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Wed May 8, 2013
Starbucks, Green Mountain extend partnership
Starbucks says it signed a new five-year contract to make single-serve packs for Green Mountain's Keurig brewing machines, a deal that also expands the companies' partnership beyond North America.
The deal comes after Starbucks last year introduced its own single-serve brewing machine, which was seen by many as posing a threat to Green Mountain's popular machines.
But Starbucks has noted that its machine, the Verismo, is aimed more at people who want to make espresso drinks such as lattes. Green Mountain's low-pressure machines primarily make brewed coffee.
Under the new deal, Starbucks Corp. is adding brands such as Seattle's Best to the packs it will make for Green Mountain Coffee Roasters Inc.'s Keurig and Vue machines.
Financial terms of the deal weren't disclosed.