NEW YORK While absorbing Merrill Lynch & Co. amid the sweeping crisis on Wall Street, Bank of America allegedly has declined to extend more credit to McDonald's franchisees seeking financing for such upgrades as new equipment for the chain's espresso-based beverages.
ABloomberg News report on Monday cited what was said to be an internal memo in which McDonald's told franchisees that it was "identifying new sources of liquidity and loan programs" for them.
McDonald's would not authenticate the memo, but spokesman Walt Riker told Nation's Restaurant News that the company and its franchisees have "strong and ready access to cash."
Bank of America did not return calls by press time.
In midday trading Tuesday, McDonald's shares were down less than 1 percent, at $62.51.