- McDonald’s on Sunday announced it had fired its CEO, Steve Easterbrook, for violating company policy by having a relationship with an employee.
- McDonald’s shares sank as much as 3% on Monday, wiping $4 billion from the company’s market capitalization at intraday lows.
- Since Easterbrook took the helm in 2015, the McDonald’s share price has more than doubled.
- Watch McDonald’s trade live here.
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McDonald’s lost $4 billion in value early Monday morning, with the stock sinking as much as 3% after investors balked at the shock firing of the company’s CEO.
That stock drop wiped about $4 billion off the company’s value at those intraday lows, based on its market capitalization of about $147.3 billion from Friday’s close. The fast-food chain said in a press release on Sunday that it fired CEO Steve Easterbrook for violating company policy by having a relationship with an employee.
Since Easterbrook took the helm in 2015, the McDonald’s share price had more than doubled.
The company’s board on Friday voted to remove Easterbrook from the role, however, saying he “violated company policy and demonstrated poor judgment involving a recent consensual relationship with an employee.”
“I engaged in a recent consensual relationship with an employee. This was a mistake,” Easterbrook said in an email to staff, according to the Financial Times, which said he added: “Given the values of the company, I agree with the board that it is time for me to move on.”
Chris Kempczinski, who had been serving as president, will take over for Easterbrook. The company said in a press release that he was “the best leader to set the vision and drive the plans for the company’s continued success.”
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