Starbucks shares decline 8 percent
Starbucks Corp. shares sank 8 percent Thursday, a day after the coffee retailer said it was retooling some store operations to improve service in the wake of slower sales growth in July.
July sales grew at the slowest pace in nearly five years, and executives blamed unexpectedly high demand for Frappuccinos and other frozen blended beverages in the peak morning hours of what’s been a steamy summer for much of the nation. Normally, Starbucks’ baristas crank out more hot espresso drinks, at a quicker pace.
Investors sent Starbucks shares down $2.66 to close at $30.64 Thursday on the Nasdaq Stock Market, erasing much of their gains since the start of the year.
St. Louis
Boeing unveils new jamming jet
Boeing Co.’s defense operation in St. Louis unveiled the first EA-18G Growler electronic attack aircraft Thursday for the U.S. Navy, a next-generation radar jamming jet that promises more protection for service members.
The $90 billion project for 90 aircraft that can detect enemy radar and jam it replaces the four-seat, 30-year-old EA-6B Prowler. The first of the jets are to be based at Naval Air Station Whidbey Island, Wash.
Boeing showed off the aircraft at its plant here to about 500 aviation industry partners, Navy personnel and elected officials.
Houston
Energy trading verdicts reached
Jurors in the criminal case of two former Houston energy traders accused of illegally reporting fake transactions told a judge Thursday that they have reached a verdict on some counts, but are “hopelessly deadlocked” on others.
The partial verdict was not announced. U.S. District Judge Nancy Atlas told jurors to think about it overnight, and return today to likely keep trying to reach a verdict on all counts.
In the case, Michelle Valencia and Greg Singleton are accused of reporting fake data to industry publications in 2000 and 2001 that use the information to calculate natural gas index prices.
The publications, such as Inside FERC Gas Market Report or Natural Gas Intelligence, calculate price based on information supplied by traders or their companies, which in turn use those prices in trading.