Fast food chain McDonalds is to open another 37 restaurants in Ireland over the next three years, creating more than 2,600 full and part-time jobs, the company has said.

The expansion, which will entail an investment of around £40 million (€50.79 million), will bring McDonald's employment in Ireland to more than 6,000. Around half of the new restaurants will be franchised, with the remainder being operated by McDonald's Restaurants of Ireland. McDonald's Restaurants of Ireland also announced yesterday that it had bought out Pantry Franchise Ireland. This company is owned by Mr Michael Mehigan who was the first McDonald's franchisee in Ireland, opening his first restaurant in Dublin's Grafton Street 21 years ago. Mr Paul Booth, managing director of McDonald's Restaurants of Ireland, declined to disclose how much his firm had paid for Pantry Franchise. It is understood that the company's annual turnover was £25 million.

Mr Booth said McDonald's would open a new restaurant in Mary Street, Dublin later this year. It is one of 11 being opened in 1999. He said a further 12 will open next year, with the remainder opening the following year. The majority of new restaurants will be located in Dublin.

McDonald's says each new restaurant employs around 70 people. It is understood that although prices vary, each restaurant entails a £1.1 million investment on average. Around half of McDonald's current 47 restaurants are franchised, with McDonald's in Ireland operating the remainder themselves.

Yesterday's announcement follows a similar one by McDonald's rival Burger King. OKR, the Irish franchise holders for the chain said was investing £7 million (€8.88 million), which will increase its workforce by 240 to more than 1,000.