Chipotle E. coli outbreak broadens to 9 states, shares drop

Chipotle says it has responded aggressively to the E. coli outbreak.

Chipotle shares, which closed down 0.7 percent during the regular session, slid another 6.2 percent to $561.20 in extended trading. Of the three most recent illnesses reported in November, only one ill person reported eating at Chipotle in the week before their illness began on November 10, said the CDC.

Of the 52 people interviewed by CDC investigators, 47 reported eating at a Chipotle Mexican Grill restaurant before becoming sick, according to the CDC.

Chipotle, meanwhile, says it’s tightening its food safety standards.

The government health agency said Illinois, Maryland, and Pennsylvania were added to the list of states reporting illness, bringing to the total to nine states. Twenty people sickened in the outbreak had to be hospitalized, according to the CDC. Investigators suspect a fresh produce item that was shipped from one location to multiple restaurants.

Cases have now also been reported in California, Illinois, Maryland, Minnesota, New York, Ohio and Pennsylvania. Its shares have dropped 25 percent since mid-October. Symptoms of the Shiga toxin-producing E. coli, including sometimes-bloody diarrhea and cramps, usually strike three to four days after ingesting the bacteria.

In a regulatory filing on Friday, the fast-food chain forecast that its comparable sales – at stores open for at least a year – will fall by between 8% and 11% in the fourth quarter.

Two of the newly reported illnesses started in October, and five started in November, suggesting the outbreak was not as short-lived as previously thought.

“This provides additional evidence that illnesses outside the Pacific Northwest are related to the illnesses in OR and Washington”, the CDC said.

The chain known for touting the quality of its ingredients said it hired IEH Laboratories in Seattle to help improve its procedures.

Chipotle said Friday it tested ingredients before, but that it is moving to testing smaller batches and a larger number of samples.

Chipotle said Friday that no ingredients that are likely to have been connected to the incident remain in its restaurants or supply system. Some of the features of the new program include: the use high-resolution testing on all fresh produce.

Chris Arnold, a spokesman for Chipotle Mexican Grill Inc., said the company’s local produce suppliers may not all be able to meet the new standards.