So Europe's a big driver. And at one point, if the euro hadn't devalued, they would have been making as much money as the US with half the stores. Returns were higher.

Playtime and toys are good for kids, or they wouldn't buy them. McDonald's can provide that experience. And having dinner with the family is good for kids.

You then get into a period a few years ago, where a lot of external factors that we didn't have anything to do with did hit, and some of them at the same time... devaluations, weak economies, you name it, in various parts of the world.

So Europe's a big driver. And at one point, if the euro hadn't devalued, they would have been making as much money as the US with half the stores. Returns were higher.

McDonald's is almost 50 years old. For 47 years we had a pretty consistent track record of being able to deliver admirable sales.

You have got to have discipline and focus - on the customer and how you run the business.

I think this year we'll open up 900 gross, we're closing some, so the net count is lower, but the 900 are spread all over the place. Some of the closures are relocations, where you're moving it to another place in the marketplace.

When you're doing that you lose your focus on the discipline of the business, and how you train people at Hamburger University, and everybody gets on a bigger, different vision, and they're not on the same page.

I think we have a great track record on being relevant, on identifying consumer trends, needs and wants.

As I said, I haven't spent a lot of time thinking about partner brands.

And so if your competitors aren't growing, if there isn't a competitive reason to grow, and you want focus and discipline to add customers to existing stores, you adjust your strategy.

But I tell you, I would really be interested if there was a partner we could take in, that could put them over here on the side, that would allow us full leverage and access down the road.

We cover hamburgers, chicken, veggie burgers, salads, we've got a pretty broad range. To me, McDonald's isn't only about the food. It's about the prices, it's about the way we eat.

Salads was a big indicator of that - there was a huge market out there for it. And why not tap it? Some of the things we are doing now around the globe are responding to customers. It's not because some guy sued you.

Every year we close 300-400 stores anyway, just relocations.

When you raise prices, you've got to make sure you get it to the bottom line. You can fritter it away because of the way you're running the business, with maybe not a totally disciplined approach.

I think we'll still be a family restaurant, we'll be contemporary, we'll be lifestyle, we won't be old, we won't be 60 years old in the view of the consumer.

But we had a pretty diversified portfolio of businesses around the world and things tended to offset each other. But one or two years ago, we had a lot of things happening at the same time.

The fact of the matter is, most of our orders are not supersized. Less than five per cent are supersized - that's never mentioned. The whole issue has been supersized itself.

And ours is a business that requires discipline and focus.

Ronald has had bicycle safety and safety in the home. Yes, Ronald is McDonald's, second most recognised figure after Santa Claus, and there's an element of obviously benefiting your business.

We have very specific rules about how we go to market with children, and I think they are very responsible.

The markets where we've got real good presence are the older, more mature markets like Australia, and Western Europe - where we've only got 6,000 stores, compared to the US with 13,000.

Some of the analysts were saying, Now you're a cash cow, there's no growth at all, pay it all out in dividends, give me it all, you can't invest wisely.

But, on balance, we seized the marketplace. We've got a great infrastructure. And yes it's struggling in some areas because of some external factors and some internal factors.

I talked about 12 to 18 months, and that's about reaffirming our foundation for sustained growth: getting the discipline back, getting the basics right, getting the customer focus back... so by the end of next year, I hope most of that's in place.

But you know the second month I was here I put out a healthy lifestyles directive. The pundits will say it was because we were sued. Well that's what they say. It was never about that.

But in terms of the code by which we go to market - it's not telling kids to supersize, we're not selling them, generally, products, in the advertising we do to them.

Because we only feed in the United States less than 1 per cent of the meals, most of them are eaten elsewhere. Most meals are eaten at home. So to make McDonald's the target is not going to solve the problem.

But the age of chivalry is gone. That of sophisters, economists, and calculators has succeeded; and the glory of Europe is extinguished forever.

If we wait for the U.S. to do something, we will be waiting for a very long time. It's Europe, it's Australia, it's the other developed and middle developing countries that have got to do the job.

Since I'm allergic to various things, the army wouldn't accept me during the war, and I got into the Office of War Information, which sent music to Europe.

I had a bonding problem when I went off and boxed for five years. I was over in Europe and Asia fighting because I wanted to do something different; I was tired of acting. But the thing is, when I was done doing that, I couldn't get a job.

Actually I'd had a certain amount of experience in Europe in the inter-war period, as a banker, and I was also a member of the Board of Directors of the International Chamber of Commerce.

Long after this wonderful event in the Earth's history, when the human species was spread over a good deal of Asia, Europe, and Africa, migration to the American continents began in attempts to find new feeding grounds and unoccupied areas for hunting and fishing.

These old ballparks are like cathedrals in America. We don't have big old Gothic cathedrals like they do in Europe. But we got baseball parks.

Now, the entire world community recognizes Georgia. We are members of the United Nations and the Council of Europe. Everything is being prepared so that we will soon enter the European Union.

Our aristocracy, unlike that of Europe, is open to all comers.

It's true that the war in Iraq opened a distance in relations between part of Europe and the U.S. government, but our basic ties are stronger than that. We share democracy, free markets and a commitment to Western security. We differ on how to guarantee that security.

In the report made on behalf of the C.G.T. we affirmed that the Peace Treaty should, in accordance with the spirit of workers' organizations, lay the first foundations of the United States of Europe.

One of the biggest development issues in the world is the education of girls. In the United States and Europe, it has been accepted, but not in Africa and the developing countries.

It's been President Clinton's dream that we'll have finally a fully integrated Europe.

The time is coming when the pressure of population on the means of subsistence will be felt here as it is now felt in Europe and Asia. Then will the world enter upon a new stage of its history - the final competition of races, for which the Anglo-Saxon is being schooled.

Muslim organisations tend to have a low level of organisation. The communities in Europe are quite diverse.

I would like to give it a name: it is the great fortress of Europe.

If the British Fleet were lost or captured, the Atlantic might be dominated by Germany, a power hostile to our way of life, controlling in that event most of the ships and shipbuilding facilities of Europe.

Who says I'm gonna marry another guy? In Europe it's not like in America, where you set a date.

I sometimes read in a gossip column that I was at a party when I was in Europe at the time. It sometimes feels I've got a Doppelganger somewhere.

When we fled from the oppressions of kings and parliaments in Europe, to found this great Republic in America, we brought with us the laws and the liberties, which formed a part of our heritage as Britons.