According to the documentation at:

http://docs.kendoui.com/kendo-ui/api/web/menu#configuration-dataSource 

you can add the following information to a dataSource:

text
cssClass
url
encoded
content
imageUrl
spriteCssClass

However you cannot add an id to the menu item you are creating.  This makes it very difficult to remove items by using:

menu.remove("#Item1");

The only way round this is to assign a unique class to each menu item and then remove them using:

menu.remove(".news");

If an id can be added that would be great.  You have an example here:

http://docs.kendoui.com/kendo-ui/api/web/menu#methods-remove

Which is what we would like to do except the items will be created via a program and not static HTML.