December 6, 2007

What McDonald's Real Estate?

Shareholder Bill Ackman has sold his huge interest in
McDonald's. What isn't being covered by the press is that
Ackman was originally interested in the McDonald's real
estate empire but he eventually got educdated to the fact
that McDonald's doesn't own as much of the real estate as
investors think.

Once an investor learns about System Capital Corporation
they lose interest in that side of the McDonald's equation.

Crain's Article HERE

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November 28, 2007

Want a More Independent Co-Op?

Secret Ballot is the key. Secret Ballots
may be the answer to the continuing tactics
forcing Operators into major reinvestment
programs by Co-Op votes.


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November 13, 2007

Thompson Comes Clean on CBI Costs

"We want to move from beverage as an accompaniment
to beverages as a destination, said Don Thompson,
president of McDonald's USA.

Well that's a nice goal but it's a "vision" or a
"dream" it's not a business plan and not a business
case.

Thompson goes on to admit that the Operators will
likely spend $100,000 a store for the roll out.


Article from Chicago Tribune

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November 4, 2007

Some History - Franchise Equity Group

Here's a 2003 article from Nation's Restaurant News
about franchise consulting that details Jim Johnaseen's
response to my claim that McDonald's screws down the selling
price when an Operator is leaving the McDonald's system.

He repeats the statment (from 1986): "McDonald's has made more
millionaires than any other business".

What's that go to do with anything? That doesn't justify
aggressively devaluing stores.

If an Operator has $5 Million in equity and they walk with
$1.5 Million that doesn't make it right.

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September 27, 2007

McDonald's Stock Drops Following Moody's Downgrade


The rating folks are concerned that all the money going to
shareholders will mean more debt for McDonald's Corporation -
to say nothing of the Owner/Operators!

Moody's Article is HERE

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September 1, 2007

Latest E-mail

Franchise Equity Group recently distributed an
E-mail about "Operator Only" Meetings.

If you are a McDonald's franchisee and feel you
deserve a copy of such an E-mail please send a
message to:

adams@fegroup.com

Note: We do not respond to messages from the
"partners" system.

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August 23, 2007

McDonald's "Operator Only" Meeting

Operators would be wise to pursue a copy of the notes
from a large "Operator Only" meeting held in the
Southern California Region on August 18th.

A copy was sent to all SoCal Operators on August 19th
using the corporate E-mail system.

Contact your friendly Southern California Owner/Operator
to obtain a copy of these meeting notes.

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August 18, 2007

McDonald's should be more like Sonic

If you want to visit the McDonald's menu of the future
you can find it at your local Sonic Drive-In. You'll find an
insanely complicated menu, dog slow service, and what
might be the worst food in the industry.

Every time I've examined Sonic food I am left with the
impression that the manager just runs down to the
local Costco or Sam's Club and buys their supplies.
The food is very generic.

There is nothing that should be emulated about Sonic
but it sure looks like where McDonald's is headed.


Marketing Daily article is HERE

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August 14, 2007

Selling McDonald's Stores

Once you've told the corporate folks that
your stores are for sale it's certainly
appropriate to use the "partners" E-mail
system to let other Operators know
about the available opportunity.

But - in your message include a different
E-mail address for interested parties to
use when responding.

You do not want to have discussions about
the sale of your stores on the proprietary
McDonald's E-mail system.

If you don't have another address a free
account can be obtained at Gmail, Hotmail,
AOL, etc.

Questions about selling or pricing McDonald's
stores can be directed to:

adams@fegroup.com
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Head of McDonald's Hong Kong arrested for alleged bribery

He learned it in the USA but was sloppy about doing the same thing in Hong Kong.

ChiTrib article is HERE

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August 11, 2007

Bad News Turns to Good P.R.

While the controversy about Oak Brook signing
a rapper who uses less than family friendly lyrics
initially looked like bad press the resulting press
coverage made brand McDonald's look like the
good guy.

Such as in the followings article:

BBC News

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