and amortization expenses
7.7 
10.3 
22.9 
32.4 
Income from equity investees
0 
0 
0 
1.5 
Operating income/(loss)
9.8 
29.9 
81.5 
105.8 
Operating Segments [Member] |
Channel Development [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total net revenues
478.7 
440.8 
1,493.6 
1,414.0 
Depreciation and amortization expenses
0.5 
0.7 
1.7 
2.1 
Income from equity investees
49.2 
42.3 
131.1 
106.5 
Operating income/(loss)
210.2 
187.8 
646.5 
563.0 
Operating Segments [Member] |
All Other Segments [Member]
 
 
 
 
Segment Reporting Information [Line Items]
 
 
 
 
Total net revenues
100.4 
110.1 
367.0 
409.2 
Depreciation and amortization expenses
3.0 
3.1 
9.3 
10.1 
Income from equity investees
0 
0 
0 
0 
Operating income/(loss)
$ (112.3)
$ (14.9)
$ (127.9)
$ (28.1)
Segment Reporting (Reconciliation Of Total Segment Operating Income To Consolidated Earnings Before Income Taxes) (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended 9 Months Ended
Jul. 2, 2017
Jun. 26, 2016
Jul. 2, 2017
Jun. 26, 2016
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
Operating income/(loss)
$ 1,044.2 
$ 1,022.3 
$ 3,112.1 
$ 2,944.5 
Interest income and other, net
31.7 
72.9 
123.7 
95.5 
Interest expense
(23.5)
(21.8)
(70.2)
(56.6)
Earnings before income taxes
1,052.4 
1,073.4 
3,165.6 
2,983.4 
Operating Segments [Member]
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
Operating income/(loss)
1,306.3 
1,284.1 
3,922.7 
3,725.0 
Corporate, Non-Segment [Member]
 
 
 
 
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated [Line Items]
 
 
 
 
Operating income/(loss)
$ (262.1)
$ (261.8)
$ (810.6)
$ (780.5)
Subsequent Event (Details) (USD $)
3 Months Ended
Oct. 1, 2017
Jul. 2, 2017
Taiwan JV [Member]
 
 
Subsequent Event [Line Items]
 
 
Preexisting ownership percentage in equity method investment
 
50.00% 
Purchase price of joint venture sold
$ 175,000,000 
 
Spain JV [Member]
 
 
Subsequent Event [Line Items]
 
 
Payments to Acquire Interest in Joint Venture
$ 1,300,000,000 
 
Preexisting ownership percentage in equity method investment
 
50.00%