McDonald’s Considers Non-Burger Franchises

McDonald’s Corp. said it is exploring ways to franchise its non-hamburger brands, which include Chipotle Mexican Grill and Donatos Pizza. McDonald’s bought Columbus, Ohio-based Donatos in May 1999 and purchased a minority stake in Denver-based Chipotle in April 1998 as a way of expanding without cannibalizing its core hamburger business. The brands, which also include London-based Aroma Cafes, represent a small part of McDonald’s business. The non-hamburger brands generated $91 million in sales in 1999, compared with systemwide sales of $38.5 billion. Shares of Oak Brook, Ill.-based McDonald’s closed off 44 cents at $38.63 on the NYSE.