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McDonald’s Corp.'s fourth-quarter earnings rose 2.1%, even as December same-store sales took a hit from the severe weather in the U.S. and Europe. The company also said it will raise prices this year in the face of rising commodities costs, although it didn't get into specifics on the increases.

Chief Financial Officer Pete Bensen said McDonald's is locking in costs where it can and is about as locked in now as it was a year ago. But beef continues to be biggest variable. Overall, McDonald's raised its 2011 forecast for commodities costs, expecting them to rise 2% to 2.5% in the U.S. and 3.5% to 4.5% in Europe. In October, it was expecting a 2% to 3% increase for 2011.

The fast-food giant's same-store sales for the quarter rose 5% globally from the prior year but they slowed markedly at the end of the year, when winter storms kept consumers at home. December's 2.6% growth in the U.S. fell below Street Account's analyst consensus of 3.8%, and marked a steep decline from the prior two months, which showed 6.5% and 4.8% increases. Europe had a 0.5% drop after growth in October and November was roughly 5%.