Starbucks begins restructuring

Starbucks said tonight it was bringing its chairman and former chief executive, Howard Schultz, back to lead a major restructuring initiative, replacing Jim Donald.

Starbucks said the leadership shuffle is part of a series of initiatives to increase shareholder value, which also include closing underperforming US stores and slowing the pace of store openings.

Schultz said he was returning to the CEO role "for the long term".

The incoming CEO said his agenda would also include streamlining the company's management and accelerating expansion outside the US

Schultz previously served as CEO from 1987 to 2000.

The coffee chain has slipped recently as US consumers restricted spending due to declining home values and higher fuel prices.

Meanwhile, competitors like Dunkin' Donuts and McDonald's have cut into Starbucks' customer base by launching their own lines of gourmet coffee.