Accessibility/Mobile Features
Skip Navigation
Skip to Content
Editorial News
Business
Classified Sites

The Canadian Press - ONLINE EDITION

McDonald's US sales slip in May; global sales lifted by stronger performance in China

Residents walk by a McDonald's restaurant in an area off limits to foreign journalists, in Beijing, China, March 1, 2011.THE CANADIAN PRESS/AP, Ng Han Guan

Enlarge Image

Residents walk by a McDonald's restaurant in an area off limits to foreign journalists, in Beijing, China, March 1, 2011.THE CANADIAN PRESS/AP, Ng Han Guan

OAK BROOK, Ill. - McDonald's says a key sales metric slipped again in the U.S. as it faced "ongoing broad-based challenges" in May.

The world's largest hamburger chain said U.S. sales declined 1 per cent at locations open at least 14 months. The fast-food chain has been struggling to boost sales amid heightened competition and changing eating habits. Many of its core customers are also struggling financially, which has forced McDonald's to intensify its focus on value.

Executives at McDonald's have also conceded that the chain introduced too many items too quickly last year, which led to slower service and inaccurate orders. CEO Don Thompson has said the company is working with franchisees to address those problems, in part by ensuring restaurants have appropriate staffing.

The decline in the U.S. comes after a 1.7 per cent drop for the first three months of the year. And last year, sales at established U.S. locations slipped 0.2 per cent.

Overseas, a rebound in China after last year's worries about avian flu helped lift sales by 2.5 per cent in its Asia, Middle East and Africa division. That in turn lifted global sales 0.9 per cent for May.

In Europe, McDonald's largest market, the sales figure rose 0.4 per cent, boosted by improvements in the United Kingdom and France. An expanded beverage business was among the factors behind the improvements.

McDonald's Corp., based in Oak Brook, Illinois, has more than 35,000 locations around the world. Its shares slipped 19 cents to $101.77 in premarket trading Monday. Its shares are up more than 5 per cent so far this year.

  • Rate this Rate This Star Icon
  • This article has not yet been rated.
  • We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high. If you thought it was well written, do the same. If it doesn’t meet your standards, mark it accordingly.

    You can also register and/or login to the site and join the conversation by leaving a comment.

    Rate it yourself by rolling over the stars and clicking when you reach your desired rating. We want you to tell us what you think of our articles. If the story moves you, compels you to act or tells you something you didn’t know, mark it high.

Sort by: Newest to Oldest | Oldest to Newest | Most Popular 0 Commentscomment icon

You can comment on most stories on brandonsun.com. You can also agree or disagree with other comments. All you need to do is register and/or login and you can join the conversation and give your feedback.

There are no comments at the moment. Be the first to post a comment below.

Post Your Commentcomment icon

Comment
  • You have characters left

The Brandon Sun does not necessarily endorse any of the views posted. Comments are moderated before publication. By submitting your comment, you agree to our Terms and Conditions. New to commenting? Check out our Frequently Asked Questions.

letters

Make text: Larger | Smaller

Brandon Sun Business Directory
Sudden Surge: Flood of 2014
Opportunity Magazine — The Bakken
Why Not Minot?
Welcome to Winnipeg

Social Media

Canadian Mortgage Rates