IR Under the Arches NIRI-Chicago Visit to McDonald’s Mary Kay Shaw Vice President LC11774

McDonald’s Well-known global brand –Market cap: $44 billion –31,000 McDonald’s –118 countries –75% franchised –50 million customers every day

2005 Revenues

McDonald’s Customer-focused Plan to Win –5 Ps: People, Product, Place, Price & Promotion –Global strategy –Local approach IR follows major markets –Constant media attention Analysts as experts

IR Mission Champion the optimum, fair valuation of the Company and our brand within the investment community. Operate and be viewed as a “premier” Investor Relations Department

Primary Accountabilities Influencing investor perceptions Advising management of investors’ perspectives Servicing shareholders People development

Influencing Perceptions 950,000 retail investors hold 20% of stock 1,300 institutions hold 80% of stock SSA coverage: 18 analysts Outperform12 Market perform (or no rating) 6

Influencing Perceptions Financial press releases –Monthly sales –Quarterly earnings release & conference call/webcast Remarks Management on call/webcast Q&A support –Other releases

Earning Guidance Practice Do not provide EPS guidance Shape expectations through: –Monthly sales and quarterly earnings releases –Provide guidance on Restaurant openings & Capex S,G&A trends Sensitivity of EPS to changes in comparable sales and FX Cash returned to shareholders Guidance practice has had no impact on coverage, volatility or liquidity

Analyst Meetings Participate in conferences annually Analyst day –Host every 1 to 2 years Investor meetings/calls –90 meetings, 800+ calls

Other Communication Efforts McTrip –Tour of operations in international markets Summary annual report & financials –Brand communication Retail program –Currently evaluating Website

Targeting –Style –Holdings –Investment potential Market surveillance

Investor Perceptions Perception Studies –Periodically shared with management & board First Call –Post-event summaries Competitive Analysis –YUM, Wendy’s & BK

Servicing Investors Transfer Agent (ComputerShare) –Active involvement in Advisory Board and Corporate Transfer Agent Association IR Service Team MCDirect Shares – Direct Stock Purchase Plan –60% participation level

Management Perspective on IR Matthew Paull CFO

IR Under the Arches Q&A

Join Us for the Networking Mixer The Lodge Prairie Lobby (across street – up the hill – in front lobby)