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Other Operating (Income) Expense, Net
 12 Months Ended
Dec. 31, 2018
Other Income and Expenses [Abstract]  
Other Operating (Income) Expense, Net
Other Operating (Income) Expense, Net
 
In millions
2018

 
2017

 
2016

Gains on sales of restaurant businesses
$
(304.1
)
 
$
(295.4
)
 
$
(283.4
)
Equity in earnings of unconsolidated affiliates
(151.5
)
 
(183.7
)
 
(54.8
)
Asset dispositions and other (income) expense, net
(12.9
)
 
18.7

 
72.3

Impairment and other charges (gains), net
231.7

 
(702.8
)
 
341.6

Total
$
(236.8
)
 
$
(1,163.2
)
 
$
75.7


 
▪
Gains on sales of restaurant businesses
The Company’s purchases and sales of businesses with its franchisees are aimed at achieving an optimal ownership mix in each market. Resulting gains or losses on sales of restaurant businesses are recorded in operating income because these transactions are a recurring part of our business.
▪
Equity in earnings of unconsolidated affiliates
Unconsolidated affiliates and partnerships are businesses in which the Company actively participates but does not control. The Company records equity in (earnings) losses from these entities representing McDonald’s share of results. For foreign affiliated markets—primarily China and Japan—results are reported after interest expense and income taxes.
▪
Asset dispositions and other (income) expense, net
Asset dispositions and other (income) expense, net consists of gains or losses on excess property and other asset dispositions, provisions for restaurant closings and uncollectible receivables, asset write-offs due to restaurant reinvestment (including investment in EOTF), and other miscellaneous income and expenses.
▪
Impairment and other charges (gains), net
Impairment and other charges (gains), net includes the losses that result from the write down of goodwill and long-lived assets from their carrying value to their fair value. Charges associated with strategic initiatives, such as refranchising and restructuring activities are also included. In addition, as the Company continues to make progress toward its long-term global refranchising goals, the realized gains/losses from the sale of McDonald's businesses in certain markets are reflected in this category, including the 2017 gain on the sale of the Company's businesses in China and Hong Kong.