The 47-year-old Canadian had joined Frankfurt in January 2001. Previous coaching stints of the former Edmonton Oilers All-Star winger include the Fredericton Express of the AHL and the Muskegon/Cleveland Lumberjacks (IHL).
Former Munich Barons assistant coach Doug Bradley will serve as an interim head coach until the Lions find a replacement for MacDonald. The 45-year-old Canadian was originally brought in as an assistant head coach two weeks ago.
Bradley worked for the Lions before, from 1997 to 1999, prior to his two-year stint with the Barons.