McDonald’s names president of US division as chain’s new president and COO

McDonald’s promotes US chief to president job

OAK BROOK, Ill. — McDonald’s Corp., the world’s largest fast-food chain, on Monday said the head of its U.S. operations will become the company’s new president and chief operating officer.

Don Thompson will assume his new role immediately and help oversee the burger chain’s 32,000 worldwide locations.

The 46-year-old replaces longtime executive Ralph Alvarez, who retired at the end of the year for health reasons. Alvarez had been thought to be a possible successor to current CEO Jim Skinner.

Thompson began working at the suburban Chicago fast food chain in 1990 and rose through the ranks. He was named president of the company’s U.S division in 2006.

“It’s not too surprising they promoted from within to replace Alvarez,” said Morningstar analyst R.J. Hottovy.

He added that Thompson has had a successful run as president of U.S. stores, boosting sales in stores open at least a year and being the driving force behind new product launches such as the McCafe line of coffee drinks.

During his tenure, “profitability has improved quite a bit and the company has taken market share,” Hottovy said.

McDonald’s, based in Oak Brook, Ill., has been a notable winner during the recession because of its cheap menu. Sales of Dollar Menu items, Angus burgers and its new McCafe espresso drinks have been strong as consumers trade down to less expensive choices when eating out.

Jan Fields, 54, currently executive vice president and chief operations officer for McDonald’s USA, will succeed Thompson as president of McDonald’s USA. Jim Johannesen, 55, U.S. central division president, will in turn succeed Fields.

Shares rose 48 cents to $62.32 Monday.