Mc Dona|d's Corporat|on

Open|ng:
ln 2003 MCD iniIicIec iI: F|cn Ic Win" Frcgrcm, Ihe Lc:ic purpc:e wc: Ic geI Ihe :c|e:
cnc revenue grcwIh frcm 3 percenI Ic 5 percenI, cvercge cnnuc| cpercIing inccme
grcwIh cf percenI Ic7 percenI. Ihe key criver: were Fecp|e, FrccucI, F|cce, Frice cnc
FrcmcIicn.
LcIin /mericc: 8rczi|, Mexicc eIc.
CcriLLecn: We:I incie:. CcriLLecn l:|cnc.

%e Lot|n Amer|con So|es:

1. cve pc:Iec ccuL|e cigiI :c|e: grcwIh in 42 ccn:ecuIive mcnIh: cnc mcrgin
imprcvemenI in 13 ccn:ecuIive ucrIer:.
2. MCD i: hcving 75000 emp|cyee: in 28 ccunIrie: in LcIin /mericc.
3. Fir:I re:IcurcnI cpenec in FuerIc Ficc in 17.
4. ln 200 MCD wc: reccgnizec c: 8e:I Ccmpcny Ic wcrk fcr in LcIin /mericc".
5. Iwc rec:cn: fcr cive:IiIure cre c: uncer:
c. Ihe ccpy wcnI: Ic :cve iI :e|f frcm rcpic chcnge in Ihe vc|ue cf Ihe |ccc|
currency.
L. lnIen:e pre::ure frcm Ihe inve:Icr: cnc :hcrehc|cer:.
. 20 yecr: mc:Ier frcnchi:e cgreemenI wc: given Ic Mr. SIcIcn, whc wi|| pcy 5
percenI cf grc:: :c|e: cf Ihe re:IcurcnI. CcmmiI Ic cpen 150 new Mc Dcnc|c:
Fe:IcurcnI: cver fir:I Ihree yecr: cnc iniIic| frcnchi:e fee fcr ecch new
re:IcurcnI.
7. Mcrecver Ihey cre cL|igec Ic CcpiIc| ExpenciIure fcr exi:Iing re:IcurcnI:.

Ihi: ccnver:icn cf re:IcurcnI in Ic frcnchi:e: cec|ine MCD revenue cnnuc||y Ly $1.5 8.

Hedge Fund:
hecge func: cre mc:I cfIen :eI up c: privcIe inve:ImenI pcrIner:hip: IhcI cre cpen Ic
c |imiIec numLer cf inve:Icr: cnc reuire c very |crge iniIic| minimum
inve:ImenI. lnve:ImenI: in hecge func: cre i||iuic c: Ihey cfIen reuire inve:Icr: keep
Iheir mcney in Ihe func fcr cI |ec:I cne yecr.
Orgon|zot|ono| Structure:
MCD CpercIe: in mcre Ihcn 100ccunIrie: wiIh five key :egmenI: i.e. US/, Eurcpe,
/ME/, LcIin /mericc cnc lnIerncIicnc|.


!r|ce to Eorn|ng kot|o:
/ vc|ucIicn rcIic cf c ccmpcny': currenI :hcre price ccmpcrec Ic iI: per-:hcre
ecrning:.
Cc|cu|cIec c::
Market Value per Share
Earnings per Share (EPS)
ew Decorot|on:

MCD mcrkeI |eccer:hip i: iI: cLi|iIy Ic :ucce::fu||y inncvcIe cnc :Icnccrcize prccucI
cnc prcce:: Iechnc|cgie:.
ln 200 MCD inIrccucec Fcrever ycung" Lrcnc Ly rece:igning c|| cf Iheir re:IcurcnI: in
which MCD ye||cw cnc rec cc|cr cre rep|ccec gc|cen cnc Ierrc ccIIc.
Fe:IcurcnI: were hcving |e:: p|c:Iic cnc mcre Lrick cnc wccc cnc mccern hcnging
|ighI: Ic pcrIrcy :cfIer |cck.
New re:IcurcnI: cffer Ihree new fecIure: Linger Zcne", GrcL cnc Gc" cnc F|exiL|e".
Lego| Co||enges:
c. ln /pri| 2007, fcu|Iec in chinc fcr uncerpcying :IucenI: hcwever |cIIer cn Leing
c|ecrec.
L. ln SepI 200, c Cc|ifcrnic mecicc| cccIcr :uec fcr pre:ence cf ccrcincgen: in
chicken menu.
c. ln 2002 vc|unIcri|y cnncuncec recucIicn cf Ircn: fcI ccnIenI: LuI Ly FeL 2003
Ihe :cme wc: ncI Leing ccne, cue Ic which ccmpcny fcce: |cw:uec.
c. DcncIec $7 Mi||icn Ic /mericcn ecrI /::ccicIicn.
e. ln 2004 wc: uncer ccnIrcver:y fcr ci:IriLuIing mec| vcucher:, Lc||ccn: cnc Icy:
Ic :ick chi|cren: in UK.
f. ln 2002 in lncic when incu VegeIcricn: :uec fcr mi:repre:enIing French frie: c:
vegeIcricn.
g. ln NcvemLer 200 ccmpcny cnncunce: Ic :wiIch Sun f|cwer ci| Ly 2008.
Future D|rect|on:
c. ln 200 8CD cpprcvec Divicenc cf $1.2 Li||icn Ic iI: :Icke hc|cer:.
L. lncrec:e in Divicenc every yecr :ince iI: fir:I civicenc in 17.
c. Ccmpcny expecI Ic reIurn $10Li||icn Ic :hcrehc|cer in 200.