NEW YORK: McDonald’s said yesterday that a recent scandal over expired meat from a Chinese food supplier has had a “significant negative impact” on sales in China, Japan and some other markets.
The fast food giant also said it was working to regain customer confidence in a region that accounts for 10 percent of its revenues. On July 21, Shanghai officials shut the Shanghai Husi Food Co following a television report alleging the plant mixed out-of-date meat with fresh product. Chinese police later detained five Shanghai Husi officials.
As a consequence, “McDonald’s businesses in China, Japan and certain other markets are experiencing a significant negative impact to results,” the company said in a quarterly securities filing. “McDonald’s is undertaking recovery strategies to restore the trust and confidence of our customers,” it added.
Last week, McDonald’s said it stopped using food from all Chinese plants owned by Shanghai Husi’s parent company, US-based OSI Group.
Japanese McDonald’s restaurants also halted the sale of products made with chicken from China.
AFP
