v3.26.1
Debt
 9 Months Ended
Jun. 28, 2026
Debt Disclosure [Abstract]  
Debt Debt
Revolving Credit Facility
Our $3.0 billion unsecured five-year revolving credit facility (the “2025 credit facility”), of which $150.0 million may be used for issuances of letters of credit, is currently set to mature on June 13, 2030. The 2025 credit facility is available for working capital, capital expenditures, and other general corporate purposes, including acquisitions and share repurchases. We have the option, subject to negotiation and agreement with the related banks, to increase the maximum commitment amount by an additional $1.0 billion.
Borrowings under the 2025 credit facility will bear interest at a fluctuating rate based on the Term Secured Overnight Financing Rate (“Term SOFR”), and, for U.S. dollar-denominated loans under certain circumstances, a Base Rate (as defined in the 2025 credit facility), in each case plus an applicable rate. The applicable rate is based on the Company’s long-term credit ratings assigned by Moody’s and Standard & Poor’s rating agencies. The 2025 credit facility contains alternative interest rate provisions specifying rate calculations to be used at such time Term SOFR ceases to be available as a benchmark due to reference rate reform. The “Base Rate” of interest is the highest of (i) the Federal Funds Rate plus 0.50%, (ii) Bank of America’s prime rate, (iii) Term SOFR plus 1.00%, and (iv) 1.00%. Upon the occurrence of any event of default under the 2025 credit facility, interest on the outstanding amount of the indebtedness under the 2025 credit facility will bear interest at a rate per annum equal to 2% in excess of the interest then borne by such borrowings.
The 2025 credit facility contains provisions requiring us to maintain compliance with certain covenants, including a minimum fixed charge coverage ratio, which measures our ability to cover financing expenses. As of June 28, 2026, we were in compliance with all applicable covenants. No amounts were outstanding under our 2025 credit facility as of June 28, 2026, or September 28, 2025.
Short-term Debt
Under our commercial paper program, we may issue unsecured commercial paper notes up to a maximum aggregate amount outstanding at any time of $3.0 billion, with individual maturities that may vary but not exceed 397 days from the date of issue. Amounts outstanding under the commercial paper program are required to be backstopped by available commitments under our 2025 credit facility. The proceeds from borrowings under our commercial paper program may be used for working capital needs, capital expenditures, and other corporate purposes, including, but not limited to, business expansion, payment of cash dividends on our common stock, and share repurchases. We had no borrowings outstanding under our commercial paper program as of June 28, 2026, and September 28, 2025. Our total available contractual borrowing capacity for general corporate purposes was $3.0 billion as of the end of our third quarter of fiscal 2026.
Additionally, we hold the following Japanese yen-denominated credit facilities that are available for working capital needs and capital expenditures within our Japanese market:
•A ¥5.0 billion, or $30.9 million, credit facility is currently set to mature on December 30, 2026. Borrowings under this credit facility are subject to terms defined within the facility and will bear interest at a variable rate based on Tokyo Interbank Offered Rate (“TIBOR”) plus an applicable margin of 0.400%.
•A ¥10.0 billion, or $61.8 million, credit facility is currently set to mature on March 27, 2027. Borrowings under this credit facility are subject to terms defined within the facility and will bear interest at a variable rate based on TIBOR plus an applicable margin of 0.300%.
As of June 28, 2026, and September 28, 2025, we had no borrowings outstanding under these credit facilities.
Long-term Debt
In May 2026, the Company completed cash tender offers for certain series of its senior notes and repurchased approximately $1.3 billion aggregate principal amount of such notes using cash proceeds from the divestiture of Starbucks retail operations in China. The notes repurchased consisted of:
•$273.5 million of the $750.0 million, 4.500% Senior Notes (the “May 2028 notes”)
•$321.8 million of the $500.0 million, 4.800% Senior Notes (the “May 2030 notes”)
•$110.4 million of the $500.0 million, 5.000% Senior Notes (the “February 2034 notes”)
•$410.2 million of the $500.0 million, 5.400% Senior Notes (the “May 2035 notes”)
•$200.0 million of the $1.0 billion, 4.500% Senior Notes (the “November 2048 notes”)
In connection with the redemptions, the Company recognized an immaterial gain on partial extinguishment of debt for the quarter ended June 28, 2026, which is included in Interest income and other, net in the consolidated statement of earnings. In determining the value of the gain, the Company expensed the proportional amount of the related unamortized discount, premium, and debt issuance costs attributable to the repurchased notes.
Components of long-term debt including the associated interest rates and related estimated fair values by calendar maturity (in millions, except interest rates):
Jun 28, 2026Sep 28, 2025Stated Interest Rate
Effective Interest Rate(1)
IssuanceAmountEstimated Fair ValueAmountEstimated Fair Value
February 2026 notes$— $— $1,000.0 $1,001.7 4.750 %4.788 %
June 2026 notes— — 500.0 494.0 2.450 %2.511 %
February 2027 notes1,000.0 1,003.1 1,000.0 1,009.8 4.850 %4.958 %
March 2027 notes500.0 492.5 500.0 484.7 2.000 %2.058 %
March 2028 notes600.0 591.4 600.0 591.9 3.500 %3.529 %
May 2028 notes476.5 477.6 750.0 757.1 4.500 %4.719 %
November 2028 notes750.0 742.7 750.0 747.9 4.000 %3.958 %
August 2029 notes(2)
1,000.0 974.2 1,000.0 978.5 3.550 %3.840 %
March 2030 notes750.0 690.5 750.0 687.8 2.250 %3.084 %
May 2030 notes178.2 179.5 500.0 510.2 4.800 %4.932 %
November 2030 notes1,250.0 1,147.2 1,250.0 1,145.9 2.550 %2.582 %
February 2031 notes500.0 505.7 500.0 514.2 4.900 %5.046 %
February 2032 notes1,000.0 916.0 1,000.0 918.1 3.000 %3.155 %
February 2033 notes500.0 499.6 500.0 505.7 4.800 %3.798 %
February 2034 notes389.6 392.9 500.0 509.9 5.000 %5.127 %
May 2035 notes89.8 92.6 500.0 516.6 5.400 %5.510 %
June 2045 notes350.0 291.1 350.0 292.1 4.300 %4.348 %
December 2047 notes500.0 375.4 500.0 378.0 3.750 %3.765 %
November 2048 notes800.0 670.1 1,000.0 849.6 4.500 %4.504 %
August 2049 notes1,000.0 835.6 1,000.0 839.5 4.450 %4.447 %
March 2050 notes500.0 346.0 500.0 346.0 3.350 %3.362 %
November 2050 notes1,250.0 880.5 1,250.0 889.0 3.500 %3.528 %
Total13,384.1 12,104.2 16,200.0 14,968.2 
Aggregate debt issuance costs and unamortized premium/(discount), net(88.5)(109.3)
Hedge accounting fair value adjustment (2)
(17.0)(15.9)
Total$13,278.6 $16,074.8 
(1)Includes the effects of the amortization of any premium or discount and any gain or loss upon settlement of related treasury locks or forward-starting interest rate swaps utilized to hedge interest rate risk prior to the debt issuance.
(2)Amount includes the change in fair value due to changes in benchmark interest rates related to hedging $350.0 million of our August 2029 notes. Refer to Note 3, Derivative Financial Instruments, for additional information on our interest rate swap agreements designated as fair value hedges.
The following table summarizes our long-term debt maturities as of June 28, 2026, by fiscal year (in millions):
Fiscal Year Total
2026 (excluding the three quarters ended June 28, 2026)
$— 
20271,500.0 
20281,076.5 
20291,750.0 
2030928.2 
Thereafter8,129.4 
Total$13,384.1