exv10w4






Exhibit 10.4




February 5, 2009




Mr. John Culver

2401 Utah Avenue South

Seattle, WA 98134




Dear John:



Thank you for your contributions to the Company’s success and congratulations on your promotion to
executive vice president; president, Global Consumer Products, Foodservice and Seattle’s Best
Coffee, effective February 20, 2009.




Here are the specifics of your offer:



You will be paid bi-weekly at a base salary that annualizes to $425,000.




Executive Management Bonus Plan



You will be eligible to participate in the Executive Management Bonus Plan (EMBP) for fiscal year
2009. Your bonus target will be 50% of your eligible base salary. Payout will be based on
achievement of Company, business unit/department, and individual objectives.



For more information about the bonus plans, or a copy of the plan document, please talk to your
Partner Resources generalist. Starbucks reserves the right to review, change, amend, or cancel
incentive plans at any time.




Stock Option Grant



You will be granted stock options to purchase additional shares of Starbucks common stock with an
economic value of $170,000 USD under the Key Employee Sub-Plan to the 2005 Long-Term Equity
Incentive Plan, subject to formal approval by the Compensation and Management Development Committee
of the Board of Directors. The exercise price of the options will be the regular trading session
closing price of a share of Starbucks stock on the date of the grant. The grant date of your
options will be after you assume your new role and otherwise effective in accordance with the
Company’s equity grant timing policy. The options will be non-qualified and will vest in equal
installments over a period of four (4) years, beginning on the first anniversary date of the grant,
subject to your continued employment.



As a senior executive the Company’s executive stock ownership guidelines will apply to you. The
guidelines require covered executives to achieve a minimum investment




 









 








John Culver

Page 2



in Starbucks stock within five years. The minimum investment for executive vice presidents is
$750,000. A copy of the guidelines will be provided to you.




Management Deferred Compensation Plan



You will continue to be eligible to participate in the Management Deferred Compensation Plan (MDCP)
because you are on our U.S. payroll and meet the eligibility criteria. The MDCP provides eligible
partners with the opportunity to save on a tax-deferred basis. If you have questions about the
MDCP, please contact the Starbucks Savings Team at savings@starbucks.com. You may obtain
more information about the MDCP on the Savings link at http://LifeAt.sbux.com.




Executive Life Insurance



As an executive, you and your family have a greater exposure to financial loss resulting from your
death. You will continue to receive partner life coverage equal to three times your annualized
base pay, paid for by Starbucks. You may purchase up to an additional two times your annualized
base pay (for a total of five times pay) to a maximum life insurance benefit of $2,000,000.




Executive Physical Exam



You will continue to be eligible to participate in Starbucks executive physical program. If you
have questions about this physical, please contact Kelley Hardin at (206) 318-7756.




Benefits



To understand how your new role may affect your benefits, please contact the Starbucks Partner
Contact Center at 1-866-504-7368 or your Partner Resources generalist. Please note that although
it is Starbucks intent to continue these plans, they may be amended or terminated at any time
without notice.




Insider Trading



As an executive, with access to sensitive business and financial information about the Company, you
will continue to be prohibited from trading Starbucks securities (or, in some circumstances, the
securities of companies doing business with Starbucks) from time to time in accordance with the
Company’s Insider Trading Policy and Blackout Procedures.




Coffee Hedging



As an officer of the Company, a member of the Coffee Management Group, or a partner involved in
coffee procurement and trading on behalf of the Company, you are prohibited from trading in coffee
commodity futures for your own account. If you have further questions, please contact your Partner
Resources generalist.




 









 








John Culver

Page 3



As a condition of your new role, you are asked to sign a Confidentiality, Non-Solicitation and
Non-Compete Agreement (“Non-Compete Agreement”). Enclosed are two copies. Please review and sign
both copies of the Non-Compete Agreement and this letter, and return one copy of each document to
Chet Kuchinad.



In your position, you will remain employed ‘at will,’ meaning that either you or your employer can
end the employment relationship at any time, for any reason not prohibited by law.



On behalf of the entire team, I wish you the best in your new role and look forward to your
continued success. If you have any questions, please call me at 206-318-4010.




Warm regards,




	 	 	 	 	 
	 	 	 
	/s/ Howard Schultz
 	 	 
	Howard Schultz 	 	 
	chairman, president and chief executive officer 	 	 
	 




			
	cc:	 	partner file

Stock Administration (S-HR3)

Chet Kuchinad
	 	 	 
	Enc.	 	Non-Compete Agreement




I accept employment with Starbucks Corporation, and its wholly-owned subsidiaries, according to the
terms set forth above.




	 	 	 	 	 
	 	 	 
	/s/ John Culver                       	 	2/6/09 
	John Culver                           	 	Date