'I Made A Mistake': Public Outcry Prompts Philz Coffee CEO To Backtrack On Pride Flag

SAN FRANCISCO, CA — Pride Flags are staying up at Philz Coffee following backlash to reports that the popular Bay Area chain was planning to take them down.

The planned flag removal had sparked public outrage and an online petition last week. All 82 stores across California and Chicago will continue to display the flag, the company announced on Friday morning.

"I want to be clear about where Philz stands: our Pride flags are staying up," Philz Coffee CEO Mahesh Sadarangani. "If a Pride flag came down, it can be put back up."

The decision to remove the pride flags from the store was made with the intention of creating a "consistent, inclusive experience" across all Philz Coffee locations, Sadarangani previously said.

The company was heavily scrutinized for the decision. An online petition, which has 7,340 signatures as of Friday, accused the chain of going against one of its biggest supporting demographics.

"It would mean a lot to see Philz Coffee continue keeping Pride flags up—not just during June, but year-round," one petition signer said. "Visibility matters, especially in a time when LGBTQ+ communities are facing renewed pushback. Small gestures like this send a clear message about inclusion, safety, and who belongs in your spaces."

Sadarangani seemingly agreed with the sentiment, saying that after he had a chance to sit down with Suzanne Ford and Jupiter Peraza, two trans women and leaders of the LGBTQIA+ community in San Francisco, he understood why the flags needed to stay up.

"I made a mistake, and I am sincerely sorry," Sadarangani said. "The Pride flag is a symbol of safety and belonging for people who don't always find that in the world, and that is not something I want to take away from anyone who walks into a Philz."

Philz Coffee was founded by Phil Jaber in San Francisco in 2003 and has since extended its reach to the Midwest. The company is currently headquartered in Oakland.

It was sold to the Los Angeles-based private equity firm Freeman Spogli & Co. for $145 million in 2025.