coffee bean and tea leaf annual report 2019 coffee bean and tea leaf annual report 2019

feet through April30, 2013. adopted a Nonqualified Deferred Compensation Plan (the Plan) for certain executive employees. Competition in the specialty coffee category is fragmented among various distribution channels with the major But Coffee Bean & Tea Leaf is a force internationally with 1,080 stores in 27 countries. The strengths of Coffee Bean and Tea Leaf are the distinguishing characteristics of an organization that gives it a competitive advantage in gaining more market share, attracting more customers, and maximizing profitability. respectively, under this program at an average price of $20.38 and $21.91, respectively. Our obligations Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2)has been subject to such filing requirements for the past 90 potentially result in substantial costs of defense, settlement or other disposition, which could have a material adverse effect on our results of operations in one or more fiscal periods. House (Kraft) and Folgers (J.M. The Coffee Bean & Tea Leaf (abbreviated CBTL) is an American coffee shop chain. In this case study, well look at Coffee Bean & Tea Leaf and its SWOT analysis. Arabica has higher acidity than robusta, which adds a fruity, chocolate, and nutty flavor to the beans. As of January3, 2010, there were 1,492,170 shares available for grant under the 2000 stock option plan and 206,850 shares available agreement. Over the past year, The Coffee Bean & Tea Leaf Company has experienced significant growth across its grocery and ecommerce business, which has grown over 50 percent, has tripled online purchases of gift cards, outperforming YoY growth recorded in 2019 and has reentered the NY market with a location in Brooklyn with plans to open a number of . Its an excellent tool for determining where the company thrives and where it falters, devising countermeasures, and determining how the organization can grow. For policy years beginning March 2002 through February 2008 our workers compensation program was a Comparison of Starbucks with The Coffee Bean & Tea Leaf. available-for-sale and are recorded at fair value. In a disclosure to the stock exchange on Wednesday, the JFC said its wholly owned unit . YesxNo, Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Free business intelligence platform with subscription, 4. growth in whole bean and related products was primarily due to continuing cannibalization of bean sales in retail stores as we increased the availability and sales levels of Peets coffee in grocery stores and our own new retail stores. Our roasting and distribution facility and several of our stores are located near several major earthquake faults in the San Francisco Bay The Companys 401(k) Because our business is highly dependent on a single product, specialty coffee, if the demand for specialty coffee decreases, our business could suffer. established relationships with foodservice and office distributors to expand our account base in select markets and channels. effect that such commitments are expected to have on the Companys liquidity and capital requirements in future periods as of January3, 2010: The Company has excluded from the table above uncertain tax liabilities as defined in ASC 740, Unrecognized Tax Benefits, due to in addition to its Folgers and Millstone brands. Some Alternates fit, except 'e' that don't match. outcome that could have a material adverse effect on Peets business, financial condition, results of operations and cash flows and its stock price. Exchange Act of 1934, as amended (the Exchange Act)). The related accumulated amortization was $980,000 and $896,000 at January3, 2010 and December28, 2008, respectively. Quote. Grocery coupons creating an obligation to the third party are recognized as a liability when distributed based upon expected consumer redemptions. By continuing to use this site you are consenting to these choices. Key factors that are driving the market growth include growing awareness related to increasing penetration of brands such as CCD and Starbucks in India, China, and other emerging countries. companies named in the letter. Each store has a beverage bar that is dedicated to the sale of prepared beverages and P. Christine Lansing joined the Company as Vice President, Chief jurisdictions. Anti-dilutive shares of 1,166,422, 1,258,510 and 841,277 have been excluded from diluted weighted average shares outstanding in 2009, 2008 and 2007, respectively. We expect to finance these capital expenditures with our cash In the grocery channel, Kraft and. however may not be less than 85% of the fair market value of common stock at the grant date. December28, 2008 and December30, 2007, Consolidated Statements of Cash Flows for the Years January3, 2010, December Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement and whether effective internal restricted cash. During 2009, proceeds from sales and maturities net of purchases totaled $15.8 million, including $7.7 million of Diedrich common stock. companys internal control over financial reporting is a process designed by, or under the supervision of, the companys principal executive and principal financial officers, or persons performing similar functions, and effected by the Operations. In 2009, 2008 and 2007, the Company granted non-employee director options to purchase an aggregate proposition that includes quality, variety, convenience, personal taste preference, and price. Smucker are the largest players since Kraft distributes its own brands as well as Starbucks and Seattles Best, while J.M. Every other coffee item has a substitute product, which poses a significant threat to such cafes. grocery business (0.7%), opening 53 new retail stores in 2008 and 2007 (0.2%), partially offset by favorable workers compensation insurance expense (-0.3%) and other cost savings. In China, Starbucks alone has more than 1,500 outlets. Competition in the specialty coffee category is fragmented among various distribution channels with the major distribution channels being coffeehouses (our retail segment) and grocery stores Following their success in Singapore, they believed that their business in Asia could flourish significantly. Previous to 1986, Mr.Cawley whose signature appears below constitutes and appoints Patrick J. ODea and Thomas P. Cawley and each of them, as his true and lawful attorneys-in-fact and agents, with full power of substitution and resubstitution, for him and in his name, Moreover, increasing consumption of coffee-flavored beverages and ice cream is expected to fuel demand for these beans over the forecast period. January3, 2010 and December28, 2008, the Company operated 192 and 188 retail stores, respectively, in California, Colorado, Illinois, Oregon, Massachusetts and Washington. independent distributors to support grocery accounts primarily in the western and eastern U.S. and other selected markets. We have Click to read about our adventures since 1963! Use of these cookies, which may be stored on your device, permits us to improve and customize your experience. the calculated accruals. Operations for Taco Bell Corporation, a Yum! entire target bonus would be cash-based. plan covers substantially all employees. repairs and maintenance, supplies, training, travel and banking and card processing fees. in high quality coffee and related products. The following table lists the number of retail locations as of January3, 2010: On income, net consisting of an $8.5 million break-up fee, net of $4.3 million of external professional and legal fees incurred related to the transaction. The global coffee beans market size was valued at USD 27.0 billion and is expected to expand at a CAGR of 6.7% from 2019 to 2025. Coffee Beans Market Insights to 2025: A $30+ Billion Industry Opportunity around the globe" The Coffee Bean & Tea Leaf (sometimes shortened to simply "Coffee Bean" or "The Coffee Bean", often abbreviated as CBTL) is an American coffee chain founded in 1963. statements. [34] Foreign brands in the Philippines [ edit] A Burger King outlet in Baliwag, Bulacan. We purchase only Arabica coffee beans, which are considered superior to beans traded in the commodity market. Net revenue from the two product lines is as follows (in thousands): Whole bean coffee, tea and related products, 15. OUR STORY. In addition to employment related claims, Peets may be subject to various claims and litigation. The slower Finished goods include roasted coffee, tea, accessory On March1, 2010, the last sale price reported on the Nasdaq National Market for the common stock was $36.84 per share. Roasters, Illy Caff, Millstone (J.M. Amidst the global pandemic crisis and the indefinite lockdown across nations, the consumer food & beverage industry first witnessed high demand for household staples, healthy food items, and consumables with longer shelf lives. area. The following graph depicts the Companys total return to shareholders from January2, 2005 through January3, 2010, relative to the performance of the NASDAQ Composite Index, and the Market Share From the data, we can see that CBTL company shares in Singapore since 2006-2010 have been stagnant at 0.4%. Property, plant and equipment assets are grouped at the lowest level for which there are identifiable cash flows when assessing impairment. Our blends, such as Major Our roasted coffee that is sold to the end consumer is priced in tiers. The registered independent public accounting firm of Deloitte& Touche LLP has issued a report on the effectiveness of the roasting and distribution facility, whether as a result of a natural disaster or other causes, could significantly impair our ability to operate our business. competitive and fragmented among various distribution channels. So, lets take a look at the opportunities Coffee Bean & Tea Leaf has to produce outstanding results. We At In the specialty sales segment, net revenue increased 13.4% compared to 2008, or 11.4% without the 53 Our stores are typically located in urban neighborhoods, suburban shopping centers (usually consisting of grocery, specialty and service turnover, both of which may increase our costs and reduce our profits and may adversely impact our ability to implement our business strategy. Choose reports from a database of more than 10,000 reports. We must constantly protect against any infringement by competitors. As of each annual meeting of the Companys shareholders, beginning in 2002, and continuing through and including the annual meeting of the Companys shareholders in 2020, the number of shares of common stock reserved for stores. Adverse publicity regarding product quality or food and beverage safety, whether or not accurate, may harm our business. affecting consumer spending behavior. Purchases under this stock purchase program would be made from time to time on the open market at prevailing market prices or in negotiated Franchises in other countries may face significant management challenges because each location has its own set of ethics and rules. We sell approximately 25 types of coffee as regular menu items, including approximately 14 blends and 11 single origin coffees such as Colombia, Guatemala, Sumatra and Kenya. are highly exposed to this environment. Our merchandise program consists of items such as brewing equipment for coffee and tea, paper filters and brewing accessories and branded and non-branded cups, saucers, travel mugs and serveware. In addition, each operating segment has similar products, similar production processes, similar methods of distribution and a similar When ceasing operations under tea. Consolidated Financial Statements, included elsewhere in this report. Moreover, they help in reducing the risk of various diseases including Alzheimer's and Gallbladder stones and promoting weight loss. The Coffee Bean & Tea Leaf' is a coffee chain company that produces Californian-based coffee. accrued for workers compensation. The Company offers healthcare benefits to all employees who work at least 21 hours a week and meet service eligibility requirements. income tax rate is summarized as follows: Deferred tax assets (liabilities) consist of the following at year end 2009 and 2008 (in thousands): The Company adopted ASC 740, Unrecognized Tax Benefits, as of January1, 2007. Printer Friendly View Address: 108 Hekili St Ste 104 Kailua, HI, 96734 . Free trial, before you make a purchase decision. in addition to cost improvements at the store level (-0.2%), partially offset by higher costs associated with expanding the grocery business (0.3%) and expenses incurred in closing four underperforming stores (0.3%). North America dominated the coffee beans market with a share of 28.7% in 2019. Forward-looking statements reflect our chocolate and sugar confectionery. More on this chain: Coffee Bean & Tea Leaf. The Company The growth in net revenue in grocery was due to the 2,400 new stores we added during 2008, as well as growth in our existing accounts in the western United States. More than 60% of coffee cultivation is arabica, where Brazil is one of the leading producers in the world. competitors copy our roasting methods, the value of our brand may be diminished, and we may lose customers to our competitors. accounts and distributing our products: We Proudly Brew (WPB) accounts and licensing accounts. We procure coffee from 23 countries, with a large percentage of coffee coming from Central and South America, and over 30 different However, we cannot predict what All revenue is recognized net of any discounts, returns, allowances and sales incentives, We invest in U.S. government, agency, municipal and guaranteed student loan obligations. amended complaint asserting an additional claim for penalties. future, by the actions of certain organizations and associations that have historically attempted to influence commodity prices of green coffee beans through agreements establishing export quotas or restricting coffee supplies worldwide. Grand View Research is registered in the State of California at Grand View Research, Inc. 201 Spear Street 1100, San Francisco, CA 94105, United States. they generated in their first 12 months. Amounts drawn under the credit agreement will bear interest (computed on the basis of a We're here to enjoy life. The Companys obligations under the line of credit are guaranteed by the Companys wholly-owned subsidiary, As of January3, Previously, she held prominent retail operations and sales positions with Taco Bell, Frito-Lay, Inc., a PepsiCo company, and Burger King Corporation. Dickasons Blend, are well regarded by our customers for their uniqueness, consistency and special flavor If the Company makes any substantive amendments to the Code of Business Conduct and Ethics or grants any waiver from a provision of the code to any executive officer or director, the Company will promptly Fixed-Price and Not-Yet-Priced Purchase Commitments, We enter into fixed-price purchase commitments in order to secure an adequate supply of quality green coffee beans and fix our Critical Accounting Policies, Judgments and Estimates. information received from the Companys insurance carrier including claims paid, filed and reserved for and historical experience. and cash equivalents on the consolidated balance sheets. companys board of directors, management, and other personnel to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally Information respecting executive officers of the Company is set forth at Part I of this Form 10-K under the caption BusinessExecutive The risk-free interest Tenant improvement allowances are amortized as a reduction in rent expense over the term of the lease. November16, 2009, the Compensation Committee of the Board of Directors of the Company approved an increase to the salary and target bonus of Pat ODea, the Companys Chief Executive Officer. available on our website at www.peets.com. Sep 9, 2022. The manufacturers are focusing on launching different flavors and new products to increase their market share. Gift CardsThe Company sells gift cards in its retail stores and through its covered by this annual report. control over financial reporting identified in connection with the evaluation required by paragraph (d)of Exchange Act Rules 13a-15(e) or 15d-15(e) that was conducted during the last fiscal quarter that have materially affected, or are Analyst Briefing Submitters are 7x more likely to receive a qualified connection. However, any differences in estimates and assumptions could result in accrual requirements materially different from We do not anticipate making investments in public companies or yielding similar gains in the future. Their primary market is adults, young youths, and teenagers, which could be a major weakness because they would lose their most importantly potential customers. outcomes. adversely affect our business. In 2008, we completed conversion of this facility from our roasting plant into office space. Since we only roast our coffee to order, we do not carry inventory of roasted coffee in The complaint alleges that store managers based in California Another outpost is slated to open in downtown Brooklyn by the end of the year, supplemented by new outlets on the Upper East Side of Manhattan and Hoboken, N.J. planned for 2021. had approximately $37.4 million in open fixed-priced purchase commitments and approximately $3.5 million in not-yet-priced commitments for a total of approximately $40.9 million with delivery increasing the availability of our products in grocery stores, license locations and foodservice locations to increase awareness of our brand and create and maintain brand loyalty. Complimentary 10 hours free analyst time for market review, 3. 2008 on Form 8-K. During the year ended January3, 2010, the Company purchased and retired 264,112 shares of common stock at an average price of $20.32, in accordance with this stock purchase program. Accounting Firm in the Proxy Statement and is incorporated by reference into this Form 10-K. Such determination of affiliate status is not necessarily a conclusive determination for other The approximate aggregate market value of the voting stock held by non-affiliates of the registrant based on the closing price and shares of Valuations are submitted by companies, mined from state filings or news, provided by VentureSource, or based on a comparables valuation model. Net cash used in financing activities was $0.9 million in 2009, primarily from the purchase of our common stock, offset by proceeds from 7. Any action under Proposition 65 would likely seek statutory penalties and costs of enforcement, as well as a requirement to provide warnings and other notices to customers. 8.2% of net revenue for the fiscal years 2009, 2008 and 2007, respectively. Standards Board (FASB) introduced a framework for measuring fair value and expanded required disclosure about fair value measurements of assets and liabilities, effective for financial assets and liabilities for fiscal years beginning after Bhd. The Company establishes an allowance for estimated doubtful accounts based on historical experience and current trends. You should read this report and the documents that we incorporate by reference in and have filed as exhibits to this Company-operated retail stores. percent of net revenue, expenses were flat compared to 2008 as increases in headcount and payroll related expenses were offset by leverage of other costs on higher sales. tax benefits noted above, the Company accrued penalties and interest of $15,000 for each of 2009, 2008 and 2007. First, as a reward program that intend to appreciate and recognize loyal customers, Coffee Bean need to scrap off the 'registration fee' that is, the amount customers pay to have or purchase the card (The Coffee Bean and Tea Leaf p.1). the consolidated statements of income (in thousands): The fair value of Use of EstimatesThe preparation of financial statements in conformity with accounting principles generally accepted in consolidated financial statements. See for yourself. 243 of 250. Revised production estimates for MY 2019/20 is We believe our application of accounting policies, and the estimates inherently required therein, are reasonable. Consolidated Financial Statements included elsewhere in this report. WPB accounts are foodservice accounts where Peets supplies the equipment and product to brew and resell our products. In October 2011, Jollibee acquired a 54% stake in BK Titans, Inc., the sole franchisee of Burger King in the Philippines. If these individuals leave or change their role within our Company without compared to 2007 as a result of increased sales from new stores and the sales they generated in their first 12 months. In 20 countries, The Coffee Bean & global network - growing from 304 stores Tea Leaf serves more than 100 million coffee to over . Disclosure, Directors, Executive Officers and Corporate Governance, Security Ownership of Certain Beneficial Owners and Management and Related Stockholder The demand for frozen food products, fruits & vegetables, eggs, flour, and whole grains, among others, witnessed a considerable increase during the early stages of the crisis. Our coffee and related items are sold through multiple channels of distribution that provide self-insured claims exposure is limited to incidents prior to March1, 2008. (part of our specialty segment). Copyright 2023 Grand View Research, Inc. All rights reserved. be contained, to the best of registrants knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.. recorded on the straight-line method over the estimated useful lives, which range from 2 to 40 years. offer a limited line of specialty food items, such as jellies, jams and candies. forth under the caption Section 16(a) Beneficial Ownership Reporting Compliance in the Proxy Statement and is incorporated by reference into this Form 10-K. The shifting dynamics supporting this growth makes it critical for businesses in this. On average, we offer four to six such coffees every year, including our Anniversary Blend and Holiday Blend. be reasonably possible, management believes the effect on the expense recognized for 2009 would not be material. We believe that this growth will be fueled by continued consumer interest Intangible and other assetsIntangible and other assets include lease rights, contract acquisition costs, deposits, and In connection with the store closures, the Company incurred certain costs related to store lease obligations and employee related expenses of $467,000. Litigation related expenses consists of costs The Coffee Bean & Tea Leaf peak revenue was $500.0M in 2021. Stock-based compensation. References to we, us, our, Peets, Although we consider our packaging and store design to be essential to our brand identity, we have not applied to where we do not have a retail presence. Jollibee Foods Corp. will spend $350 million to purchase loss-making Coffee Bean & Tea Leaf, its largest acquisition. In addition, consumers may purchase prepared coffee beverages at countless locations such as convenience stores, bakeries and restaurants. A 735,888 shares remain available for purchase under this stock purchase program. be vertically integrated, allowing us to control the quality of our product at all stages. end of the registrants fiscal year ended January3, 2010, are incorporated by reference into Part III of this annual report on Form 10-K. Market for Registrants Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities, Managements Discussion and Analysis of Financial Condition and Results of