Tuesday, March 17, 2020

MacDonalds Closes Dining Areas


McDonald’s Corp. said it would close dining rooms at company-owned restaurants in the U.S. and asked franchisees to take the same step to confront the coronavirus pandemic, reports The Wall Street Journal.

The Chicago-based burger giant said its stores would continue to serve customers through takeout, drive-throughs and delivery. McDonald’s said the bulk of its franchisees would comply with the new operating plan.

“We’re going to do whatever is necessary to help every owner-operator and partner survive this crisis. We will not let you fail,” Chief Executive Chris Kempczinski said in a video the company released on Monday.

McDonald’s said it was complying with the growing number of cities and states that have banned dining-in at restaurants. The company said it also would close children’s play spaces at U.S. restaurants and delay the construction projects at restaurants across the country.

Years of declining guest visits and a glut of restaurants already was weighing on sales growth across the U.S. restaurant industry. Now forced closures and efforts to separate workers from customers during the coronavirus pandemic are putting unprecedented financial strain on restaurants from McDonald’s down to independent cafes.

President Trump on Monday said that Americans should avoid eating and drinking at bars, restaurants and food courts. Roughly a dozen states, including Illinois, Massachusetts, Washington, New Jersey, Connecticut and New York, have banned eating at restaurants and bars to try to slow the virus’s spread. Visits to restaurants nationwide were down by a third at the end of last week compared with last year, according to data by booking site OpenTable.

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