SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): September 28, 1998
McDONALD'S CORPORATION
(Exact name of Registrant as specified in its Charter)
Delaware 1-5231 36-2361282
(State of Incorporation) (Commission File No.) (IRS Employer
Identification No.)
One McDonald's Plaza
Oak Brook, Illinois 60523
(630) 623-3000
(Address and Phone Number of Principal Executive Offices)
Item 7. Financial Statements, Pro Forma Financial Information and
Exhibits
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(c) Exhibit
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(99) Press Release dated September 28, 1998 -- McDonald's Increases
Common Stock Buyback to $3.5 Billion - 75% Greater Than
Previous Program.
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
McDONALD'S CORPORATION
(Registrant)
By: /s/ Gloria Santona
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Gloria Santona
Vice President, Deputy General Counsel
and Secretary
Exhibit 99
Investor Release
FOR IMMEDIATE RELEASE FOR MORE INFORMATION CONTACT:
09/28/98 Investors: Mary Healy, 630-623-6429
Media: Chuck Ebeling, 630-623-6150
McDONALD'S INCREASES COMMON STOCK BUYBACK
TO $3.5 BILLION - 75% GREATER THAN PREVIOUS PROGRAM
OAK BROOK, IL -- McDonald's Corporation announced today that it
plans to purchase $3.5 billion of its common stock by year-end 2001.
This repurchase program amount is 75 percent larger than McDonald's
previous $2 billion, three-year program which was completed ahead of
schedule last month.
Jack M. Greenberg, McDonald's President and Chief Executive Officer
said, "We believe that common share repurchase is an excellent means of
providing shareholder value. And McDonald's has repurchased 152 million
shares of common stock for approximately $4.8 billion over the past
10 years. Because we believe that McDonald's stock price has been
particularly attractive recently, we have already purchased nearly $300
million of stock under the new program.
"We expect to fund this three-year share repurchase program largely
from free cash flow, while maintaining a strong credit rating and a
growing equity base to support future growth. The strength of the
Company's global business and growing cash flow allows us to increase
share repurchase and continue with plans for opening about 2,000
restaurants per year, over the next several years. Our fundamentals are
strong and we expect to meet investors' expectations for the third
quarter," Greenberg added.
FORWARD-LOOKING STATEMENTS
Certain forward-looking statements are included in this report. They use
such words as "may," "will," "expect," "believe," "plan" and other
similar terminology. These statements reflect management's current
expectations and involve a number of risks and uncertainties. Actual
results could differ materially due to the success of operating
initiatives and advertising and promotional efforts and changes in:
global and local business and economic conditions; currency exchange and
interest rates; food, labor and other operating costs; political or
economic instability in local markets; competition; consumer preferences,
spending patterns and demographic trends; availability and cost of land
and construction; legislation and government regulation; and accounting
policies and practices.
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