Transactions - It was surprising to hear Oak Brook discuss the fact they've lost 500
million customers since 2012. Why would a company so focused on big brother McSpin
and non-transparency toss around such numbers?
1) This move blames everything on their predecessors, "look at the mess we inherited".
When they wear out that transference they'll start blaming everything on the Operators.
2) While these executives don't know anything about restaurants or McDonald's they are probably aware that a chain can only go down so far (except for Sears) so there's a good
chance McDonald's USA will turn positive in 2017 or 2018. Then, if they are still around,
this management team can take all the credit.
Can't tell the players without a scorecard - Because I have no connection to these people
I ignore them when they come and go. It's been a blur over the past ten years.
This week I kept coming across the name "Lucy Brady", who's that? She's McDonald's new
chief strategy officer. She's been with corporate a total of six months. That's right, 180
Capex - Management is telling investors their capital expenditures will be reduced after
2017. There are many components to Capex but one reason it will be reduced is in a
few years there will be less small Operators who can't keep up with reinvestment and McDonald's will be unwilling to help the larger Operators.