McDonald's
CEO Proud of Fast Food Record
CHICAGO
-- McDonald's Corp. CEO Jim Skinner told shareholders
Thursday not to believe the recent surge of "fiction"
maligning fast food and pledged that the company
will be more aggressive and creative in setting
the record straight.
Skinner's comments at the fast-food chain's annual
meeting were the strongest evidence yet of its
initiative to counter negative publicity from
a new children's book and soon-to-be-released
movie, both associated with the 2001 book "Fast
Food Nation."
"These days, big equals bad," he said
at the meeting at McDonald's headquarters in Oak
Brook, Ill. "And fiction somehow has become
more compelling than fact. You have every reason
to be proud of your company, our values and our
social responsibility record."
Skinner
said McDonald's is a leader in food safety and
quality, toy safety, employment opportunity, training
and development, charitable giving, animal welfare
and the environment.
"Fictitious
information irresponsibly published and reported
in the media has people questioning the quality
and safety of fast food in general," he said.
"But at McDonald's, we work closely with
our suppliers to develop and implement the highest
standards, and have for over 50 years."
Concerns
about the nutritional content of fast food have
risen in recent years along with obesity rates
among both children and adults. McDonald's has
responded to complaints by consumer advocates
to make its food healthier by offering more salads
and fruit items and other menu options.
But that pressure has stepped up in 2006 with
the publication of "Chew On This," co-written
by "Fast Food Nation" author Eric Schlosser,
and publicity about the upcoming film version
of "Fast Food Nation." The book adds
to criticism of the fast-food industry for its
perceived role in increased obesity and views
McDonald's and the industry harshly on the issues
of food safety and employment security, among
others.
The
company said last month it would "ramp up"
promotion of its healthier menu choices in response
to the new book, taking a more active tack than
it did following the 2004 documentary, "Super
Size Me," which skewered the fast food business.
"We are committed to taking action that will
most impact consumer perception and trust. And
we will be more aggressive and creative in setting
the record straight," said Skinner, who then
showed a company podcast touting it as a leader
in food quality safety.
A
farmworker and a human rights activist assailed
the company at the meeting for running a public
relations campaign instead of addressing what
they called a human rights crisis in the tomato
fields of Florida.
"The
workers who pick the tomatoes that go on McDonald's
sandwiches and salads work under conditions that
can only be described as sweatshops - poverty
wages, no overtime pay, no right to organize and
no benefits," said Lucas Benitez, co-founder
of the Coalition of Immokalee Workers in southwest
Florida.
Skinner
responded that McDonald's has worked closely with
its suppliers to maintain the highest standards
for its workers and will continue to do so.
Shareholders
voted in favor of a resolution urging the McDonald's
board of directors to seek shareholder approval
of any severance agreements with senior executives
that would reward them with sums triple or more
the combined size of their base pay plus bonus
- payments widely known as "golden parachutes."
Chairman Andrew McKenna said the board would consider
the recommendation.
The
shareholders rejected a resolution asking McDonald's
to identify and label all genetically engineered
ingredients in its products.
McDonald's
shares rose 31 cents to close at $33.26 on the
New York Stock Exchange. They are down 1.4 percent
in 2006.