OAK BROOK, Ill. -- After a beleaguered run that included some of the worst quarters in McDonald's history, Don Thompson is surrendering the president and CEO's posts at the fast-food giant to Steve Easterbrook, currently chief brand officer.
As part of the shuffle, CFO Pete Benson will be promoted to the newly created position of chief administrative officer, with responsibilities for the franchisor's restaurant-support services. He will report to Easterbrook.
The retirement of Thompson and the ascension of Easterbrook and Benson will take place on March 1, the company's board of directors announced today after the financial markets had closed. Easterbrook also currently holds the post of executive senior vice president, as does Benson.
"Steve [pictured] is a strong and experienced executive who successfully led our U.K. and European business units and the board is confident that he can effectively lead the company to improve financial and operational performance," McDonald's chairman Andrew McKenna said.
The pending change marks the end of a tumultuous reign for Thompson, an electrical engineer who was hired by McDonald's in 1990 to design new kitchen equipment and move the chain away from batch cooking.
Thompson moved up through the ranks, becoming president of McDonald's USA and the chain's Canadian division in 2006 and COO of the whole chain a year later. He succeeded the retiring Jim Skinner as CEO in 2012, when the chain reigned as one of the industry's top performers.
McDonald's has been on a downward slide since then, culminating in a several quarters of declining same-store sales and a 7% fall in sales for the fourth quarter of 2014.
Click here to read the full report at CSP Daily News companion publication Restaurant Business.
UPDATE:Additional analysis of McDonald's management changes from RB:
"Who Is McDonald’s Incoming CEO?"
"6 Questions About McDonald’s Change in Leadership"
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