McD scores amid downturn, but doubts persist about espresso, Dollar Menu plans

As independent and chain restaurants nationwide struggled in recent months amid dwindling traffic and waning consumer confidence, the apparent main beneficiary of a growing trading-down effect, McDonald's Corp, reported upbeat third-quarter results and its highest same-store sales gain this year. In addition, nagging concerns still surround the uncertain future profitability of McDonald's signature Dollar Menu. Net income of $1.19 billion, or $1.05 a share, compared with $1.07 billion, or 89 cents a share, for last year's third quarter, beating Wall Street's forecast of 98 cents a share. Meanwhile, McDonald's management has been meeting with franchisees to discuss options to make the Dollar Menu more profitable. Dollar Menu discussions about standardized pricing have focused on "the lead sandwich," namely, the Double Cheeseburger.