McDonald's selling lattes and cappuccinos: WSJ

NEW YORK (Reuters) - In a direct shot at rival chain Starbucks Corp., (SBUX.O), McDonald's Corp. (MCD.N) is moving closer to adding lattes and cappuccinos to its menus nationwide, the Wall Street Journal reported on Thursday.

The fast-food company is already installing behind some of its counters large black machines that dispense vanilla lattes, iced mochas, caramel cappuccinos and other specialty coffee drinks, the paper said.

McDonald's began testing espresso drinks when it opened its first McCafe in the United States in 2001 in an experiment to capture part of the growing coffeehouse business fostered by Starbucks, the paper said.

The chain has recently started selling the drinks at restaurants in Michigan, New York and New Jersey, the paper said, adding that one franchisee said the company has indicated it is preparing to add them in other parts of the country, the paper said.

McDonald's could not immediately be reached for comment.