The MSM is attempting to spin the fourth quarter results of the biggest restaurant chain in the world as positive. The results sucked as you can see if you read their actual press release.
Their comparable store sales rose a paltry 0.1% in the fourth quarter. They are truly a canary in the worldwide coal mine. Their restaurants are all over Europe, Asia and the U.S. If the obese masses throughout the world can’t afford a McDonalds meal, things are really getting bad.
- Comparable sales fell 0.6% in Europe
- Comparable sales fell 1.7% in Asia
- Comparable sales rose a fractional 0.3% in the U.S.
What McDonalds didn’t include in their press release was how the sales were achieved. Sales are based on number of customers and ticket size. They vaguely mentioned that guest counts declined but provided no figures. The truth is that guest counts were down significantly and food inflation accounted for any increase in revenue. The situation is much worse than the spin.
At the very end of their little PR puff piece, the CEO admits that comparable sales will be NEGATIVE across the chain in January.
McDonalds is the restaurant for the masses. When their results are this bad, you know the spin from the MSM about economic recovery is complete and utter bullshit. There is a worldwide recession and it’s getting worse.
As Karl Denninger reports today, even the high end retailer Coach reported NEGATIVE comp store sales for the fourth quarter.
So you have the poor and the faux rich reducing their spending now. Sounds like an economic recovery to me. Buy stocks!!!