Food Business News - April 14, 2020 - 11

McDonald's drawing on
strengths of global system

Only 45% of restaurants
are operating
in McDonald's
international markets.

MCDONALD'S

MCDONALD'S

CHICAGO - While the global outbreak of the
coronavirus (COVID-19) has "significantly
disrupted" business operations at McDonald's Corp., the fast-food restaurant chain is
drawing on the strengths of its global system
to manage through the crisis and position
itself for long-term growth, said Christopher
J. Kempczinski, chief executive officer.
"While the disruption means our business is faced with immediate challenges,

we believe our agility has positioned us well
to adapt and continue to serve customers
where it is safe to do so," Mr. Kempczinski
said in an April 8 business update. "Approximately 75% of our restaurants around
the world are operational, the majority of
which have adapted to focus on drive-thru,
delivery and/or takeaway."
Mr. Kempczinski said McDonald's
January and February global comparable
sales were strong in most countries, but
beginning in mid-March, the company experienced a significant decline in results
that varied across markets.
"The variation reflects the different
levels of consumer behavior and government response," he said.
Comparable sales for the first two
months of 2020 were up 7.2% worldwide,
with US sales up 8.1%. But in March, global
comparable sales were down 22%, with US
comparable sales down more than 13%.

As of April 8, McDonald's said 99%
of its US restaurants were operating some
form of drive-thru, delivery or takeaway
service, with dining rooms operating at
restaurant discretion at select locations.
Meanwhile, only 45% of restaurants are
operating in McDonald's international
markets.
"We remain focused on what we can
control to manage through this crisis," Mr.
Kempczinski said. "To that end, we have
taken important steps to preserve our
financial flexibility, including suspending our share repurchase program and
increasing our cash position by raising
$6.5 billion in the debt markets during the
first quarter. In addition, we will reduce
capital expenditures this year as a result of
fewer 'Experience of the Future' projects
across the US and a reduced number of
new restaurant openings in most markets
around the world." FBN

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Food Business News

11

Teutopolis, IL | Hopkinsville, KY | West Harrison, IN

4/13/2020 9:21:03 AM


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Food Business News - April 14, 2020

Table of Contents for the Digital Edition of Food Business News - April 14, 2020

Food Business News - April 14, 2020 - 1
Food Business News - April 14, 2020 - 1
Food Business News - April 14, 2020 - 2
Food Business News - April 14, 2020 - 3
Food Business News - April 14, 2020 - 4
Food Business News - April 14, 2020 - 5
Food Business News - April 14, 2020 - 6
Food Business News - April 14, 2020 - 7
Food Business News - April 14, 2020 - 8
Food Business News - April 14, 2020 - 9
Food Business News - April 14, 2020 - 10
Food Business News - April 14, 2020 - 11
Food Business News - April 14, 2020 - 12
Food Business News - April 14, 2020 - 13
Food Business News - April 14, 2020 - 14
Food Business News - April 14, 2020 - 15
Food Business News - April 14, 2020 - 16
Food Business News - April 14, 2020 - 17
Food Business News - April 14, 2020 - 18
Food Business News - April 14, 2020 - 19
Food Business News - April 14, 2020 - 20
Food Business News - April 14, 2020 - 21
Food Business News - April 14, 2020 - 22
Food Business News - April 14, 2020 - 23
Food Business News - April 14, 2020 - 24
Food Business News - April 14, 2020 - 25
Food Business News - April 14, 2020 - 26
Food Business News - April 14, 2020 - 27
Food Business News - April 14, 2020 - 28
Food Business News - April 14, 2020 - 29
Food Business News - April 14, 2020 - 30
Food Business News - April 14, 2020 - 31
Food Business News - April 14, 2020 - 32
Food Business News - April 14, 2020 - 33
Food Business News - April 14, 2020 - 34
Food Business News - April 14, 2020 - 35
Food Business News - April 14, 2020 - 36
Food Business News - April 14, 2020 - 37
Food Business News - April 14, 2020 - 38
Food Business News - April 14, 2020 - 39
Food Business News - April 14, 2020 - 40
Food Business News - April 14, 2020 - 41
Food Business News - April 14, 2020 - 42
Food Business News - April 14, 2020 - 43
Food Business News - April 14, 2020 - 44
Food Business News - April 14, 2020 - 45
Food Business News - April 14, 2020 - 46
Food Business News - April 14, 2020 - 47
Food Business News - April 14, 2020 - 48
Food Business News - April 14, 2020 - 49
Food Business News - April 14, 2020 - 50
Food Business News - April 14, 2020 - 51
Food Business News - April 14, 2020 - 52
Food Business News - April 14, 2020 - 53
Food Business News - April 14, 2020 - 54
Food Business News - April 14, 2020 - 55
Food Business News - April 14, 2020 - 56
Food Business News - April 14, 2020 - 57
Food Business News - April 14, 2020 - 58
Food Business News - April 14, 2020 - 59
Food Business News - April 14, 2020 - 60
Food Business News - April 14, 2020 - 61
Food Business News - April 14, 2020 - 62
Food Business News - April 14, 2020 - 63
Food Business News - April 14, 2020 - 64
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