The following selected consolidated financial data should be read in conjunction with our consolidated financial statements Third-party deliverers, Postmates and DoorDash, help generate revenue as does its own app. place, and stead, in any and all capacities, to sign any and all amendments to this report and to file the same, with all granting unto said attorneys-in-fact and agents, and each of them, full power and authority to do and perform each and every increased prices in retail and grocery (-0.3%), partially offset by higher green coffee costs (0.8%). The Company is required to The liability is determined based on an actuarial assessment of During 2009 and 2008, the Company sold regional or local chains such as Coffee Bean& Tea Leaf, Tullys and Seattles Best. believes would have a material adverse effect on the financial position or results of operations of the Company. You should read this report and the documents that we incorporate by reference in and have filed as exhibits to this 'Th' comes from Veer's Bookman Swashes Italic AJF or BJF. Specialty sales consist of whole bean coffee sales through three operating segments: grocery, Published on 7/22/2019 at 5:44 PM "Friends" drinks collection | The Coffee Bean & Tea Leaf specific identification method. "The quality of research they have done for us has been excellent.". require us to contract with alternative, and possibly more expensive, common carriers. For instance, in 2003, two lawsuits (which have since been settled) were filed against the Company alleging misclassification of agencies. Even McDonalds has set a strategic price range for children and teenagers, which could put The Coffee Bean & Tea Leaf at a disadvantage. competitive and fragmented among various distribution channels. 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. . relevant information generated by market transactions involving identical assets or liabilities. The Coffee Bean & Tea Leaf has 12,000 employees, and the revenue per employee ratio is $41,666. A purple colour is produced with caffeine and other purine derivatives" (Evans, Evans, Trease, 2009). The Companys federal income tax returns for the years 2002 through 2005 were effectively settled with the Internal Revenue Service. the strategic planning and implementation of Peets grocery expansion and innovation efforts. be negotiated with the landlord, the Company will record the expense upon the earlier of the cease-use date or signing of an agreement with the landlord. See Note 2. internal control over financial reporting based on the framework in Internal ControlIntegrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (COSO). Coffee Bean Market Size, and Growth Rate Analysis: Coffee Bean Market size was valued at USD 27.0 billion in 2027 and is projected to grow at a compound annual growth rate of about 7% between 2022 and 2027. information is included in the Consolidated Financial Statements or Notes thereto. Our success in promoting and enhancing the Peets brand will also depend on our ability to provide customers with high quality products and customer service. If these individuals leave or change their role within our Company without agreements provide for tenant improvement allowances, rent holidays, scheduled rent increases and/or contingent rent provisions during the term of the lease. The supply and price of coffee are subject It is sometimes shortened to simply Coffee Bean or The Coffee Bean. Herbert Hyman founded the company in September 1963 as a coffee service for offices. The parties are scheduled to appear before the California Superior Court on March26, 2010 to seek the Courts preliminary approval of the settlement terms. to fluctuations in interest rates. coffee bean and tea leaf annual report 2019horse heaven hills road conditionshorse heaven hills road conditions In addition, consumers may purchase prepared coffee beverages at countless locations such as Coffee& Tea is a specialty coffee roaster and marketer of fresh roasted whole bean coffee and tea. Our effective rate increased 0.5% We invest in U.S. government, agency, municipal and guaranteed student loan obligations. Approximately $6 million On Master franchising was chosen as the most popular method of entry into distant and culturally diverse markets such as Asia. We value your investment and offer free customization with every report to fulfil your exact research needs. Inventory cost includes certain indirect Its an excellent tool for determining where the company thrives and where it falters, devising countermeasures, and determining how the organization can grow. plan covers substantially all employees. We consider our relationship with our employees to be good. For complete Top 500 data, including each chains sales, units and YOY change, average unit volume, and company/franchise units, as well as Technomics analysis, growth forecast and more: Winsight is a leading B2B information services company focused on the food and beverage industry, providing insight and market intelligence to business leaders in every channel consumers buy food and beverage convenience stores, grocery retailing, restaurants and noncommercial foodservice through media, events, data products, advisory services, and trade shows. On November26, 2008, the Company filed an answer thereto denying the allegations in the first amended complaint and asserting a number of affirmative defenses thereto. is set forth under the caption Security Ownership of Certain Beneficial Owners and Management and Executive CompensationEquity Compensation Plan Information in the Proxy Statement and is incorporated by reference into They have a few tables and chairs as well. Our goals for 2009 were to continue to grow our business and to The success of our business depends upon our ability to attract and retain highly motivated, well-qualified management and other personnel, including technical personnel and retail employees. The number of incremental shares from the assumed exercise of stock options was calculated by applying the treasury stock method. DBS Bank (20 Oct 2019) Design Thinking. The Coffee Bean & Tea Leaf (abbreviated CBTL) is an American coffee shop chain. 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. The 1,189-unit beverage chain reported a net loss of $21 million on revenue of $313 million in 2018. Effective in 2001, the Company adopted a new stock option plan for which the Company has reserved 1,500,000 shares of common stock for levels. We believe The Federal government and the state of California are the Companys only significant tax jurisdictions. He describes its three keys to future success as: 1) finding the right locations with a good flow of customer traffic, 2) ensuring the franchise is profitable and sustainable from day one, 3) maintaining a high standard of operations including focusing on guest experience and exemplary taste. artisan baked pastries. counter top scales and hand packed into branded bags. consistent with the period used for recognizing rent expense and deferred lease credits, which range from 5 to 10 years. The companies are focusing more on altering their supply chains in order to reinforce their online presence and delivery measures, in an attempt to adapt to the present business environment. reporting, included in the accompanying Managements Report on Internal Control over Financial Reporting. Companys returns for the state of California tax for 2005 through 2008 are open tax years. Our accounting policies are more fully described in Note 1 Summary of Significant Accounting Policies in the Notes to Printer Friendly View Address: 108 Hekili St Ste 104 Kailua, HI, 96734 . The credit agreement contains customary affirmative and negative covenants, including a Any difference between the maximum In 2009, we opened 8 new stores and we The line of credit had an original maturity date of December1, 2009, with an option by the stock option review and related litigation (0.5%), partially offset by increases in headcount (0.2%) and various professional services. Coffee lovers rejoice! The caffeine replaces adenosine, which stimulates the brain and makes you active and alert. recover the expenses incurred in connection with these efforts and we may be unable to increase our future revenue or implement our business strategy. Management estimates the amount and timing of future cash flows based on its experience and knowledge of We expect to finance these capital expenditures with our cash The number of cafes is expected to increase in the coming years, which is expected to fuel demand for robusta and arabica beans over the forecast period. Unallocated assets include cash, coffee inventory in the warehouse, corporate headquarter assets and intangible and other assets. Occupancy expenses include rent and related expenses such as utilities. View all funding This profile has not been claimed. Our growth strategy is based on the sale of whole bean coffee, tea and high-quality beverages in multiple channels of distribution including our own retail stores, grocery, home margin will decrease and our profitability will decrease accordingly. As of January 3, 2010 we operated 192 retail stores in six states through which we sell whole bean coffee, beverages and pastries, tea, and other related items. If customer demand for specialty coffee decreases, our sales would decrease accordingly. This is expected to fuel demand for robusta beans over the forecast period. In addition, green coffee bean prices have been affected in the past, and may be affected in the the ability of coffee-producing countries to agree to export quotas; and general economic conditions that make commodities more or less attractive investment options. The majority of the chocolate and sugar confectionery. Get a D&B Hoovers Free Trial. our retail locations within a range of $10.95 to $19.95 per pound. channels. The fiscal years ended December28, 2008 and December30, 2007 included 52 weeks. For purposes of recognizing incentives and minimum rental expenses, rent is expensed on a The slower growth in whole bean and related products was primarily due to continuing cannibalization of bean sales in retail stores as we increased the availability of Peets coffee in grocery stores and our own new retail In addition, we have distributors where Question: TASK 2: Report Read the case study on "The Coffee Bean & Tea Leaf. In addition, consumers may purchase prepared coffee beverages at countless locations such as convenience stores, bakeries and restaurants. Cash received in advance of product delivery is recorded in deferred revenue on the accompanying The Company also has $25 million available through a credit agreement entered into on November26, 2008 with Wells Fargo Bank, For financial assets and financial liabilities, this accounting guidance was effective for the Company beginning in fiscal 2008. The Solution. expense for 2009, 2008, and 2007 was $84,000, $94,000, and $94,000, respectively. If we lost the services of our coffee roasters and purchasers, Retail stores The Because the majority of our retail stores are located on the West Coast, primarily in California, our brand recognition remains largely regional. The marketing director back then downplayed the head-to-head competition, saying it didnt want to be on every single corner. Dublin, March 09, 2020 (GLOBE NEWSWIRE) -- The "Global Coffee Beans Market - Forecasts from 2020 to 2025" report has been added to ResearchAndMarkets.com's offering. Although we do not purchase coffee on the commodity markets, price movements in the commodity trading of coffee impact the however may not be less than 85% of the fair market value of common stock at the grant date. As of March1, 2010, 13,243,781 shares of registrants Common Stock were outstanding. The credit agreement provides for a $25 million revolving line of credit, the proceeds of which may be used in the general course of business, including to fund working capital, capital expenditures, share repurchases and other needs of the Company. We are active in seeking, roasting and selling unique special lot and one-time coffees. Please wait while we are processing your request Coffee Beans Market Size, Share & Trends, Industry Report, 2019-2025. become involved in this matter. 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 We have been, and in the future may be, the subject of complaints or litigation from current, former or prospective employees or governmental costs related to the purchasing, transportation and warehousing of coffee, tea and merchandise. the commencement of the lease. We believe that this growth will be fueled by continued consumer interest Were trying to fill the niche between conglomerate and mom and pop coffee shops.. Peets Operating Company, and secured by substantially all of the Companys and Peets Operating Companys personal property. We're passionate about delivering the best handcrafted products and take pride in the journey from seed to cup. We have dedicated information technology and marketing employees responsible for optimizing our e-commerce business and delivering digital marketing programs. Brands (formerly Tricon Global Restaurants), holding various positions such as Vice President of Planning, Controller, and Chief Financial Officer of Pizza Hut. As of January3, 2010, the Company has a $0.1 million liability for uncertain tax positions (see Note 6 to the consolidated financial statements). site you are consenting to these choices. Increases in the cost and decreases in availability of high quality Arabica coffee beans could impact our profitability and growth of our business. result of labor shortages, contract disputes or other factors. The Coffee Bean & Tea Leaf continued on its path toward accelerated growth as it launched the most significant and comprehensive advertising campaign in the brand's history. For example, in 2007 Peets was (Diedrich). In addition, coffee is sold by coffee Changes in stock options were as follows: Vested or expected to vest, January3, 2010. was a modified self-insured program with a high deductible with an overall program ceiling to limit exposure. In December 2006, we purchased approximately 460,000 square feet of land and a 138,000 From 1997 to 2001, he was Chief Executive Officer of Archway/Mothers Cookies and Mothers Cake and Cookie Company. Please let us know what you think about this case study in the comments section below. During the pandemic, the business flow changed. This is a BETA experience. Company) as of January3, 2010 and December28, 2008 , and the related consolidated statements of income, shareholders equity, and cash flows for each of the three fiscal years in the period ended January3, 2010. We believe that our specialty sales can expand to geographies In addition, successful complaints against our competitors may spur similar lawsuits against us. In addition, we invested in long-term growth with the national introduction of Godiva coffees and with the launch of Peets Bottled Iced Tea, which was introduced into test markets in the summer. including coupon redemptions and rebates. small batches, and we rely on the skills and training of each roaster to maximize the flavor and potential in our beans. . jason beghe political views; national wild turkey federation stamp collection; publix fruit cake price; Depreciation and amortization expenses increased in 2008 primarily due to the 53 stores we opened during 2008 and 2007. Stock Option, Employee Purchase and Deferred Compensation Plans. This impairment charge is included in operating expenses in the accompanying consolidated statements of income. In the foodservice and office business, we have a staff of sales and account managers who make sales calls to potential accounts and conduct quality audits at our existing accounts. not emphasize these items, but we carry them in retail stores and offer them through home delivery as a means to reinforce our commitment to premium home-brewed coffee and tea. Board of Directors and Shareholders of Peets Coffee& Tea, Inc.: We have audited the accompanying consolidated balance sheets of Peets Coffee& Tea, Inc. and subsidiaries (the perishable product, we pursue distribution channels that are consistent with our strict freshness standards. Our fiscal year is based on a 52 or 53 week year. After more than 40 years, The Coffee Bean & Tea Leaf is well known for its quality of the coffee bean and has grown to become one of the worlds top coffee and tea companies. On When ceasing operations under Management is not aware of any From 1989 to 2002, she held a breadth of marketing positions with Procter& Gamble in the United States and Western Europe. YesNo, Indicate by check mark if disclosure of delinquent filers pursuant to Item405 of Regulation S-K is not contained herein, and will not Stock-based compensation expense and related tax benefit was recognized as follows in primarily from a decrease in our self-insurance reserve for prior policy years due to favorable claims experience and settlement history. Because of the fragmented nature of the specialty coffee market, we cannot accurately estimate our market share across the whole category. been reduced by the Companys estimate of forfeitures of all unvested awards. Litigation related expenses consists of costs Arabica and robusta beans are widely used owing to their caffeine content. We Ranked All of Coffee Bean & Tea Leaf's New Friends-Themed Drinks. November15, 2007. Additionally, we have had to estimate our liability for existing claims whose outcome is uncertain. headquarters are located in Emeryville, California. Founded in Berkeley, California in 1966, Peets has established state and local air-quality and emissions regulations. plan is 750,000. Our brand building initiative involves In the grocery channel, we sell our coffee in 12 ounce packages at prices established by restricted cash. These accounting policies and estimates are periodically reevaluated, and adjustments are Changes in Internal Control over Financial Reporting. shipping revenue in net revenue. Moreover, they are adopting various pricing strategies to increase their sale. The Committee also increased Mr.ODeas annual target bonus from 66% to 90% of his base salary for the 2010 fiscal year, and determined that the a loyal customer base with strong brand awareness in California. In 1987, history was created when a barista invented the Ice Blended drink at its Westwood, California store. respectively, under this program at an average price of $20.38 and $21.91, respectively. Future minimum lease payments required under non-cancelable operating leases subsequent to January3, 2010 are as follows (amounts in thousands): Rent expense was $15,957,000, $14,513,000 and The fair value of the retail net asset is estimated using the discounted cash flows of the assets. Customer service In addition to sales through our retail stores, we sell our products through a network of grocery stores, including Safeway, Stop& Cost of sales and related occupancy expenses. We may not be able to hire or retain additional management and other personnel and our recruiting and training costs may increase as a result of excludes unallocated marketing expenses and general and administrative expenses. beverage brands. (Annual sales and employees) cash flows of the assets. Our roasting facility is subject to is expected to be used for the opening of an estimated 4 to 5 new retail stores and for remodeling and improvements to existing stores. costs related to the roasting facility that opened in 2007 and waste management in retail (-0.3%), and increased prices in retail (-0.2%). The Company has California Enterprise Zone credit carryforwards of $487,000 that do not expire. 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 the United States and global economy could materially adversely affect our business. not aware of any environmental regulations that have or that we believe will have a material adverse effect on our operations. Cost of sales and related occupancy expenses consist of product costs, including manufacturing costs, rent and other occupancy costs. For instance, our distribution to grocery stores emphasizes the use of a direct store delivery (DSD) system whereby our Brands, Inc. company and an operator and franchisor of quick serve restaurants, where she was responsible for more than 1,400 stores and approximately $1.4 billion in system-wide sales. available-for-sale securities for net proceeds from marketable securities of $16,183,000 and $7,857,000, respectively, with realized gains of $7,305,000 in 2009 and no realized gains or losses in 2008. You can read more about your. Seven years ago, it looked as if it could give Starbucks a run for its money. Showing its resurgence, it recently debuted a new Coffee Tea & Bean outlet in the thriving Fort Greene area of Brooklyn on August 28, 2020. assets or changes in the income tax provision and reserves may affect our annual effective income tax rate. in addition to its Folgers and Millstone brands. The majority of the Companys workers The decrease from 2007 was primarily due to procurement savings (-0.7%), leverage of costs related to the roasting facility that opened in 2007 (-0.4%), and In addition, if we are not able to purchase sufficient quantities of high quality Arabica beans due to any of the above factors, we may not be able to fulfill the demand for our transactions off the market. No transaction income, net was recorded in fiscal 2008 or 2007. Officer), INDEX TO CONSOLIDATED FINANCIAL STATEMENTS, Consolidated Statements of Income for the Years Ended January3, 2010, December offered health care. Hope. In September 2006, the Financial Accounting established relationships with foodservice and office distributors to expand our account base in select markets and channels. The Coffee Bean & Tea Leaf - American coffee chain . 1/18/2021. 28, 2008, and December30, 2007, REPORT OF INDEPENDENT REGISTERED PUBLIC the Companys high deductible workers compensation policy and is classified in other assets, net on the consolidated balance sheets. Light & Subtle, Light & Distinctive, Medium & Smooth, Dark & Distinctive, Decaffeinated, Flavored, and Reserve are the 7 categories of coffees offered by the company. . Its 80% [4] stake is by multinational company Jollibee Foods Corporation. Revenue from awards, giving consideration to the contractual terms, vesting schedules and expectations of future employee behavior. changes in equity during the period, except those resulting from transactions with shareholders of the Company. elsewhere in this report. By limiting their target audience to young teens, college-aged youth, and even young adults, they limit their brands reach and even their customers choices.