Pershing Square Activist Presentation Deck

III. Pershing's Proposal to McDonald's: McOpCo IPO A review of large REITs indicates that these businesses support investment grade ratings with a debt to enterprise value of 36% on average, as compared to Pro Forma McDonald's which would have a debt to enterprise value of 25%. Company Name Simon Property Group Inc. Equity Office Properties Trust Vornado Realty Trust Equity Residential Prologis Archstone-Smith Trust Boston Properties Inc. Kimco Realty Corp. AvalonBay Communities Inc. Median Total Debt/EV Average Total Debt/EV Credit Ratings of Large Public REITS PF McDonald's Total Debt/EV Notes: Stock prices as of 11/11/2005. PF McDonald's EV assumes a valuation multiple of 13x EV/FY'06 EBITDA. Total Debt includes Preferred. 37 Total Debt/ Enterprise Value 47.2% 50.9% 37.4% 38.4% 31.5% 33.5% 36.0% 25.2% 27.3% 36% 36% 25% Moody's Rating Baa2 Baa3 Baa3 Baa1 Baal Baa1 NR Baa1 Baal Moody's Outlook Stable Stable Stable Stable Stable Stable NR Stable Stable S&P Rating BBB+ BBB+ BBB+ BBB+ BBB+ BBB+ BBB+ A- BBB+ S&P Outlook Stable Stable Stable Stable Stable Stable Stable Stable Stable

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