McDonald's™ Introduces New McKids™ Multi-Category, Worldwide Licensing Program

McDonald's Corporation (NYSE: MCD) today announced plans to introduce a major new multi-category licensing initiative called "McKids." The new McKids retail line will feature top quality, action-oriented toys, casual contemporary clothing, interactive videos and books, all reflecting today's active lifestyles. It is one more strategic element in the company's ongoing revitalization plan that has helped usher in a new era of marketing at McDonald's.

"The business potential for McKids is tremendous," said Larry Light, McDonald's global chief marketing officer. "It will unify all our retail licensed products under one brand, with one brand look and one brand vision. It exemplifies the kind of new thinking, focus and bold action that is redefining McDonald's. It's all about connecting with consumers in fresh, relevant ways both inside and outside our restaurants."

The McKids toy line will expand on the success of the current portfolio of popular retail toys like the McFlurry Maker, (SpinMaster) named one of the Top 10 new toys at Toy Fair 2003 by USA Today, and expected to be one of the hottest selling items this holiday season at retail locations including Wal- Mart, Toys R Us and Target.

The new McKids brand will be introduced beginning in Spring 2004 in the U.S., Canada, Mexico, Japan, China, Australia, Korea and Taiwan, with additional countries to follow.

  The McKids line of products includes:

  Toy Line

The McKids toy line extends current offerings from role play toys and games to new active and creative play experiences. McDonald's currently has license agreements with many leading toy and game licensees, including Creative Designs, Hasbro, Mattel, Patch Products and SpinMaster.

Clothing/Footwear/Accessory

The McKids Apparel line will offer high quality fabrics and materials, great value, and casual styles that kids and their parents will appreciate. Clothing is created to endure, and will feature classic styles that parents can rely on season after season.

Video/DVD/Music

The McKids entertainment series provides an energetic, engaging and fun experience for children. Unlike typical videos for children that are more passive, the McKids Video series will get kids on their feet to join in the action. Fueled with contemporary, hip music and hosted by Ronald McDonald™, each 30 minute live action show will take kids on interactive adventures, interspersed with energetic music videos. Kids may learn about teamwork in a participatory soccer segment, or experience the galaxy as they magically zoom through space. They will also learn about children who live in different parts of the world.

Books

The McKids Books Series introduces a new line of interactive books to engage, entertain, educate and enlighten kids. The books teach and encourage kids to be creative, and make reading and learning fun.

"McKids is a powerful example of how our new Brand direction is driving change, creativity and opportunities throughout all aspects of our business," said Light.

McDonald's is the world's leading food service retailer with more than 30,000 local McDonald's restaurants serving 47 million customers each day in more than 100 countries. More than 80 percent of McDonald's restaurants around the world are owned and operated by independent, local businessmen and women.

McKids is a new active lifestyle brand for kids featuring apparel, footwear, toys, games, videos/DVD, music, books and other fun products with the quality and value parents expect from McDonald's. The new McKids brand will be introduced beginning in Spring 2004 in the U.S., Canada, Mexico, Japan, China, Australia, Korea and Taiwan, with additional countries to follow.

Photo: NewsCom: http://www.newscom.com/cgi-bin/prnh/19990916/MCDLOGO
AP Archive: http://photoarchive.ap.org/
PRN Photo Desk, photodesk@prnewswire.com

SOURCE: McDonald's Corporation

CONTACT: Lisa Howard of McDonald's, +1-630-623-5044, or Beth Engelmann
of Golin-Harris, +1-312-729-4121

Web site: http://www.mcdonalds.com/