Master Franchise Agreement Arcos Dorados

Arcos Dorados manages its McDonald`s brand restaurants in two structures: company-run restaurants and franchised restaurants. Arcos Dorados owns, manages and manages about 75 percent of its restaurants. [11] [Citation needed] [unreliable source?] The company operates its McDonald`s branded restaurants as company-owned franchised restaurants and restaurants. [4] The company`s revenues depend on the sales of the restaurants managed by the company and the rental income of the franchised restaurants. Rental income depends on the higher flat rate or a percentage of turnover. [4] Fitch Ratings downgraded Arcos Dorados Holdings Inc.`s, the world`s largest McDonald`s franchisee, in terms of revenue and number of system-wide restaurants, long-term Foreign Currency Issuer Default Rating (IDR) and Senior Unsecured Notes, from “BB+” to “BB”. The rating outlook has been revised from stable to negative. Arcos Dorados is headquartered in Argentina, but cash flow generation is highly concentrated in Brazil. The company has the exclusive right to own, operate and grant franchises for McDonald`s restaurants in 20 countries in Latin America and the Caribbean, including Argentina, Aruba, Brazil, Chile, Colombia, Costa Rica, Curacao, Ecuador, French Guiana, Martinique, Mexico, Panama, Peru, Puerto Rico, St. Croix, St. Thomas, Trinidad and Tobago, Uruguay Venezuela.

The company operates or crosses 2,293 McDonald`s restaurants and 258 McCafes at the end of 2019. Arcos Dorados benefits from the iconic McDonald`s brand, but faces various regional economic challenges. About 69% of these restaurants are operated by Arcos Dorados, the rest being franchised restaurants. Restaurants managed and managed by franchisees account for about the remaining 25% of the connected sites. You will benefit from technical and operational support from Arcos Dorados, including training programs, operations manuals, access to its delivery and distribution network and marketing support. [6] THIS MASTER FRANCHISE AGREEMENT (the “Agreement”) will be entered into on March 30, 2007 from and between Java Detour, a California company headquartered at 2121 Second Street, Suite C-105, Davis CA, 95616 (the “Franchisee”) and Java Universe, LLC, a California Limited Liability Corporation, whose principal address is at 8228 Sunset Blvd., Los Angeles CA 90046 (“Franchisee”) which, based on the promises and reciprocal agreements contained therein, are as follows: Arcos Dorados is the largest independent mcDonald`s franchisee in the world and operates the largest fast food chain in Latin America and the Caribbean. It has the exclusive right to own, operate and grant franchises of McDonald`s restaurants in 20 countries and territories in Latin America and the Caribbean with more than 2,200 restaurants operated by the company or its sub-franchisees and together employing more than 100,000 people (as of 30.06.2020). The company is also committed to developing the communities where it operates in order to offer young people their first formal job opportunities and to use its Scale for Good to have a positive impact on the environment. Arcos Dorados is listed on the New York Stock Exchange (NYSE: ARCO).

To learn more about the company, please visit the Investors section on our website: www.arcosdorados.com/ir. In the context of the COVID-19 pandemic, McDonald`s had previously agreed to defer all license payments, whether for company-run restaurants or sub-franchisees, for sale from March, April, May and June 2020 to 2021. . .