BRIGHTON, Mich. -- McDonald's restaurants throughout Michigan will debut the Arch Card, reloadable convenience cards.
The McDonald's Arch Card is available in $5, $10, $25 and $50 denominations and can be purchased and redeemed at participating McDonald's restaurants.
McDonald's recognizes our customers are seeking cashless payment options, and the Arch Card will make purchasing your favorite menu item and gift giving a whole lot easier this hectic holiday season, said John Betts, vice president and general manager of the McDonald's [image-nocss] Michigan region. The Arch Card makes a great gift and provides a quick and convenient way to manage budgets and time.
The Arch Card can also double as a convenience card. Customers can reload their cards in increments of $5, $10, $25 and $50, with balances printed on the bottom of each receipt.
The card can be redeemed and purchased through the drive-thru or inside participating McDonald's restaurants. Customers can purchase with cash, credit or debit cards. Arch Cards do not expire and no dormancy fees are ever charged, the Oak Brook, Ill.-based fast-feeder said.
In other McDonald's news, Coinstar Inc. has announced an agreement with McDonald's Ventures LLC to invest in Redbox Automated Retail LLC. Coinstar will invest $20 million in cash and will own a 47.3% share in Redbox.
Redbox is the renter of DVDs through self-service kiosks with about 800 locations in the United States, including McDonald's restaurants and supermarket locations. The Redbox business has been in operation since 2002 and currently is a majority-owned subsidiary of McDonald's Ventures.
The concept has more than three years of planning, customer testing, refinement and in-market operations experience.
Current U.S. locations where the Redbox service is available have delivered strong results with over three million DVDs rented over the last five months, the company said. Consumers have enthusiastically embraced the $1 per night price point, convenient return options and easy self-service operation of the kiosk, it said.
Coinstar will now serve as the exclusive U.S. sales agent for Redbox for supermarkets, mass merchandisers, drug stores and wholesale clubs. It said it expects to invest $20 million in cash at the close of the transaction and another $12 million after one year if certain growth objectives are achieved. After the second year, Coinstar has a 12-month option to obtain additional shares acquiring a majority voting interest in the business. This transaction is expected to close in the next 30 days. Closing the transaction is contingent upon certain customary conditions including securing certain contractual consents.
Redbox Automated Retail LLC, will continue to operate independently out of its headquarters in Oakbrook Terrace, Ill. The company will be managed by a four-person board of directors in which two positions will be appointed by Coinstar and two will be appointed by McDonald's Ventures.
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