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McDonald's Announces Management Changes & Promotions

Jul 15, 2004

McDonald's (NYSE: MCD) President and Chief Executive Officer Charlie Bell today announced key management changes and promotions.

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"Vice Chairman Jim Skinner and I have been working on how to best align the McDonald's system as we focus on continued performance and capitalize on our deep bench of worldwide management talent," said Bell.

  McDonald's announced the following:
  -- Jim Skinner, McDonald's Vice Chairman, will assume management oversight
     of Asia, the Middle East and Africa (AMEA), and Latin America, in
     addition to overseeing several important corporate staff functions.
     Marvin Whaley, President, AMEA, and Jose Armario, President, Latin
     America, will report to Jim.
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"We are extremely fortunate to be able to tap into Jim Skinner's extraordinary leadership, vast experience, and proven track record in operations as he takes on this broader role within McDonald's," said Bell. "Our revitalization progress has been aided immeasurably by Jim's strategic vision for McDonald's, and his steady hand on the wheel. Since the beginning of 2004, when he was given oversight responsibility for Japan, Jim and the management team there have delivered encouraging, positive business trends in our largest market outside the U.S."

  -- Mike Roberts, in recognition of the revitalization of the U.S.
     business, has been promoted to Chief Executive Officer, McDonald's USA.
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"During the past two years, Mike has led a remarkable revitalization of our U.S. business," Bell said. "The momentum we are enjoying now is in large part due to the strong alignment among U.S. Owner/Operators, suppliers, U.S. leadership and corporate leadership. This is a true testament to Mike's leadership skills and his commitment to Brand McDonald's. Mike and his team remain focused and passionate about our Plan to Win, and the results we have attained in the U.S. speak volumes to their effectiveness. Mike and I have worked closely together during the past 18 months and I look forward to continuing this great partnership for many years to come as we further the revitalization of our U.S. business."

  -- Ralph Alvarez has been promoted to President, McDonald's USA. He will
     continue to report to Mike Roberts.
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"As Chief Operations Officer, Ralph has been instrumental in driving the U.S. business results and I'm confident he will continue his great track record in this new position," Bell said. "Ralph Alvarez is the perfect person to continue driving continuous improvement in our restaurant operations as an essential ingredient of the U.S. Plan to Win. Ralph's focus on all aspects of our restaurants has significantly improved quality, service, cleanliness and profitability throughout our U.S. system. His relentless pursuit of operational excellence will ensure that we continue to improve the customer experience in our restaurants so that McDonald's stands above all of the competition."

  -- Matthew Paull has been promoted to Senior Executive Vice President and
     Chief Financial Officer.  In his new position, he will also be
     responsible for Corporate Strategy.
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"Matthew designed and implemented the restoration of financial discipline at McDonald's, an essential platform for the success of our Plan to Win," said Bell. "As a result of those efforts, two independent credit rating agencies have recently upgraded McDonald's outlook. In his role as Chief Financial Officer, Matthew also has been a key advisor and demonstrated his importance as a long-time strategic partner in the business. Because of his experience, I know that our corporate strategy function will continue to grow and evolve under his leadership."

Jim Skinner - Vice Chairman

Jim Skinner is vice chairman of McDonald's Corporation. His responsibilities as vice chairman have been expanded to include management oversight of Asia, the Middle East and Africa (AMEA), and Latin America, in addition to overseeing all corporate staff functions.

Since the beginning of 2004, he had assumed responsibility for McDonald's Japan Limited, McDonald's second-largest market with almost 4,000 restaurants.

Skinner held numerous leadership positions in his tenure with the corporation. Before his most promotion to vice chairman, he served as president and chief operating officer of the McDonald's Restaurant Group, with operating accountability for the company's more than 30,000 McDonald's restaurants in 118 countries.

Prior to that, Skinner served as president and chief operating officer of McDonald's - Europe/Asia/Pacific and Middle East, with management responsibilities for the nearly 12,500 restaurants operating in those geographic sectors.

From 1997 to 2001, Skinner was president of McDonald's Europe. Before that, he was executive vice president and international relationship partner for Central Europe, Middle East, Africa, and India from 1995 to 1997.

He joined McDonald's International management team in 1992 as senior vice president and relationship partner, overseeing McDonald's development in Central Europe, the Middle East, Africa, and India.

Skinner began his career with McDonald's in 1971 as a restaurant manager trainee in Carpentersville, IL. He advanced quickly and held numerous positions in the U.S. company, including director of field operations, market manager, regional vice president and U.S. senior vice president/zone manager.

In addition, he has twice served as an advisory director to McDonald's Corporation's board of directors and currently serves on the board of Ronald McDonald House Charities.

        Michael Roberts, Chief Executive Officer - McDonald's USA

  Mike Roberts has been promoted to Chief Executive Officer, McDonald's USA.

During the past two years, Roberts has served as president of McDonald's USA. where he was responsible for the company's more than 13,000 restaurants in the United States.

Prior to leading McDonald's USA, Roberts served as president, West Division, for McDonald's USA, responsible for more than 2,500 McDonald's restaurants in the Western United States.

Roberts began his career with McDonald's as a regional purchasing manager in 1977. He became assistant vice president of U.S. purchasing in 1983. In 1987, he joined the operations department, and in 1989, was named assistant vice president, district manager in McDonald's Los Angeles Region, a position he held until he was named vice president in supply chain management in 1990.

In 1995, he was named regional vice president for the Chicago North Region. The next year, he served as vice president of field operations and was then promoted to zone manager.

He has served as an advisory director to McDonald's board of directors and as a board member to several children's charitable organizations.

A native of Chicago, Roberts received his bachelor's degree in sociology from Loyola University of Chicago.

               Ralph Alvarez is President - McDonald's USA

  Ralph Alvarez has been promoted to president, McDonald's USA.

Most recently, Alvarez served as the chief operations officer, for McDonald's USA.

Prior to this position, he was president, Central Division, for McDonald's USA, where he was responsible for nearly 4,300 restaurants in the central United States.

Previously, he served as president of McDonald's Mexico. Prior to that, Alvarez served as regional director for Chipotle Mexican Grill, one of McDonald's Partner Brands.

Before his role at Chipotle, Alvarez worked as regional vice president for the Sacramento Region.

Alvarez joined McDonald's in 1994 after a lengthy career in the quick service restaurant industry working for Burger King Corporation and Wendy's International, Inc.

From 1977 to 1989, Alvarez worked for Burger King where he held a variety of positions including managing director of Burger King Spain, president of Burger King Canada, and regional vice president for the Florida Region.

While at Wendy's from 1990 to 1994, he served as both a corporate vice- president and as the division vice president - Florida.

Alvarez earned a bachelor's degree in business administration from the University of Miami in Florida where he graduated cum laude.

Matthew H. Paull, Senior Executive Vice President, Chief Financial Officer

Matthew H. Paull has been promoted to senior executive vice president and chief financial officer. In his new position, he will also be responsible for Corporate Strategy.

Paull was named senior executive vice president and chief financial officer in 2001. He is responsible for all financial matters of the company and has direct reporting responsibilities for information services, accounting, facilities and systems, tax, treasury and investor relations.

Previously, Paull had been the senior vice president - Finance since 1999. His responsibilities included supervising tax, insurance, and facilities and systems departments. He was an advisory director on the McDonald's Board from 1999 to 2000 and sits on the Chairman's Council. He sat on the McDonald's Japan Board from 2002-2003.

Prior to joining McDonald's in 1993, Paull was a partner at Ernst & Young where he managed a variety of financial practices during his 18-year career there. His practice included consulting with many large multinational corporations.

He was a board member of the Loyola Ronald McDonald House. Through his family, he is involved with the Kohl Children's Museum and the Chicago Symphony Orchestra. Paull is also a trustee for Ravinia and an advisory council member for the Federal Reserve Bank of Chicago.

Paull earned his Bachelor of Arts degree and his Master's degree in accounting at the University of Illinois.

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SOURCE: McDonald's Corporation

CONTACT: Investors, Mary Healy, +1-630-623-6429, Media, Walt Riker,
+1-630-623-7318, or Anna Rozenich, +1-630-623-7316, all of McDonald's

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