oolivier blanchard is with us, with the international fund. >> susie: mcdonald's served up better than expected fourth quarter earnings today. the fast food giant earned $1.4 billion, or $1.38 a share. that was a nickel better than expected. as well as a nickel better than the same period last year. still, the company faces some supersized challenges. erika miller reports. >> reporter: it may seem surprising, but europe is actually mcdonald's top market, accounting for nearly half of the company's revenues. but the region's economic problems are taking a toll on mcdonald's bottom line, as fewer europeans dine out. >> the european economy is something that is going to take a long time to recover. so, i wouldn't look with great expectation to europe. maybe its decent this quarter. but i don't think it's something that's going that's going to be a big driver over the next couple of years. >> reporter: operating income in europe slipped 1% last year, compared to a 2% gain in the u.s. the asia pacific, middle east and african category did the best. but the weak global economy is only part o