Arcos Dorados is Committed to Improved Animal Welfare in Pork Supply Chain

Arcos Dorados (NYSE:ARCO) announced plans to further raise its leadership in animal welfare in its supply chain.

Arcos Dorados announced it will require its pork suppliers to submit documented plans within two years to limit the use of gestation crates for sows with plans for alternative group housing.

By the end of 2016, all pork procured by Arcos Dorados, the largest McDonald´s franchisee in Latin America, will be sourced by producers that can demonstrate documented plans to promote group housing for their sows. To achieve this, Arcos Dorados is working very closely with producers, suppliers and other stakeholders to assess how to support producers migrating to group housing systems.

“We have great relationships and confidence in our suppliers, with a shared commitment to leading animal welfare practices," said Horacio Sbrolla, Vice President of Supply Chain at Arcos Dorados Latin America. The goal was developed with input from its suppliers, pork producers, animal welfare experts and McDonald´s US.

The move in Latin America follows the commitment by McDonald´s US to end the use of gestation stalls in its supply chain by 2022. Elissa Lane, deputy director of Humane Society International (HSI) Farm Animals, said, “Arcos Dorados’ announcement is important and promising. We support efforts to phase in group housing for sows, and look forward to working closely with Arcos Dorados in the coming years to improve animal welfare.”

Dr. Temple Grandin, renowned animal welfare scientist at Colorado State University and member of McDonald's Animal Welfare Council, said, "This first step will impact 20 countries in Latin America and the Caribbean. The timeline that Arcos Dorados has outlined will encourage research and identify better group housing alternatives, while ensuring higher standards of animal welfare. It is only a first step, but a first step in the right direction. I commend Arcos Dorados for leading in Latin America on this issue."

About Arcos Dorados

Arcos Dorados is the world’s largest McDonald’s franchisee in terms of systemwide sales and number of restaurants, operating the largest quick service restaurant (“QSR”) 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, including Argentina, Aruba, Brazil, Chile, Colombia, Costa Rica, Curacao, Ecuador, French Guyana, Guadeloupe, Martinique, Mexico, Panama, Peru, Puerto Rico, St. Croix, St. Thomas, Trinidad & Tobago, Uruguay and Venezuela. Arcos Dorados operates or franchises more than 2.062 McDonald’s-branded restaurants with over 95,000 employees serving approximately 4.3 million customers a day (as of December 31st, 2013). Recognized as one of the best companies to work for in Latin America, Arcos Dorados is traded on the New York Stock Exchange (NYSE:ARCO). To learn more about the company please visit our website: www.arcosdorados.com.

Contacts:

MBS Value Partners
Farrell Kramer, 212-710-9685
farrell.kramer@mbsvalue.com

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