The American fast-food chain, McDonald’s, announces that it will open 1,000 new restaurants this year. This largest global fast-food producer also highlights that its earnings fell in the last quarter of last year to $985 million compared to $1.2 billion in the same period of 2007.
The annual revenue of this giant dropped from $5.75 billion to $5.57 billion due to the strengthening of the U.S. dollar, although revenues in countries outside the United States increased by 7.2%. Announcing the opening of new restaurants, CEO Jim Skinner stated that his company plans to invest $2.1 billion in building new restaurants and renovating existing ones. Despite the rise in the prices of beef, cheese, and other key ingredients for this company’s business, senior officials at McDonald’s emphasize that they have experienced an 8% decrease in production costs. The increase in sales at McDonald’s, despite the global recession, was primarily due to the low prices of their products and the ubiquity of their restaurants. Representatives of the company highlight that there has been an increase in sales worldwide, with a recorded sales increase of 5% in the U.S., 7.6% in Europe, and as much as 10% in Asia, the Middle East, and Africa. (T.Vi.)
