2. 3
Salvador, Bahía, September 15, 2009
As we complete 24 months of dedicated efforts toward building the brand and the value of Arcos Dorados, we
wish to bring you the latest results of this important part of our work, while we continue to improve brand
activities and reputation-measuring tools. One of this quarter’s highlights is the definition of Arcos Dorados’
Mission, Vision and Values, resulting from internal discussions led by the Human Resources department.
These discussions were instrumental in identifying our company’s culture and future goals: to double the
company’s value and expand our leadership in each of our markets by 2014.
Another important accomplishment has been the consistent recognition of Arcos Dorados as a great company to
work for, in terms of employee retention, preference by talented professionals and depth of management. Just
last month we were selected as one of the 100 Best Companies to Work for (Great Place to Work 2009) in
Brazil for the 11th consecutive year, and placed among the top 20 for executives.
Additionally, we continue to promote our commitment to sustainability. We inaugurated our first ecological
restaurant in Central America, in Lindora, Costa Rica. This is our second ecological restaurant, launched on the
heels of the opening in Bertioga, Brazil in December 2008.
This quarter we signed a self-regulatory pledge in Brazil--which we made public-- on how to advertise to
children under 12 years of age, along with the ABA (Associação Brasileira de Anunciantes), ABIA (Associação
Brasileira da Indústria de Alimentação) and a set of other food and beverage companies. This action, taken in
Brazil since it’s the country that has been most critical of this issue, reinforced the leadership of the McDonald’s
brand in responsible marketing.
The ongoing presence and bond generated with the communities where we do business is crucial to good local
relationships. Fostering and maintaining a close relationship with members of each of the communities where we
operate, as well as raising awareness of its importance and relevance among employees and partners is,
undoubtedly, our common goal. To that effect, the McHappy Day is a very special occasion for Arcos Dorados,
as it’s one of the largest and most awaited charitable events for everyone. The success that this campaign has
enjoyed in Brazil, where we sold over half a million Big Macs in one day, this year alone, constantly raises the
bar, encouraging us to increase our efforts and setting it as a benchmark for the rest of the region.
I hope that these pages will allow you to see how Arcos Dorados continues to increase the gap between us and
our competitors: reinforcing our leadership position and standing as a socially responsible company.
Happy reading!
Flávia Vígio
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3. 4
CORPORATE CULTURE BUILDING NOW IN THE WORKS
We firmly believe that a company’s reputation is built from the inside out. With that in mind, for the past nine months we have been
working diligently to identify those key drivers that will define our culture, build our identity and guide our organization through the future.
As a result, we have defined our Mission, Vision and Values, and have started its roll-out.
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4. 5
In order to put our mission into practice on a daily basis, we have identified a series of Values that
strengthen the actions we were already implementing:
WE PROVIDE OUR CUSTOMERS WITH QUALITY, SERVICE
AND CLEANLINESS
• We delight our customers by making every visit to our
restaurants a “unique” experience. We fulfill our Quality,
Service and Cleanliness promise by offering a superior
service, an innovative menu and a pleasant and attractive
environment.
• We strengthen our value proposition and we are present in
each of the places where our customers are, bringing them
a relevant and modern dining experience.
WE FOSTER AN ENTERPRISING SPIRIT
• We encourage individuals and operators to develop and
implement enterprising initiatives within the company.
• We support and encourage passion and innovation in our
day-to-day work, in order to achieve continuous
improvement.
• We want everyone to “feel like an owner” and act accordingly,
by meticulously managing the company’s resources.
WE ARE FIRMLY COMMITTED TO OUR PEOPLE
• We promote a pleasant work environment with opportunities
for professional and personal growth. We respect diversity
and ensure it is reflected in our work teams. We strengthen
the skills and knowledge needed for each discipline through
effective talent management.
• We work together with our employees to foster respect,
responsibility and teamwork, promoting a culture of
meritocracy and excellence.
• We are committed to our operators and suppliers, sharing
with them the company’s best practices. Along with our
employees, they are the ones who help our company
succeed.
WE MAXIMIZE THE PROFITABILITY OF OUR
OPERATIONS
• We develop and grow our business on a sustainable and
financially solid base, maintaining investors’ trust in the
system and in our execution.
• We are conservative and lean in our implementation, and
strongly focused on results. This enables us to evolve
with the constant needs of the system.
• We work to maximize the profitability of our operations.
WE CONDUCT OUR BUSINESS IN AN ETHICAL AND
RESPONSIBLE MANNER
• We conduct our business and actions within an ethical and
fair framework, respecting the laws and regulations of each
market in which we operate.
• We promote mutual respect toward each member of the
system and his or her immediate surroundings, preserving
the present for the sake of the future.
• We pursue a vision of sustainability that mandates that our
actions be financially viable, socially responsible and
environmentally sustainable.
WE CONTRIBUTE TO THE DEVELOPMENT OF THE
COMMUNITIES IN WHICH WE OPERATE
• Our community relations principles direct us to accept our
civic responsibility as a company and assume an active role
in promoting the well being of our employees, our customers
and our neighbors.
• We identify the needs of our surrounding communities and
take concrete actions to provide solutions.
• We support the Ronald McDonald Foundation chapters in
Latin America, expanding the scope of our actions to
benefit children and promote their well being.
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5. 6
By applying those values in our daily work, we firmly believe
we will achieve our Vision for 2014.
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6. 7
I. COMMUNITY RELATIONS 8
Social Projects 8
Community 12
Sustainability 13
II. BRAND REPUTATION 15
III. MEDIA RELATIONS 17
IV. CLIPPING BOOK 26
INDEX
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7. 8
I. COMMUNITY RELATIONS
I. COMMUNITY RELATIONS
1. Social Projects: Ronald McDonald House Charities (RMHC)
During this four-month period we consolidated the company’s
commitment to the community and strengthened its bond with
society. Fundraising activities such as the Gala Dinners in
Chile and Argentina, and the McHappy Day in Brazil,
generated important results and enabled us to continue to
sustain the various Ronald McDonald Houses in the region, as
well as build new spaces to lodge children undergoing cancer
treatment and their families. For example, Costa Rica is
opening its first Ronald McDonald House, and Brazil is
planning to expand its current House next year. In addition, the
Costa Rican Ronald McDonald Children’s Foundation received
the International RMHC “Best Bets” Awards. These actions
reiterate our commitment and solidarity with those in need.
Gala Dinners in Chile and Argentina
Gala Dinners are one of the key fundraising and positioning
events for local RMHC chapters, as they enable not only to raise
funds but also to generate awareness about the Foundations’
Institutes’ and/or Associations’ objectives and actions.
Chile successfully hosted its 2009 Gala Dinner, with over 350
guests and various contributors. Thanks to their support,
construction started at the Second Family Room of the Ronald
McDonald’s Children Foundation. This is another step that gets
Chile closer to achieving its Bicentennial objectives: to build,
prepare and set in motion four new Family Halls by 2010, which
means that 50,000 families were helped in only one year.
Likewise, Argentina hosted its Annual Gala Dinner benefiting the
Ronald McDonald House for its fifteenth consecutive year.
Thanks to everyone’s efforts, we surpassed last year’s numbers.
Fundraising increased by 9% with 800 attendees. For 15 years,
participants have helped over 30,000 Argentinean families find
support in our Houses in Buenos Aires, Mendoza, Cordoba and
the mobile Pediatric Unit. Before year’s end, a new dream will be
realized: the country’s fourth House will be opened within
Garraham Children’s Hospital.
New Ronald McDonald Houses
Each country’s Ronald McDonald Foundation, Institute or
Association works hard to continue to expand support programs,
affirming its commitment to the communities it serves.
The first Ronald McDonald House in Costa Rica, the third in
Central America, broke ground in August of this year. This
announcement comes on the heels of the recent inauguration of
the Ronald McDonald House in Guatemala. This new initiative will
help families whose children are undergoing treatment in the only
National Children’s Hospital in the country, which supported this
Argentina hosted its Annual Gala Dinner, benefiting the Ronald McDonald
House for its fifteenth consecutive year.
In Chile, the construction of a second Family Room began at the Ronald
McDonald’s Children’s Foundation.
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I. COMMUNITY RELATIONS
endeavor by donating the land. Hoping to kick-off construction in
January 2010, aggressive fundraising will be conducted through
the McHappy Day and Gala Dinner events, among other activities.
Guatemala opened a new Ronald McDonald House in July. The
24-bedroom House features solar energy used to heat water,
special lamps to reduce energy consumption by nearly 83% and
clean water treatment.
In Brazil, the Ronald McDonald House will be expanded, with an
estimated investment of R$ 8 million (approximately
US$ 4,279,219), part of which will come from funds raised
during McHappy Day. Thus, starting in 2011, this new endeavor
will enable more people to be helped in Brazil.
Ronald McDonald House Charities International
Recognizes the Costa Rican Ronald McDonald Children’s
Foundation
When commitment to execute proposed actions is apparent,
efforts are recognized. Take the Costa Rican Ronald McDonald
Foundation, which received the “Best Bets” Award in the
REACH category, handed out during the last 2009 RMHC
International Conference in Chicago from August 11th to the
14th of this year.
For its part, the Costa Rican Ronald McDonald Children’s
Foundation was recognized in the local program category for
its “Integrated Wheelchair Program for the Country’s Children
and Teenagers in Need.” This is the second time that the local
RMHC chapter obtains this accolade. In 2005, its “Play and
Learn Room,” located in the Fernando Escalante Pradilla
Hospital, was recognized.
Costa Rica’s RMHC chapter conducted a comprehensive study
that analyzed needs not currently addressed in this country.
The investigation determined that 10% of the Costa Rican
population suffers from a physical or mental disability, with a
large number of children and teenagers having no access to
the appropriate equipment that will help them with mobility and
foster their holistic human development. Working since 2007
with the National Rehabilitation Center, the only hospital that
addresses these type of conditions, the Foundation has
donated more than US$ 245,000 to families in need
throughout the country.
Each year, the “Best Bets” awards, which are aligned with
RMHC Global Plan’s strategies and execution, recognize the
outstanding and innovating efforts of the RMHC network
throughout the world. The Biannual Conference featured
representatives from 30 countries who shared their
experiences and best practices vis-à-vis important issues linked
to non-profit organizations.
The First Hearing Aid Bank in Panama
The creation of the First Hearing Aids Bank, designed by the
Panama Ronald McDonald Children’s Hospital along with the
Fundación Pro Integración in 2006, provides children in need
or with hearing problems the possibility to strengthen their
family bonds, develop their language skills and enjoy access to
education, to ensure a promising future.
Since its implementation, Panama’s Ronald McDonald
Children’s Foundation has provided considerable support to
children suffering from this disability.
Supporting the Mobile Pediatrics Unit Operative in Jujuy,
Argentina
A group of professionals from Austral University Hospital (UPM
for its Spanish-language acronym) traveled in the Ronald
McDonald Mobile Pediatrics Unit to Jujuy, a city in northern
Argentina, offering primary, eye care and dental care attention.
This operative was made possible through a support initiative
organized by the Ronald McDonald House, in conjunction with
the hospital. Additionally, UPM doctors vaccinated those who
needed shots, and taught sanitary education programs.
During the Unit’s stay in Jujuy, 614 consultations and 1,020
services were provided. These actions seek to increase
healthcare awareness in children as well as in parents.
RMHC Costa Rica representatives receiving the “Best Bets” award: Marty
Coyne, President and CEO, with Vanessa Ramírez, manager for the Costa
Rican Ronald McDonald Children’s Foundation.
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I. COMMUNITY RELATIONS
Support for Charity Programs in Mexico
Mexico’s Ronald McDonald Children’s Foundation continues to
participate in charitable actions that involve those who need help
the most. Mexico’s Department of Health and the Department
of Public Education bestowed the “Let’s Continue Learning in
the Hospital” program awards, which seek to help children who
have lengthy hospital stays overcome learning deficiencies.
Ronald entertained the youngest children during and after the
award ceremony, and donated toys to the winners.
On another related topic, Foundation representatives also
attended the unveiling of the “2009-2012 National Program for
the Development of Handicapped Individuals,” an event where
Mexican President Felipe Calderón, was also present.
Both programs demonstrate the Foundation’s strong bond with
the community.
Ongoing Delivery of Hearing Aids in Mexico
With great success, Mexico’s Ronald McDonald Children’s
Foundation continues to support the “Adaptation, Supply and
Rehabilitation of Hearing Alterations in Vulnerable Children’s
Program.” During July, 347 hearing aids were handed out in
16 Mexican cities. This new contribution complements over
20,000 hearing aids that have already been donated
throughout the country since the program’s inception.
Strong Commitment is Evident
The Foundation’s strong bond with the community is evidenced
by the strong volunteering ethic of its teams. Arcos Dorados in
Mexico just kicked off its bi-weekly employee donations
campaign.
Additionally, Arcos Dorados will start a volunteering program in
conjunction with Medtronic Mexico, Scotiabank and northern
Mexico’s Universidad Anáhuac. Volunteer members will visit
Ronald McDonald Houses one Saturday per quarter to help clean
the bedrooms, common areas, play rooms and dining areas.
McHappy Day in Brazil
One of the most important events of the year is McHappy Day.
In Brazil, as in previous years, the launch of the 2009
McHappy Day campaign had a huge impact throughout the
country, as the event boasted participation of a host of
volunteers, in addition to various political, business, arts and
sports personalities, including Brazil’s First Lady, Marisa
Leticia, as well as the vice president’s wife, Dona Mariza
Ronald McDonald’s visit softens the treatment for children who fight against cancer.
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10. 11
Gómez. In addition, Dunga, Brazil soccer team’s head coach;
Olympian athlete Clodoaldo Silva; and gymnastics’ gold
medalist Daiane dos Santos, showed their solidarity for such
an important event for Arcos Dorados and the McDonald’s
Children’s Foundation.
McHappy Day is the most important campaign to support the
fight against cancer in children and teenagers. Since its
implementation in Brazil, funds raised have been used to make
more than 300 hall renovations in various hospitals across the
country serving children and teens with cancer, in addition to
supplying over 100 vehicles for outpatient services.
I. COMMUNITY RELATIONS
Ronald McDonald accompanied 11 year-old Carolina Valenca, who symboli-
zes the fight against children’s cancer.
Arcos Dorados’ commitment to community solidarity is evident in the smiles that shine through during McHappy Day
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I. COMMUNITY RELATIONS
2. Community
Panama’s “My Best Neighbor” Program
The Best Neighbor Program continues to implement activities
that generate awareness about the importance of being close
to the community. Building solidarity through volunteering is a
value that Arcos Dorados seeks to communicate to restaurant
employees because ongoing collaboration forges a closer
relationship with society.
Within the Best Neighbor Program, several activities were
undertaken in Panama to commemorate Children’s Day.
Restaurants joined in the celebration, taking part in various
activities.
Additionally, an event was held to raise awareness for the
prevention of dengue fever, together with the Department of
Health and the Pueblo Nuevo and Bethania Health Centers.
These activities were attended by Health Center employees,
children participating in the Caza Mosquito Program (Mosquito
Hunt Program) and Arcos Dorados in Dorado volunteers.
The initiatives are part of the Good Neighbor programs in
Brazil, Venezuela and Peru.
The Good Neighbors Program spirit of solidarity was reflected in the activities held for Children’s Day in Panama.
The Good Neighbor Program in Panama generates awareness within the
community.
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I. COMMUNITY RELATIONS
3. Sustainability: Arcos Dorados Preserves the Present
In every region or market where the company operates, Arcos
Dorados demonstrates an unyielding quest for environmental
sustainability by recycling nonperishable materials and
efficiently using natural resources. These short- and medium-
term strategies drive our long-term results, underlining the
value derived from our cost-benefit analysis.
Within this framework, the search for environmental
performance optimization models continues not only because it
is the right thing to do, but also because it’s a business that
provides enormous benefits. Efficiency and innovation go hand
in hand. When electricity is conserved, companies spend less.
Given the scope and reach of Arcos Dorados’ operations and
the company’s decentralized structure, there is no single
solution to address the different environmental needs of each
country. Ultimately, this becomes widely beneficial as various
solutions are designed for each country, from which we learn,
share, and measure results.
At the restaurant level, the company focuses on three areas:
ENERGY EFFICIENCY – Searching for new ways to increase
energy efficiency in restaurants, to generate savings and
environmental impact reductions.
SUSTAINABLE CONTAINERS AND OPERATIONAL
EXPENSES – The objective is to continuously explore ways to
reduce damage generated by consumer packaging and
decrease operational expenses.
“GREEN” BUILDING DESIGNS – The goal is to optimize the
strict building standards to create environmental innovations in
the design and construction of restaurants.
Taking into account these key areas, please find below a
description of ecology-related initiatives that took place during
the second four-month period of the year.
First Ecological Restaurant in Central America
After the opening of the first ecological restaurant in Latin
America – in Bertioga, Sao Paulo, Brazil in December 2008 –
Arcos Dorados inaugurated its second environmentally-friendly
restaurant in Lindora, Costa Rica, with an investment of US$2
million.
The new building will provide important environmental benefits,
as it will save 40% in drinking water consumption and 30% in
energy. It will also reuse some materials in the lobby, such as
wood and glass doors, as well as rain water.
The restaurant’s design and construction used ecological
materials from renewable sources, in line with U.S Green
Building Council (USGBC) guidelines, an international non-
profit organization that promotes the growth of sustainable
industries through the development of ecological buildings. Its
Leadership in Energy and Environmental Design (LEED)
Certificate recognizes the development of highly efficient,
sustainable buildings.
Therefore, some of the building’s features were adapted to the
requirements of LEED: using a green roof to decrease the
restaurant’s internal temperature; a tank to capture and recycle
rain water, so it can be reused for cleaning and to water green
zones; windows fitted with polarized film to reduce the amount
of sun-generated heat in the building; fluorescent lamps that
The first ecological restaurant in Central America located in Lindora,
Costa Rica.
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I. COMMUNITY RELATIONS
“Ponte Verde” (Get Green) Ecological Campaign in
Venezuela
The “Ponte Verde” (Get Green)
ecological campaign was launched
in Venezuela in order to promote
paper recycling and water
consumption reduction in the
Arcos Dorados offices. The
campaign kicked off with a contest
where employees had to answer
the following question, creatively:
What else can you save, aside
from money? A collection box showcasing the questions was
placed in the staff’s work stations as a teaser. All submitted
answers were then posted and voted on. The winning
campaign was then revealed: recycling containers placed in
strategic places within the office and posters promoting water
conservation in the restrooms.
Taking Care of Biodiversity in the Amazons in Brazil
Arcos Dorados is committed to helping mend the
environmental crisis caused by deforestation in the Amazon. To
demonstrate its commitment, the company joined the trade
moratorium on soy cultivated in that region and decided not to
purchase beef coming from areas in the Amazon where
deforestation had occurred.
The Amazon is the largest rainforest in the world, extending
along the Amazon River and its basin. The largest part of the
Amazon - 60% percent or some 864 acres – belongs to Brazil,
80% of which is covered by forests. The Amazon also
encompasses Peru, Bolivia, Ecuador, Surinam, French
Guyana, Guyana, Venezuela and Colombia. The high
temperatures favor the development of dense, exuberant and
evergreen vegetation. As the “planet’s lung,” it maintains an
essential climatic balance in which the input and output of
carbon dioxide and oxygen are held in equilibrium.
Environmental scientists agree that the loss of biodiversity and
alterations in climate change result from the progressive
destruction of the rain forest by forest fires, deforestation,
large infrastructure building, expansion of agriculture and
livestock, soy and eucalyptus plantations, and mining and oil
prospecting, among other factors.
reduce energy consumption; and an intelligent computer
system to manage AC, electricity, and overall kitchen
management.
This new site reiterates Arcos Dorados’ commitment to the
environment, while placing the company at the forefront of
sustainable building design and construction for the operation
of McDonald’s restaurants throughout Latin America.
Recycling and Electronic Waste Reduction in Chile
Arcos Dorados Chile is successfully implementing a recycling
and electronic waste reduction campaign. Along with Recycla
(www.recycla.cl), the program is set to transform electronic
waste or e-waste such as computers, screens, heavy metals,
chips, glass, etc., into useful materials, preventing their
inappropriate disposal and averting irreversible damage to the
planet. This enables the transformation of discarded goods into
raw material for the creation of new products. Consequently,
natural resources’ life cycle can be extended.
The Recycla truck visits McDonald’s restaurants and picks up
e-waste, which is then unloaded at the plant to initiate its
recycling process. This process entails inspection, pre-sorting,
dismantling and sorting of materials that are then routed to
new and multiple uses. Should hazardous materials be
detected, they are moved to another plant for correct, safe
handling and processing. The plant’s staff includes former
convicts who, thanks to this work, are able to successfully and
safely reintegrate themselves into the labor force.
E-waste is a key concern in Chile, which disposes of three
million mobile phones and five million computers containing
toxic materials, per year.
Arcos Dorados, through programs such as this one, seeks to
turn technology into assets even after their useful lifecycle is
finished. This affords greater environmental protection and
mitigates the negative impact caused by this type of waste.
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TOP AWARDS
BRAZIL
For the 11th time, Arcos Dorados is selected as one of
the best companies to work for in Brazil
For the 11th consecutive time, Arcos Dorados came in first
place in one of the categories of the world’s most disputed
honor: The 2009 Great Places to Work Awards, given by
Epoca magazine.
The magazine’s special issue highlighted in its 13th edition the
distinction given to Arcos Dourados Brasil, which was included as
one of the top 100 companies to work for. Within the company’s
best practices, the following were highlighted: monthly awards,
technical courses promoted by Hamburger University and the high
degree of professional development (67%).
This year there were a record number of registered
companies: a total of 530, 30% more than last year, of which
28 had never received awards.
Arcos Dorados was also recognized in the “Top 20 People
Management Practices” study, conducted by Great Place to
Work and Segmento publishing house.
Arcos Dorados has the Best Franchise in Brazil
In June, the McDonald’s brand was recognized for the third
time in seven years – the first for Arcos Dourados Brasil – as
the best franchise in the food category by the Franchise
Guide of Brazilian magazine “Pequenas Empresas & Grandes
Negócios” (Small Companies & Large Businesses). This is a
very special achievement because the franchisees themselves
select the best franchise.
Currently, the franchising sector in Brazil is the world’s third
largest; underscoring the importance and impact of its
operations, particularly in Latin America.
11th Alshop Retailer Award
McDonald’s was the winner in the Fast Food category. The
annual award recognizes retail companies that stood out in
different categories throughout the year.
II. BRAND REPUTATION
II. BRAND REPUTATION
VIII LIF 2009 Award (Liberty, Equality, Fraternity)
Promoted by the French Brazilian Trade Chamber to
recognize private initiative social projects — the Instituto
Ronald McDonald was recognized in the Healthcare category
for its support to the children of the “Early Diagnostic”
program.
ARGENTINA
Top 100 Companies Ranking
Arcos Dorados ranked 27th in the overall Top 100
Companies ranking, published by Apertura magazine. In the
attributes analysis, the company took various positions: 14th
for its advertising and communication activities; 11th for its
response to critical situations; 9th for its human resources;
11th for its corporate responsibility actions; and 14th out of
the 15 consumer goods companies with the best image.
1000 Best-Selling Companies by Mercado magazine
Arcos Dorados ranked 147 among the 1000 top-selling
companies, jumping 36 spots from 2007. It also made the
retail sales ranking of the same magazine, where it came in
second place. In the audit ranking, Arcos placed No. 31.
Top 30 Brands Ranking by Apertura magazine
McDonald's came in 20th in this prestigious ranking. The
magazine also highlighted the “Grandes Placeres, Pequeños
Precios” (“Great Pleasures, Small Prices”) campaign, where
some products are offered at a promotional price; the opening
of new sites and the promotion of chicken-based meals,
considered a healthier option.
COLOMBIA
Top-of-Mind Award
McDonald's is top-of-mind for children and adults in the fast-
food category. The survey is conducted every year and results
are published by Dinero magazine.
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II. BRAND REPUTATION
La Barra Magazine Award
McDonald’s was ranked number three in the fast-food
category of this food and restaurant trade magazine ranking,
which grants the award.
VENEZUELA
2009 Great Place to Work
Arcos Dorados got third place in the Best Companies to Work
For in Venezuela.
MEXICO
Socially Responsible Company Distinction
For the fifth time, McDonald’s received the Socially
Responsible Company Distinction from the Mexican
Philanthropic Center and the Alliance for Entrepreneurial
Social Responsibility (AliaRSE).
CENTRAL AMERICA AND THE CARIBBEAN
McDonald’s is One of the Most Recalled Brands in
Central America and the Caribbean
The bi-monthly magazine, Mercados y Tendencias, published
its most recalled brands list in Central America and the
Caribbean. In this ranking, McDonald’s placed fourth. The
publication highlighted the company as the world’s favorite
fast food restaurant. The only competitors featured in the
ranking were Pollo Campero and Pizza Hut.
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III. MEDIA RELATIONS
III. MEDIA RELATIONS
Our media coverage assessment has evolved and, since June,
we are using an analytic tool to evaluate quantitative data.
Using metrics such as print inches, circulation and readership
profile, among others, we can determine the monetary
equivalence of published articles based on ad space cost. In
June, the value of published positive and neutral articles
totaled US$ 4,698,153; in July, it amounted to $6,150,359;
and in August, $5,681,120. The total PR value for 2009
June-August coverage was $16,529,632.
*Based on U.S. dollar rate on the day the report was finished
From June to August 2009, Arcos Dorados improved its media
visibility across Latin America and the Caribbean in both
electronic and print media. During the past quarter alone,
media outlets published 3,046 positive articles (8.7% more
than in the previous quarter, with 2,801 publications.)
From the total number of stories published between June and
August, 286 were broadcast on TV or radio (26.5% higher
than the previous quarter, which reached 226.)
The primary objective of these initiatives, which were managed
by Media Relations in conjunction with local agencies
throughout the region, was to strengthen McDonald’s quality
and reliability messages, conveyed through Arcos Dorados, by
emphasizing the company’s four communications pillars:
People, Product, Community and Brand.
The positivity index of total media coverage remained above
80%, which is similar to last quarter. This indicator measures
the percentage of positive articles over the total number of
articles published (positive plus negative plus neutral). The
number of positive articles grew by 45.7% over the past
quarter. The total number of news pieces on the brand grew
by 50.4% over the previous period.
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III. MEDIA RELATIONS
Arcos Dorados, the largest restaurant operator in Latin
America and the largest McDonald’s franchisee in the world,
was highlighted in 289 press releases distributed to Latin
American media organizations. This number was stable
compared to last quarter.
Communications agencies fielded a total of 540 media
inquiries, a little less than the previous quarter, which recorded
587 requests. However, customer service experienced a
substantial increase in the number of contacts responded to by
our agents, reaching 21,827 contacts (a 21.4% increase over
the previous quarter.) Most of them related to complaints about
service and McDelivery problems.
COVERAGE HIGHLIGHTS
COMMUNITY
Arcos Dorados continued investing in social-environmental
initiatives throughout June, July and August, in the
communities where McDonald’s has presence. The period’s
highlights were the successful McHappy Day in Brazil, on
August 29, which was widely covered by the Brazilian media,
and the launch of the second ecological restaurant in the
region, in Lindora, Costa Rica, reaffirming the company's
commitment to preserve the environment. The unit combines
the rational use of electricity and water, with innovative
methodologies in sustainable construction.
For the first time ever, we advertised McHappy Day in social
media like Twitter and blogs in order to report, real time,
everything that was happening during the event. This year’s
campaign yielded 718 published articles.
Another Community highlight was the Ronald McDonald House
in Argentina that, on August 19, held its 15th Gala Dinner,
attended by 780 guests, including businessmen, politicians,
and TV and sports personalities.
In Guatemala, the recently opened Ronald McDonald House will
assist not only children and youth, but entire families in need. A
“home away from home,” the House provides accommodation,
food and care for children with serious illnesses from rural areas,
who need long-term treatment.
In Chile, the photography exhibition Mirar con Esperanza included
the works of two great professionals, María Gracia Subercaseaux
and Luis Poirot, who photographed Ronald McDonald Foundation
children in Chile, and their fight against cancer.
BRAND
In Argentina, news that more than 10 million Argentinean
pesos were invested in the first five months of the year alone,
generated widespread momentum in local media as it meant
that the country’s economy was growing. The top inauguration
event in the nation was the restaurant opening at Buenos
Aires’ Ezeiza International Airport, featuring a modern and
bold atmosphere. With the opening of a restaurant at Dot
Baires Shopping mall, Argentina now totals 187 units, plus
61 McCoffees.
New restaurant at Buenos Aires’ Ezeiza International Airport.
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III. MEDIA RELATIONS
In Brazil, new shops were opened in Brasília (Federal District)
and Porto Alegre (Rio Grande do Sul), creating many job
opportunities. The openings in the Northeast of Brazil proved
that Arcos Dorados is interested in expanding in the region. In
the North, Porto Velho received its first McDonald's
restaurant with 52 new jobs, helping spur local economic
development. Caruaru, in Pernambuco, and Vitória da
Conquista, Bahia, were the other two cities in the region to
welcome the new venture. The total investment in new units
for 2009 will be R$ 36 million.
In Puerto Rico, we opened a new site in Las Catalinas
shopping mall, while Colombia inaugurated a McDonald’s
restaurant in Shopping Unicentro, Bogotá.
PRODUCT
The new Buenos Días McDonald’s breakfast platform was
highlighted in Argentina, Ecuador, Panama, Peru and
Venezuela, where our communications teams offered menu
items to several journalists. In Argentina, over 10 radio hosts
thanked us live for the complimentary gesture.
A variety of new products were launched, attesting to
McDonald’s quality, such as Capricho Italiano in Ecuador, the
Chipotle salsa for chicken sandwiches, the strawberry banana
smoothie, and the ‘Dulce de Leche’ sundae as dessert. We
also added the McFlurry Tango and McFlurry Sufflair Duo, the
latter for Brazilians, to the premium dessert line. In Brazil, the
top launch was that of Del Valle fruit juices, an alliance with
Del Valle that yielded the exclusive red-fruit taste for the
McDonald’s chain.
The Open Doors program was decisive to strengthen our
relationship with media and key stakeholders, such as
pediatricians and nutrition students. We will continue the
program in the following quarter in every one of our Divisions.
Our main objective is to communicate a nutritional and
product-quality message. In Mexico and Chile, nutrition and
health were the topics that Open Doors addressed to
demystify McDonald’s kitchens and clarify doubts on brand-
sensitive themes like obesity.
Throughout Latin America, Happy Meals– which celebrated
its 30th anniversary in Puerto Rico in August– were
highlighted by the media, particularly the Ice Age III toys. The
company sealed a long-term partnership with Fox Films in
June. This is expected to generate new blockbuster-related
surprises. In Argentina, the August Happy Meal surprises
were innovative and included free tickets to the biopark
Temáiken in Escobar, stimulating outdoor and environmental
activities for the entire family.
The nutrition theme has gained visibility with the inclusion of
cherry tomatoes and corn kernels in countries like Ecuador,
Peru and Venezuela. A new, healthier and more balanced
option for our little consumers is an ongoing McDonald’s
concern.
The Coca-Cola glass promotion in nearly all Latin countries
was another press hit. In Brazil, we quickly ran out of the
colorful contour glasses that were given out with every
McCombo and McFlurry purchase.
The McCoffee segment continued to generate very positive
media mentions about the brand. In Brazil, journalists tried the
new Mint Mocha Coffee, as well as offerings adapted to local
taste, such as the delicious guava- and cappuccino-filled
muffins.
Mexico’s Open Doors program addressed nutritionists with brand-sensitive
themes, such as food quality.
Ice Age 3 Happy Meal was highlighted by the media throughout Latin America.
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III. MEDIA RELATIONS
The campaign “Grandes Placeres, Pequeños Precios” (Big
pleasures, low prices) kept attracting attention and visits to
McDonald’s restaurants throughout Latin America. In June,
Brazil launched its promotional menu “Pequenos Preços”.
This special menu, with six of its traditional products at low
prices, will be renewed every three months. Since it’s already
a sales success, the company invested approximately R$ 10
million in this new campaign, alone.
And to offer people in Venezuela the “McDonald’s
experience,” the first regional Gourmet event took place in
July, in Barquisimeto, Lara. Renowned chef Francisco
Abenante conceived the event, expanding it to cities that
were not familiar with this gastronomical cuisine initiative.
Tasty dishes, prepared with McDonald’s traditional ingredients
were also offered in Guayaquil, Ecuador, where we hosted a
McGourmet event in August with a menu prepared by chef
Sebastian Villavicencio Heymann.
PEOPLE
The deadline for entries to McDonald’s third exciting talent
celebration for restaurant employees was August 14th. Voice
of McDonald’s III, which will culminate at the 2010 Worldwide
Convention and is counting on a lot of Latin American talent,
promises to be even better than the last one.
New uniforms were handed out to Panama employees at an
event topped with a fashion show. Many outlets praised the
new design, colors and fabrics.
Employability was one of the recurrent themes addressed
during the past quarter, particularly in Brazil. In addition to
ongoing job offers, those for people with special needs were
a key topic in a news program aired by TV Globo network.
The program highlighted McDonald’s efforts to offer positions
to people with special needs and interviewed one employee
that fits this profile.
And the People section could not be complete without the
Ray Kroc Award, which recognizes the best results in
operational and business excellence, as well as people
management. The best managers travelled to Florida in July
for the awards ceremony.
Veja, the weekly magazine with the largest circulation in
Brazil, interviewed Iris Barbosa, Training Director for
McDonald’s Latin America about diversity, and emphasized
her personal and professional profile.
PRIMARY RELATIONSHIP ACTIONS
We held 115 meetings with journalists in several Latin
American countries.
We organized important cultural events to strengthen our media
relationships. They included the Parliament Visit Program in
Uruguay, organized in conjunction with the Presidency, to take
children who live out of the capital city of Montevideo for a
guided visit to the nation’s Parliament and a lunch at
McDonald’s.
Also in Uruguay, the Women’s Round Table promotes monthly
activities with and for women, including seminars and cultural
shows sponsored by McDonald’s.
In Mexico, “McDonald’s Surprises You” invited 130 people,
including journalists accompanied by their children, to visit the
Chapultepec Zoo in August. Another resoundingly successful
program was inviting guests to revisit their history through
“McDonald’s Makes History” in Mexico. This was a tour through
the historic center of Mexico City where guests visit a variety of
landmarks. In Puerto Rico, “Sunday at the Museum” took the
Jaja Mundo to Puerto Rican families in the city’s Arts Museum.
The Coca-Cola cup promotion was a hit with the media.
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Journalists were recognized on Communications Day in Peru
on July 13, and in Venezuela on Journalist Day on August 27.
Besides sending them greeting cards, they were invited to
taste our food at McDonald’s restaurants.
On Children’s Day, which is celebrated on July 19 in most of
the region, the “Give a Child a Hand” walk, promoted by the
Sociedad Venezolana de Puericultura y Pediatría and
sponsored by McDonald’s Venezuela, was joined by thousands
of children. There was plenty of music, entertainment and
activities for the little ones. In Paraguay, the day was
celebrated with Golf McDonald’s Cup in association with Club
Centenário and featured Ronald McDonald to cheer up the
children. In Ecuador, McDonald’s celebrated the day together
with 300 children from the Dr. Roberto Gilbert Elizalde
Children’s Hospital. On this day, school children from Uruguay
were in charge of the programming grid at state-owned TNU
TV station. McDonald’s partnered with this initiative and offered
meals and a Ronald McDonald show.
KEY CRISES MANAGED
From June to August 2009, 34 crises were managed, which
included media inquiries and coverage. The key ones for the
period include:
Regional A H1N1 (Flu) — Evolution of A H1N1 influenza
was monitored in all countries. McDonald’s Puerto Rico has
joined the Department of Health in a prevention campaign,
and has prepared tray liners bearing information on how to
avoid contamination.
Compensation to a customer for giving wrong change
in Niterói, Rio de Janeiro — The court in Rio de Janeiro
ruled against a franchisee in this city because employees
were accused of having given wrong change to a couple.
Cattle in the Amazon — NGOs (led by Greenpeace) are
putting pressure on retailers to abstain from buying meat from
cattle raised in the Amazon region. In Brazil, tray liners
include information stating that McDonald’s does not buy
meat from that region.
Franchisees in Puerto Rico — In August, local franchisees
gave a series of interviews to local media about Arcos
Dorados. The interviews touched on expansion, renovation,
the company, local investments and foreign employees.
Children’s Advertising Self-Regulation — Twenty-four
food and beverage companies (including McDonald’s) in Brazil
have signed an agreement to restrict advertising targeting
children under 12 years old. The news was widely covered
by the Brazilian media with a neutral tone.
III. MEDIA RELATIONS
McDonald’s Puerto Rico joined the Department of Health in the A H1N1 pre-
vention campaign.
Arcos Dorados Uruguay executives at state-owned TNU TV station,
celebrating Children’s Day.
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III. MEDIA RELATIONS
CHILDREN’S ADVERTISING SELF-REGULATION PLEDGE
Following is the actual pledge that was signed by McDonald's and 23 other food and beverage companies in Brazil, and which
reinforced our leadership as a responsible marketer.
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IV. CLIPPING BOOK
IV. CLIPPING BOOK
ESTRATEGIA Y NEGOCIOS
June COSTA RICA
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IV. CLIPPING BOOK
EL SIGLO
16-06 VENEZUELA
GENERACIÓN 21
19-06 ECUADOR
EL TIEMPO
18-06 ECUADOR
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IV. CLIPPING BOOK
CLARIN, EL CRONISTA, PERFIL, LA NACION
June ARGENTINA
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IV. CLIPPING BOOK
PAGINA 12
10-07 ARGENTINA
EL CRONISTA
12-07 ARGENTINA
DIARIO CLARÍN
09-07 ARGENTINA
LA RAZON
18-07 ARGENTINA
DIARIO PERFIL
18-07 ARGENTINA
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IV. CLIPPING BOOK
EL REGIONAL
13-07 VENEZUELA
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IV. CLIPPING BOOK
O DIA
29-07 BRAZIL
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