March 3 (Bloomberg) -- Starbucks Corp. Chief Executive Officer Howard Schultz named Cliff Burrows to run the coffee chain's U.S. operations, replacing Launi Skinner in a management overhaul aimed at reversing declining customer visits.

Burrows, president of Starbucks' Europe, Middle East and Africa stores, will take over the U.S. position on March 12. Skinner stepped down after six months on the job to spend more time with her family, Starbucks said in a statement today.

Schultz, who built the local Seattle coffee chain into a company with almost 16,000 cafes, has been appointing new executives since his return as CEO last month after a seven-year hiatus. The chain reported its first quarterly drop in U.S. customer visits last year, and Schultz said in January that he would slow the pace of store growth and close 100 locations.

Skinner, 43, became head of the U.S. division in September after serving as leader of store development since 2004. She joined Starbucks in 1993. She declined to comment, spokeswoman Bridget Baker said.

Burrows, 48, began at Starbucks in April 2001 as managing director of the U.K. business. He was appointed to his current position in April 2006. Before joining the coffee chain, he worked mostly with Habitat Designs Ltd., a furniture and housewares retailer.

With Burrows's departure, the European region will report to Jim Alling, president of Starbucks Coffee International, until a replacement is appointed.

Starbucks fell 13 cents to $17.85 at 4:30 p.m. in Nasdaq Stock Market composite trading. The shares declined 13 percent this year after plunging 42 percent in 2007 for the worst annual performance since the company sold stock to the public in 1992.

Starbucks has more than 11,000 company-operated and licensed stores in the U.S. and more than 4,500 stores internationally.

Last week, Schultz named former executive Arthur Rubinfeld to oversee store design, the second manager hired back since Schultz took over. Schultz hired another former executive, Harry Roberts, as chief creative officer in January.

To contact the reporters on this story: Josh Fineman in New York at

Last Updated: March 3, 2008 18:19 EST