8-KLeadership ChangesExhibits & Filings

MCDONALDS CORP 8-K Report, Executive Changes (Apr 16, 2012)

Filed April 16, 2012For Securities:MCD

Summary

McDonald's Corporation (MCD) announced a significant leadership change in an 8-K filing on April 16, 2012. Timothy J. Fenton has been elected Chief Operating Officer, effective July 1, 2012. Mr. Fenton, previously President of McDonald's Asia/Pacific, Middle East and Africa, will assume this critical operational role, succeeding to a key executive position within the company. This promotion is accompanied by adjustments to Mr. Fenton's compensation package, including a 20% increase in base salary to $750,000, an enhanced target bonus award under the annual TIP program to 125% of his base salary, and an increased target award for the three-year Cash Performance Unit Plan (CPUP) to $3,800,000. These changes reflect the increased responsibilities associated with his new COO position and are effective July 1, 2012. Investors should note that specific performance measures for the TIP and CPUP are detailed in previous SEC filings.

Key Highlights

  • 1Timothy J. Fenton appointed Chief Operating Officer, effective July 1, 2012.
  • 2Mr. Fenton's prior role was President of McDonald's Asia/Pacific, Middle East and Africa.
  • 3Base salary increase for Mr. Fenton to $750,000, a 20% rise.
  • 4Target annual bonus (TIP) increased to 125% of base salary.
  • 5Target award for the Cash Performance Unit Plan (CPUP) increased to $3,800,000.
  • 6Compensation adjustments are effective July 1, 2012, aligning with his new COO role.

Frequently Asked Questions

Timothy J. Fenton has been elected as the new Chief Operating Officer of McDonald's Corporation, effective July 1, 2012.

Mr. Fenton's base salary will increase by 20% to $750,000. His target annual bonus (TIP) will be 125% of his base salary, and his target award for the Cash Performance Unit Plan (CPUP) will be $3,800,000. These changes are effective July 1, 2012.

Prior to this appointment, Mr. Fenton served as the President of McDonald's Asia/Pacific, Middle East and Africa since January 2005.

The performance measures for the 2012 TIP awards are described in McDonald's Form 8-K filed on January 31, 2012. The performance measures for the 2010-2012 CPUP payouts are detailed in the Form 8-K filed on February 16, 2010.