McDonald's to Say Farewell to Iceland

If you travel to Iceland, don't think you can get a Big Mac there. No, you won't even be able to get a hot cup of joe at the McCafe: the two McDonald's restaurants in Iceland are being closed.

Chalk it up to the global recession. Because the Icelandic market is so small (too small for local production), McDonald's has to import everything for its Icelandic restaurants. That includes packaging, meat, vegetables, cheese.

The falling krona has made imports prohibitive. The restaurants are currently importing their supplies from Germany. "The decision was not taken lightly," Jon Gardar Ogmundsson, the owner of Lyst which runs the restaurants, told AFP.

Ogmundsson said Lyst plans to rebrand the restaurants so they can sell cheaper Icelandic food. He also added that the odds of McDonald's returning to Iceland are nil.