Current Financial Problems
 
McDonald's stock price on NYSE (1998-2003)
(chart courtesy of CNN Money) 
 
 
  • Financial problems due in part to weak economy and increased competition
  • Worldwide protest over the company's omnipresent and nutritionally troubling food have added to McDonald's problems
  • In the process of closing more than 700 underperforming stores
  • December 5, 2002, CEO Jack Greenberg resigned after failing to reverse a profit slide
  • In 2002, the company lost more than $20 billion in market cap
  • Former head of McDonald's international relations James Cantalupo replaced Greenberg as CEO in January of 2003
  • January 2003, McDonald's Corporation announced first-ever quarterly loss ($343.8 million) since becoming a public company in 1965
  • February 2003, McDonald's stocks fell to an eight-year low (from nearly $50 in 1999 to less than $14)
  • March 2003 represented 13th consecutive month of declining sales
 
Additional Information:
 
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