SHANGHAI Chinese coffee consumption is growing quickly, spurring cut-throat competition between local and foreign coffee chains that have opened thousands of branded shops in recent months and surpassed the number of coffee stores in the United States. Analysts expect China's growing thirst for coffee to be a key driver of future demand for the beans as coffee shops expand.
Luckin Coffee says inquiry against CEO finds no evidence of misconduct
FILE PHOTO: A cup of Luckin Coffee coffee is poured during the company s IPO at the Nasdaq Market site in New York, U.S., May 17, 2019. REUTERS/Brendan McDermid/File Photo
February 18, 2021
Chinese coffee chain Luckin Coffee said on Wednesday its board had found no evidence of misconduct by Chief Executive Jinyi Guo during a month-long investigation into allegations made by some employees.
Guo, who took over after the competitor to Starbucks ousted co-founder and chairman Charles Zhengyao amid an internal fraud investigation, had denied the allegations.
The coffee chain’s explosive growth was halted last year by an investigation into its accounts for overstating 2019 revenue and understating net loss.
By Reuters Staff
2 Min Read
FILE PHOTO: A cup of coffee is poured during Luckin Coffee s IPO at the Nasdaq Market site in New York, U.S., May 17, 2019. REUTERS/Brendan McDermid
(Reuters) - Chinese coffee chain Luckin Coffee said on Wednesday its board had found no evidence of misconduct by Chief Executive Jinyi Guo during a month-long investigation into allegations made by some employees.
Guo, who took over after the competitor to Starbucks ousted co-founder and chairman Charles Zhengyao amid an internal fraud investigation, had denied the allegations.
The coffee chain’s explosive growth was halted last year by an investigation into its accounts for overstating 2019 revenue and understating net loss.