CHICAGO, April 21, 2022 /PRNewswire/ — McDonald’s Company (NYSE: MCD) right now issued the next assertion in response to Carl Icahn:
McDonald’s cares concerning the well being and welfare of the animals in our provide chain and has lengthy led the trade with our animal welfare commitments. Our pioneering 2012 dedication relating to group housing for pregnant sows was formed with enter from trade consultants and the American Affiliation of Swine Veterinarians. It led to a step-change within the trade, with a generally adopted strategy to group housing.
McDonald’s solely sources roughly 1% of U.S. pork manufacturing and doesn’t personal any sows, or produce or package deal pork. Regardless of McDonald’s progress on our dedication to supply from producers who don’t use gestational crates for pregnant sows, Mr. Icahn has requested for brand spanking new commitments. These embrace requiring all of McDonald’s U.S. pork suppliers to maneuver to “crate-free” pork and set particular timeframes for doing so.
The definition of “crate-free,” conjured up by the Humane Society of the US (HSUS), is so obscure that it represents a particularly area of interest market comprising lower than 0.1% of U.S. pork manufacturing. This presents a problem of provide. What Mr. Icahn is demanding from McDonald’s and different corporations is totally unfeasible. Primarily based on present estimates, McDonald’s would require at the least 300-400 occasions the animals housed right now in “crate-free” methods to maintain our provide chain operating. It additionally presents a value problem. McDonald’s right now pays a premium to buy group-housed pork in accordance with our 2012 dedication. Sourcing from this area of interest market, as Mr. Icahn, his Director nominees – Maisie Ganzler and Leslie Samuelrich – and HSUS recommend, would considerably improve these prices, putting a burden on all facets of our enterprise, our provide chain and McDonald’s clients, whereas missing the broad help of trade consultants.
Mr. Icahn asserts that McDonald’s clients “need meals that’s sourced ethically, responsibly, and humanely.” We agree, and we take our function in offering that significantly. Worth and accessibility are additionally essential, significantly as clients confront rising prices in all facets of every day life. Missing broad help from trade consultants, his marketing campaign would have one sure end result: a better monetary burden on clients.
Along with the monetary burden this might place on clients, Mr. Icahn has additionally failed to deal with the inherent hypocrisy of his marketing campaign. Mr. Icahn is almost all proprietor of Viskase, an organization that produces and provides packaging for the pork and poultry trade. Viskase has no public commitments much like these McDonald’s championed in 2012 and doesn’t restrict its enterprise to meat producers who elevate their animals within the “crate-free” housing methods espoused by HSUS.
As we shared in our 2022 Proxy assertion, beneath the present Board’s management, McDonald’s has led the trade not solely in animal welfare however throughout probably the most urgent ESG issues. Mr. Icahn has nominated two candidates to face for election at McDonald’s 2022 Annual Assembly and has made it clear that his nomination pertains to the very slim challenge of his marketing campaign.
In so doing, Mr. Icahn would search to take away invaluable administrators with sturdy monitor information from the McDonald’s Board and exchange them with single-platform nominees that not solely lack public firm board expertise, but additionally the experience and {qualifications} so as to add significant worth to the vast majority of points commonly confronted by the McDonald’s Board. McDonald’s shareholders deserve higher.
About McDonald’s
McDonald’s is the world’s main world foodservice retailer with greater than 40,000 places in over 100 international locations. Roughly 93% of McDonald’s eating places worldwide are owned and operated by unbiased native enterprise house owners.
Ahead-Trying Statements
This launch and different written or oral statements made sometimes by McDonald’s Company (“McDonald’s”) include forward-looking statements about future occasions and circumstances. Typically talking, any assertion not based mostly upon historic truth is a forward-looking assertion. Particularly, statements relating to McDonald’s plans, methods, prospects and expectations relating to its enterprise and trade are forward-looking statements. They replicate McDonald’s expectations, usually are not ensures of efficiency and converse solely as of the date hereof. Besides as required by regulation, McDonald’s doesn’t undertake to replace such forward-looking statements. You shouldn’t rely unduly on forward-looking statements. McDonald’s enterprise outcomes are topic to a wide range of dangers, together with these which might be described in its 2021 Annual Report on Kind 10-Okay and subsequent filings with the Securities and Trade Fee (the “SEC”).
IMPORTANT ADDITIONAL INFORMATION REGARDING PROXY SOLICITATION
McDonald’s has filed a definitive proxy assertion and WHITE proxy card with the SEC in reference to its solicitation of proxies for its 2022 Annual Assembly. MCDONALD’S SHAREHOLDERS ARE ENCOURAGED TO READ THE DEFINITIVE PROXY STATEMENT (AND ANY AMENDMENTS AND SUPPLEMENTS THERETO), THE ACCOMPANYING WHITE PROXY CARD AND OTHER DOCUMENTS FILED WITH THE SEC IN THEIR ENTIRETY BECAUSE THEY CONTAIN IMPORTANT INFORMATION. McDonald’s shareholders might receive a replica of the definitive proxy assertion (and any amendments and dietary supplements thereto), the accompanying WHITE proxy card and different related paperwork filed by McDonald’s with the SEC with out cost from the SEC’s web site at www.sec.gov. McDonald’s shareholders might also receive a replica of those paperwork with out cost by sending a request to [email protected] or visiting the investor part of the McDonald’s web site at www.investor.mcdonalds.com.
CERTAIN INFORMATION REGARDING PARTICIPANTS
McDonald’s, its Administrators and sure of its govt officers are individuals within the solicitation of proxies from McDonald’s shareholders in reference to the issues to be thought of on the 2022 Annual Assembly. Data relating to the possession of McDonald’s Administrators and govt officers in McDonald’s widespread inventory is included within the definitive proxy assertion for its 2022 Annual Assembly, filed with the SEC on April 8, 2022, which may be discovered via the SEC’s web site at www.sec.gov. Modifications to such possession have been or can be mirrored on Statements of Modifications in Helpful Possession on Kind 4 filed with the SEC. Particulars regarding the nominees of the McDonald’s Board of Administrators for election on the 2022 Annual Assembly are additionally included in such definitive proxy assertion.
Contacts
McDonald’s Company World Communications
Jesse Lewin
[email protected]
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SOURCE McDonald’s Company
