there with chicken foldovers and quarter pounders', says Solomon.
Over the past few years, the company has introduced a number of firsts: the drivethrough, then breakfast, then 24/7
restaurants and most recently the McCafe with a range of coffees, teas and frappes.
The newly launched McCafe only forms 46% of total turnover as yet. But given its continually evolving snack,
savoury and baked goods menu as well as the massive investment in very decent coffee makers, this may grow over
time.
'We don't want to be a plastic canteen that sells burgers. We are not trying to be a fine dining restaurant, but a
casual, informal eating out experience for a family that offers great food, in an environment that feels like home with
good service,' says Solomon.
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The Ramaphosa touch
Businessman Cyril Ramaphosa's company, Shanduka, acquired McDonald's 20year master franchise last year to run
all McDonald's restaurants in SA a combination of franchise and corporateowned stores.
Solomon explains that Ramaphosa is involved actively at a high level he understands the detail but lets Solomon run
the business.
In response to a Moneyweb question on what Ramaphosa has brought to the table as yet, Solomon emphasises that
Ramaphosa is not going to change the brand and that he brings leadership, vision, accelerated growth, as well as the
capital and resources to prompt growth. Also the merger allows for a local, independent and accountable view on
investments where they are responsible for their own return and not dictated to by the New York stock exchange.
Tough times
This year will be tough, continuing on to Q1 and Q2 next year, after which there will be a slight upturn in mid2013,
warns Solomon, adding that the company is preparing to maximise on the latter.
During its 17year tenure in SA, the company has weathered a number of economic downturns. He says it expected
hard times in 2011 and 2012 and prepared for them. Philosophically he says: 'If you're not resilient enough to
weather the storm, you probably need to get out of this line.'
Its best year in terms of organic growth, for its first 15 years at least, was 2010 possibly due to the World Cup.
Although the past three years have been the best ever, organic growth has slowed down and the company is
experiencing 'really tough backdoor profitability pressures that are hitting the business.'
'In the highly competitive informal eatingout sector, where companies are fighting for market share, people need to
understand their business's [evolution] over the past five years . . . and have vision, intelligence, stability and brevity
to see where they want to be in the next five years,' he advises."
[31] Ms Seggie wrote Moneyweb 3 after she and two other journalists from other media groups had attended a
media visit at McDonald's Woodmead restaurant. Moneyweb's editor then edited it and wrote the headline
before it was published.
[32] Ms Seggie states that, in terms of her contract of employment with Moneyweb, she wrote Moneyweb 3, other
articles and various headlines. She adds: "These articles and headlines are original works and required my
independent effort, skill and expertise to write."
[33] Moneyweb has not adduced any further evidence relating to the manner in which Ms Seggie went about
writing Moneyweb 3. I do not know who hosted the media visit on behalf of McDonald's; whether the
presentation was only oral; whether there was a written press statement issued as well; whether Ms Seggie
took notes; and to what extent Moneyweb 3 differs from the presentation given. Even if I were to assume
from the content of the article that Mr Greg Solomon hosted the media visit, the other questions remain
unanswered.
[34] As with the previous articles, I do not know how much of Moneyweb 3 is Ms Seggie's own work nor how much
she has simply repeated of the presentation at the media visit.
[35] I am not able to discern the nature and extent of her contribution to the article. I do not know to what extent
Moneyweb 3 differs, if it differs at all, from the existing material on which it is based. Her statement that the
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"article is an original work and required [her] independent effort, skill and expertise to write" has become a
mantra to be recited by all the authors of the Moneyweb articles. But it adds nothing because it simply
concludes without providing the facts on which it is based. Accordingly, I find that Moneyweb has not
established that Moneyweb 3 is an original work.
The fourth article: "Hout Bay castle sold for R23m"
[36] I shall refer to this article as Moneyweb 4. It was published on 14 September 2012 at 5:42pm and was
written by the late Ms Michel Schnehage, a property journalist who was contracted to Moneyweb to write
articles for publication on its website. There is understandably no direct evidence from Ms Schnehage.
[37] I have set out the article below and underlined those parts that were reproduced in the related Fin24 article:
"Hout Bay castle sold for R23m
Furniture and trimmings included in the deal.
JOHANNESBURG A Russian businessman has bought a sixstorey castle (pictured) nestled in the Karbonkelberg on