LOS ANGELES, Jul 10, 2003/ FW/ --- Following the recent pilot promotion in Sacramento, the world's largest fast food chain and the California Milk Processor Board (CMPB) announced today they will expand their alliance to Southern and Central California. Beginning this month, McDonald's® restaurants in greater Los Angeles, San Diego, Bakersfield and the Central Coast/Santa Barbara will join their counterparts in Sacramento to promote milk with McDonald's Breakfast Happy Meals®.

During this expanded promotion - to run through September - kids will receive a carton of cold milk with Breakfast Happy Meal purchases, as well as GOT MILK? gifts and Happy Meal toy premiums. Time stressed customers will have several Breakfast Happy Meal options, including the new McGriddles sandwiches.

In Southern California, milk will also be offered (instead of the usual soft drink) with the Hamburger Happy Meal on the Salads and More™ menu. Additionally, McDonald's employees will sport GOT MILK? crew buttons and the tagline will appear on restaurant menu boards, trayliners, and other point-of-purchase displays.

"While milk has always been on the menu at McDonald's, this is the first time it will be aggressively promoted at breakfast," says Jeff Manning, CMPB executive director. "Milk simply makes a McDonald's Happy Meal better."

"This alliance makes a lot of sense for McDonald's and GOT MILK?," says Andrew Barish, fast food industry analyst, Banc of America Securities. "I wouldn't be surprised if it rolled-out nationally before long."

"With the addition of milk to our new Breakfast Happy Meals, parents have another option for their kids," stated Neal Ruby, president, McDonald's Operators' Association of Southern California. "This is very important because many of our customers, especially parents, are busier than ever before."

The GOT MILK?/McDonald's alliance is perfectly timed. McDonald's aims to raise awareness of its new menu options, and the milk industry needs to compete against a slew of beverage marketers.

The GOT MILK? campaign, which turned 10 this year, has become an American icon boasting a 97% consumer awareness rate.