STARBUCKS CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS (in millions) Sep 27, 2020 Sep 29, 2019 Sep 30, 2018 924.70 $ 3,594.60 $ 4,518.00 1,503.20 (25.80) (280.70) 227.70 1,449.30 (1,495.40) (250.60) 216.80 1,305.90 714.90 (242.80) 226.80 (1,376.40) (499.20) 250.30 37.60 248.60 (622.80) 308.00 10.50 1,197.60 454.40 24.50 142.60 45.30 75.60 13.40 (2.70) (10.90) (317.50) (1,214.60) (210.80) 31.00 (1,231.40) 280.50 1,597.80 (197.70) (173.00) 922.00 1,237.10 31.90 (30.50) 131.00 (41.20) (839.50) 146.00 391.60 7,109.40 (141.10) 5,047.00 16.40 11,937.80 Fiscal Year Ended OPERATING ACTIVITIES: Net earnings including noncontrolling interests $ Adjustments to reconcile net earnings to net cash provided by operating activities: Depreciation and amortization Deferred income taxes, net Income earned from equity method investees Distributions received from equity method investees Gain resulting from acquisition of joint venture Net gain resulting from divestiture of certain retail operations Stock-based compensation Goodwill impairments Non-cash lease cost Loss on retirement and impairment of assets Other Cash provided by/(used in) changes in operating assets and liabilities: Accounts receivable Inventories Prepaid expenses and other current assets Income taxes payable Accounts payable Deferred revenue Operating lease liability Other operating assets and liabilities Net cash provided by operating activities INVESTING ACTIVITIES: Purchases of investments Sales of investments Maturities and calls of investments Acquisitions, net of cash acquired Additions to property, plant and equipment Net proceeds from the divestiture of certain operations Other Net cash used in investing activities FINANCING ACTIVITIES: Proceeds from issuance of short-term debt Repayments of short-term debt Proceeds from issuance of long-term debt Repayments of long-term debt Proceeds from issuance of common stock Cash dividends paid Repurchase of common stock Minimum tax withholdings on share-based awards Other Net cash provided by (used in) financing activities Effect of exchange rate changes on cash and cash equivalents Net increase/(decrease) in cash and cash equivalents CASH AND CASH EQUIVALENTS: Beginning of period End of period $ SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: Cash paid during the period for: Interest, net of capitalized interest Income taxes $ (443.90) 186.70 73.70 (190.40) 298.30 59.80 (1,483.60) (1,806.60) 684.30 (56.20) (1,010.80) (191.90) 459.00 45.30 (1,311.30) (1,976.40) 608.20 5.60 (2,361.50) (44.40) (1,711.50) 1,406.60 (967.70) 4,727.60 5,584.10 298.80 (1,923.50) (1,698.90) (91.90) (37.70) 1,713.30 64.70 1,664.30 1,996.00 (350.00) 409.80 (1,761.30) (10,222.30) (111.60) (17.50) (10,056.90) (49.00) (6,069.70) 153.90 (1,743.40) (7,133.50) (62.70) (41.20) (3,242.80) (39.50) 6,294.00 2,686.60 4,350.90 $ 8,756.30 2,686.60 $ 2,462.30 8,756.30 396.90 $ 1,699.10 $ 299.50 $ 470.10 $ 137.10 1,176.90 (0.10) Balance, October 1, 2017 Net earnings/(loss) Other comprehensive income/loss) Stock-based compensation expense Exercise of stock options/vesting of RSUS Sale of common stock Repurchase of common stock Cash dividends declared, $1.32 per share Net distributions to noncontrolling interests Balance, September 30, 2018 Cumulative effect of adoption of new accounting guidance Net earnings/(loss) Other comprehensive incomelloss) Stock-based compensation expense Exercise of stock options/vesting of RSUS Sale of common stock Repurchase of common stock Cash dividends declared, $1.49 per share Net distributions to noncontrolling interests Balance, September 29, 2019 Cumulative effect of adoption of new accounting guidance Net earnings/loss) Other comprehensive incomelloss) Stock-based compensation expense Exercise of stock options/vesting of RSUS Sale of common stock Repurchase of common stock Cash dividends declared, $1.23 per share Noncontrolling interest resulting from divestiture Balance, September 27, 2020 STARBUCKS CORPORATION CONSOLIDATED STATEMENTS OF EQUITY (in millions, except per share data) Accumulated Other Common Stock Additional Retained Comprehensive Shareholders' Noncontrolling Shares Amount Paid-in Capital Earnings/(Deficit Income (Loss) Equityl(Deficit) Interests 1,431.60 $ 1.40 $ 41.10 $ 5,563.20 $ (155.60) $ 5,450.10 $ 6.90 $ 4,518.30 4,518.30 (0.30) (174.70) (174.70) 253.80 253.80 8.40 59.40 59.40 0.60 31.80 31.80 (131.50) (345.00) (6,863.60) (7,208.70) (1,760.50) (1,760.50) (0.30) 1,309.10 $ 1.30 $ 41.10 $ 1,457.40 $ (330.30) $ 1,169.50 $ 6.30 $ 495.60 495.60 3,599.20 3,599.20 (4.60) (173.00) (173.00) 311.30 311.30 14.70 264.90 264.90 0.40 33.40 33.40 (139.60) (0.10) (609.60) (9,521.80) (10, 131.50) (1,801.60) (1,801.60) (0.50) 1,184.60 $ 1.20 $ 41.10 $ (5,771.20 $ (503.30) $ (6.232.20 $ 1.20 $ 12.50 4.80 17.30 928.30 928.30 133.90 133.90 252.10 252.10 8.50 169.90 169.90 0.50 37.20 37.20 (20.30) (126.40) (1,548.60) (1,675.00) (1,436.60) (1,436.60) (0.20) 8.30 1,173.30 $ 1.20 $ 373.90 $ (7,815.60) $ (364.60) $ (7,805.10) $ 5.70 $ Total 5,457.00 4,518.00 (174.70) 253.80 59.40 31.80 (7,208.70) (1,760.50) (0.30) 1,175.80 495.60 3,594.60 (173.00) 311.30 264.90 33.40 (10,131.50) (1,801.60) (0.50) (6,231.00 17.30 924.70 133.90 252.10 169.90 37.20 (1,675.00) (1,436.80) 8.30 (7,799.40) (3.60) STARBUCKS CORPORATION 10-K Sep. 27, 2020 Vertical Analysis Consolidated Balance Sheets (in millions, except per share data) Sep 27, 2020 Sep 29, 2019 ASSETS $ 15% $ Current assets: Cash and cash equivalents Short-term investments Accounts receivable, net 2,686.6 70.5 879.2 4,350.9 281.2 883.4 1,551.4 739.5 7,806.4 206.1 1,529.4 488.2 5,653.9 220.0 396.0 6,431.7 Inventories Prepaid expenses and other current assets Total current assets Long-term investments Equity investments Property, plant and equipment, net Operating lease, right-of-use asset Deferred income taxes, net Other long-term assets Other intangible assets Goodwill TOTAL ASSETS 0.0 478.7 6,241.4 8,134.1 1,789.9 568.6 552.1 1,765.8 479.6 781.8 3,490.8 3,597.2 $ 29,374.5 $ 19,219.6 3% $ LIABILITIES AND SHAREHOLDERS' EQUITYI(DEFICIT) Current liabilities: Accounts payable $ 997.9 Accrued liabilities 1,160.7 Accrued payroll and benefits 696.0 Income taxes payable 98.2 Current portion of operating lease liability 1,248.8 Stored value card liability and current portion of deferred revenue 1,456.5 Short-term debt 438.8 Current portion of long-term debt 1,249.9 Total current liabilities 7,346.8 Long-term debt 14,659.6 Operating lease liability 7,661.7 Deferred revenue 6,598.5 Other long-term liabilities 907.3 Total liabilities 37,173.9 Shareholders' deficit: 1,189.7 1,753.7 664.6 1,291.7 0.0 1,269.0 0.0 0.0 6,168.7 11,167.0 0.0 6,744.4 1,370.5 25,450.6 1.2 Common stock ($0.001 par value) - authorized, 2,400.0 shares; issued and outstanding, 1,173.3 and 1,184.6 shares, respectively Additional paid-in capital Retained deficit Accumulated other comprehensive loss Total shareholders' deficit Noncontrolling interests Total deficit TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY/(DEFICIT) 373.9 (7,815.6) (364.6) (7,805.1) 5.7 (7,799.4) 29,374.5 1.2 41.1 (5,771.2) (503.3) (6,232.2) 1.2 (6,231.0) 19,219.6 $ $ STARBUCKS CORPORATION 10-K Sep. 27, 2020 Horizontal Analysis Consolidated Balance Sheets (millions, except footnotes) Sep 27, 2020 ASSETS Sep 29, 2019 $ Chg % Chg $ $1,664 62% $ 2,686.6 4,350.9 281.2 70.5 883.4 879.2 1,551.4 739.5 1,529.4 488.2 5,653.9 220.0 Current assets: Cash and cash equivalents Short-term investments Accounts receivable, net Inventories Prepaid expenses and other current assets Total current assets Long-term investments Equity investments Property, plant and equipment, net Operating lease, right-of-use asset Deferred income taxes, net Other long-term assets Other intangible assets Goodwill TOTAL ASSETS 7,806.4 206.1 478.7 6,241.4 8,134.1 1,789.9 568.6 396.0 6,431.7 0.0 1,765.8 479.6 552.1 781.8 3,597.2 29,374.5 3,490.8 19,219.6 $ $ $ 1,189.7 1,753.7 664.6 1,291.7 0.0 LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT) Current liabilities: Accounts payable $ 997.9 ($192) (16%) Accrued liabilities 1,160.7 Accrued payroll and benefits 696.0 Income taxes payable 98.2 Current portion of operating lease liability 1,248.8 Stored value card liability and current portion of deferred rever 1,456.5 Short-term debt 438.8 Current portion of long-term debt 1,249.9 Total current liabilities 7,346.8 Long-term debt 14,659.6 Operating lease liability 7,661.7 Deferred revenue 6,598.5 Other long-term liabilities 907.3 Total liabilities 37,173.9 Shareholders' deficit: 1,269.0 0.0 0.0 6,168.7 11,167.0 0.0 6,744.4 1,370.5 25,450.6 1.2 373.9 Common stock ($0.001 par value) - authorized 2,400.0 shares; issued and outstanding, 1,173.3 and 1,184.6 shares, respectively Additional paid-in capital Retained deficit Accumulated other comprehensive loss Total shareholders' deficit Noncontrolling interests Total deficit TOTAL LIABILITIES AND SHAREHOLDERS' EQUITYI(DEFIC $ (7,815.6) (364.6) (7,805.1) 5.7 1.2 41.1 (5,771.2) (503.3) (6,232.2) 1.2 (6,231.0) 19,219.6 (7,799.4) 29,374.5 $