UPDATE: Starbucks Announces 6,700 Job Cuts

Seattle’s Starbucks, the world’s largest chain of coffee shops, will cut 6,700 jobs and close 300 more stores after reporting Q1 profit that fell more than analysts estimated.

The company plans to close 200 locations in the US and 100 overseas, in addition to the 600 Starbucks said it would close last year. The workforce reduction will eliminate 6,000 café positions and 700 corporate jobs.

CEO Howard Schultz asked the board to cut his annual base pay to less than $10,000, or the minimum required to maintain benefits for himself and his family.

Sales at US stores open at least 13 months dropped 10% in Q1.