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McDonalds high on coffee sales

Apr 17 2006 17:14

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Des Moines - McDonald's Corp said on Monday that sales of coffee at its US restaurants "have skyrocketed" recently, largely because the fast-food giant has focused attention on the beverage and not so much because the product has improved.

"We didn't make an enormous change in the blend...but revisited procedures, made sure we were doing it in the right way," chief executive officer Jim Skinner said.

In recent weeks many of its domestic restaurants swapped out their coffee to what has been advertised as a premium quality beverage. The suggested retail price of coffee also increased.

Acknowledging that other companies are focusing more on breakfast for sales opportunities - Starbucks Corp is introducing sandwiches and Wendy's is planning to add a breakfast menu - Skinner said McDonald's will "communicate very strongly around our high-quality breakfast."

Asked by a reporter for an update on steps being taken to guard against any outbreak of avian influenza, another McDonald's executive said the company is "working behind the scenes" with government agencies and the poultry industry to prepare for any such event in the US.

Elsewhere around the world McDonald's has taken numerous steps to insure that its food-safety "firewalls" are intact.

"Our product is absolutely safe," the executive said.

McDonald's shares recently fell 1.3% to $34.38.

 
 
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