UK


HISTORY
OPERATIONS
Resturants
Recruitment and Employment
Food Consumption/Suppliers
Health and Safety

MANAGEMENT STRUCTURE
UK FINANCIAL PERFORMANCE
CORPORATE INVESTMENT RECORD
UK RESTAURANT AND STAFF DEVELOPMENT



HISTORY
1973
McDonald's Golden Arches Restaurants Limited founded in
UK as a joint venture partnership between the McDonald's
Corporation and two businessmen; one British, one
American.


1974 First restaurant opened in Woolwich, South East London in
October. The Head Office was sited in Hampstead, North
London.


1975 Broadcast advertising appeared in UK cinemas.

1976 McDonald's first TV advertisement was broadcast.

1982 Breakfast was introduced to the British menu.

1983 The McDonald's Corporation became sole owners of
McDonald's in the UK. The Company is named McDonald's
Hamburgers Limited.
The one hundredth restaurant opened in Market Street,
Manchester.


1986 Drive-Thru restaurants opened in Fallowfield, Dudley,
Neasden and Coventry.
The two hundredth restaurant opened in lpswich.
The first franchisee operated restaurant opened in Hayes,
Middlesex.
McDonald's became the first UK restaurant group to
introduce nutritional information, throughout the country, for
the benefit of customers.


1987 The Midlands regional training centre opened in Sutton
Coldfield.


1988 McDonald's sponsored the Child of Achievement Awards.
CFCs ceased to be used in all McDonald's foam packaging.
Three hundredth restaurant opened in Dagenham, Essex.


1989 The company's name changed to McDonald's Restaurants
Limited.
McDonald's charity for child welfare fundraising, Ronald
McDonald Children's Charities, was registered.
McDonald's Child of Achievement Awards presented by
Prime Minister Mrs Margaret Thatcher.
The Manchester regional training centre opened.


1990 McDonald's opened at a UK airport at North Terminal,
Gatwick.
The first Ronald McDonald House opened at Guy's Hospital,
London.
McDonald's Child of Achievement Awards attended by Her
Royal Highness, The Princess of Wales.


1991 The four hundredth restaurant and first in Northern Ireland is
opened in Belfast.


1992 McDonald's Child of Achievement Awards attended by Prime
Minister John Major.
McDonald's opened in a railway station at Liverpool Street,
London and in a hospital at Guy's,'London.


1993 The second Ronald McDonald House opened at Alder Hey
Children's Hospital, Liverpool.
500th restaurant opened in Notting Hill Gate, London.
First UK operated restaurant on a ship opened on the Stena
Sealink ferry "Fantasia" sailing between Dover and Calais.
McDonald's sponsored athletics in the UK through the
McDonald's Young Athletes' League and the International
invitational meeting the McDonald's Games.


1994 McDonald's celebrated twenty years of operating in the UK.
McDonald's raised Pl.1 million for RMCC's'Big Smile'
Appeal to support children's causes.
McDonald's restaurants opened in Childrens World retail
outlets at Croydon, Edmonton and Thurrock.
McDonald's achieved the highest ever grade under the
Royal Society for the Prevention of Accidents (RoSPA)
Quality Safety Audit scheme.
McDonald's was voted the 'Most Parent Friendly' restaurant
in the UK for the second successive year by the Tommy's
Parent Friendly Campaign, supported by the Daily
Telegraph.


OPERATIONS
RESTAURANTS
[]By end 1994, 577 restaurants were operating in the UK.

[]59% of all restaurants are freehold or very long leasehold.

RECRUITMENT AND EMPLOYMENT
[]By end 1994, McDonald's employed 33,070 members of staff:
30,586 restaurant crew, 1,994 restaurant management and 490
office staff. At least 5,000 more are employed by McDonald's
franchisees.


[]Payroll and related costs for company operated restaurants to
the end of 1994 were: Crew - P-100.5 million, Management -
31.7 million and staff 16.8 million. This represents a total
payroll budget of 149 million.


[]McDonald's is an equal opportunities employer. Crew ratio
between male and female is 52:48.


[]64.55% of employees are between 16 and 20 years.

[]With an average of 50 new restaurants opening annually,
McDonald's is creating 3,250 new jobs a year.

[]McDonald's Management Training and Development Programme
takes a new recruit from Trainee Manager to Restaurant
Manager. This consists of on-the-job training, open learning
development programmes and videos backed up with courses
and seminars at the company's three regional training centres.


[]There is a Junior Business Management Programme for
18 year olds with A levels.


[]Education and book grants are available to employees to
encourage further study and career development.


[]By the end of 1994, more than 60,000 employees had received
off-the-job training at McDonald's three UK regional training
centres.


FOOD CONSUMPTION/SUPPLIERS
[]Food and beverage is provided for over 1.2 million people per
day in the UK.


[]In 1994, 241 million customer transactions were completed
(each transaction accounts, on average, for two meals) with an
average spend of 2.99 per customer.


[]Expenditure on food and non-food items in 1994 was 245 million.

[]The 1994 food expenditure in the UK was 220 million.

[]McDonald's menu concentrates on five main products: beef,
chicken, bread, potatoes and milk which account for 151 million
(69%) of all food expenditure.


[]In 1994, McDonald's customers in the UK consumed: 245 million
of beef, 28 million of chicken products, 42,000 tonnes of
MacFries, 335 million buns and 5.5 million gallons of milk.


[]To support the McDonald's system, 6,000 companies service
McDonald's throughout the UK. The main suppliers are: McKey
Food Service (beef), Golden West Foods Limited (buns and
distribution) and Sun Valley Poultry (chicken).


[]In order to be able to supply the necessary quality and quantity
of products, our suppliers have made substantial investment
on McDonald's behalf. For instance, six new food factories
have been opened over the last six years at a cost in excess
of 33 million.


HEALTH AND SAFETY
[]All restaurants comply with relevant Building and Health and
Safety Regulations.


[]Should an incident occur in a restaurant, staff have the
necessary training to offer first aid. Company Accident
Investigating Guidelines require the manager to document the
incident and, where appropriate, carry out an investigation. The
Health and Safety Department closely monitors all such matters.


[]McDonald's has a continuing commitment to meet the highest
safety standards. In 1994, the company achieved the highest
award level ever awarded under the ROSPA Quality Safety Audit
scheme. The QSA encompasses all industries and measures
management commitment and action towards continued
improvement of health and safety.





McDONALD'S SENIOR MANAGEMENT
PAUL PRESTON
Chief Executive Officer
        +--------------+---------------+--------------+------------+
        |              |               |              |            |
     Andrew         Marcus          Terence           Ed         Philip 
     Taylor         Hewson          Haynes          Oakley       Cobden
        |              |               |              |            |
   Operations      Marketing        Finance      Purchasing   Property
 Field Services   Franchising     Information      Quality   Construction/
 Training/Ops-     Charities       Services       Assurance     Design
  Development      Security                     Communications Facilities
Human Resources                                                Local Govt.


McDONALD'S CORPORATE INVESTMENT RECORD
All amounts in 000s
19901991199219931994
New Restaurants4350424957
Company owned441,113471,486520,376567,821594,955
restaurant sales
Franchised owned28,02743,55157,79383,030125,080
restaurant sales
Systemwide sales469,140515,037578,169650,851720,035
Annual Capital117,31694,80964,72968,53767,461
Investment Growth
Annual Marketing30,34434,69237,29240,98444,324
Investment
Gross Profit63,16162,89265,48875,42280,428
Profit after tax11,72610,1308,47820,04626,952

UK RESTAURANT AND STAFF DEVELOPMENT

SalesRestaurantStaff
mDevelopmentEmployed
19740.025172
19750.6934288
19763.07504
19776.610720
197814.0251,800
197926.0382,736
198040.0573,278
198151.0684,371
198267.0966,171
198388.01338,549
1984112.016510,606
1985149.019712,663
1986194.023114,849
1987257.026216,841
1988318.530319,477
1989380.033821,727
1990441.038124,491
1991515.043027,705
1992578.047231,373
1993650.852131,589
1994720.057733,070


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