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Michael O'Leary / The Herald  (click to enlarge)
Customers visit one of Tully's coffee kiosks at Boeing's Everett plant in October. The shops have won a following among Boeing workers, Tully's says.
 
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Mike Benbow, Business Editor
benbow@heraldnet.com
 
Published: Wednesday, August 29, 2007

Tully's to replace Starbucks at four Washington Albertsons stores

EVERETT — If you like to sip coffee while shopping for groceries, your routine could change depending on which java brewer you prefer.

Albertsons grocery stores recently swapped in Tully's coffee shops and swapped out Starbucks at four of its Washington stores, including its 6727 Evergreen Way location. The three other stores in the state include the Aurora Avenue store in Seattle and sites in Mercer Island and Silverdale.

Albertsons spokeswoman Donna Eggers e-mailed the following statement on behalf of the grocery chain: "We believe the conversion of four of our Seattle-area coffee bars from Starbucks to Tully's will enhance our customers' shopping experience by giving them another option when they are looking for that great cup of coffee or delectable drink."

Albertsons will open Tully's coffee bars in six additional stores in the West, but Eggers couldn't release the store locations on Tuesday. Starbucks operates coffee shops at all but one of those grocery stores, she said.

Tully's set up shop inside the Albertsons store on Evergreen Aug. 9. The move follows the opening of several Tully's coffee bars at the Boeing Co.'s Everett facility over the past year.

"We've developed a tremendous relationship with the Boeing employees in the past year," said Rob Martin, a spokesman for Tully's.

Tully's operates five shops sy the Boeing Co.'s Everett plant. Three coffee shops are inside the factory, while another sits inside the planemaker's delivery center. A fifth serves two Boeing office towers at the Everett site.

Boeing spokeswoman Leslie Hazzard said the aerospace company intends to add one more Tully's at the Everett site before the end of 2007. Boeing also houses a Tully's at its Renton factory, where 737s are built.

The mocha-maker has garnered a loyal following of Boeing employees, especially at its "Main Street" spot in the Everett factory.

"That store does very well for Tully's," Martin said.

While Tully's may have gained the upper hand on Starbucks at Boeing. it remains well behind the coffee conglomerate in the rest of Snohomish County, where Starbucks serves its lattes at nearly 100 sites county-wide. Tully's has only a handful of stores across the county.

Yet the coffee brewer's popularity with the roughly 25,000 Boeing employees in Everett could give Tully's reason to open more stores locally. Tully's Martin refrained from speculating on the possibility, noting that Tully's standing with the Securities and Exchange Commission prevents him from doing so. In mid-August, the company postponed the public offering of shares of its stock after volatile swings in market.

However, from a purely business perspective, Martin said, "it would be easy to make a case for growing the business around Everett and Snohomish County."

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