Friday, February 25, 2011

Starbucks Clears Distribution Hurdle - WSJ.com

NEW YORK—A federal appeals court upheld a ruling that allows for Starbucks Corp. to begin distribution of its branded packaged coffee next month, a business previously operated by Kraft Foods Inc.

Kraft was appealing an earlier ruling from the U.S. District Court for the Southern District of New York, which denied its request to block Starbucks from taking over distribution of Starbucks coffee. The appeals court declared Kraft's most recent arguments are without merit, representing a blow to the packaged-food giant, which earlier Friday argued it will suffer "irreparable harm" if the distribution deal ends next week.

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