Seven more E. coli cases reported
Of the 52 people interviewed by CDC investigators, 47 reported eating at a Chipotle Mexican Grill restaurant before becoming sick, according to the CDC.
The agency also reported seven additional cases of illness that occurred in October and November. The company said that it had hired IEH Laboratories in Seattle to help it to improve its procedures. “In light of recent sales trends and additional uncertainty related to the E. coli incident, we can not reasonably estimate 2016 comparable restaurant sales at this time”.
The fat casual restaurant chain is now linked to nine-state E. coli outbreak that has sickened 52 people and was linked to a Salmonella outbreak in Minnesota that sickened 64 people in September. On Friday, it said illnesses that started after November 11 may not be reported yet. Analysts surveyed by FactSet had expected Chipotle to earn $4.12 per share for the December quarter.
Chipotle, which is known for touting the quality of its ingredients, also said Friday it was tightening its food standards.
“During the local season, we might get a high percentage of one or two or three ingredients in a given market-things like lettuce or peppers or herbs-from a local supplier, but not all produce would be locally grown even during the local season”, Mr. Arnold said.
The outbreak initially was reported in just Washington and OR, but has now spread to seven other states, including California, Illinois, Maryland, Minnesota, New York, Ohio and Pennsylvania.
Chipotle has taken a beating lately thanks to some E. coli outbreaks.
But after the CDC announced four new E. coli cases linked to Chipotle, comparable sales fell by about 22%. (NYSE:CMG) were released by: Investorplace.com and their article: “Chipotle Mexican Grill, Inc.: CMG Stock Is Begging to Bounce” published on November 09, 2015 as well as Fool.com’s news article titled: “Why Chipotle Mexican Grill, Inc’s High-Flying Growth Days Are Probably Over” with publication date: October 30, 2015.
Chipotle shares dropped 6.2% after hours, after slipping 0.7% during the day’s trading session. The E Coli cases have been plaguing the restaurant since October. The CDC has said that a “common meal item” or ingredient is likely to blame, though the specific culprit hasnt been identified.
The CDC has not named the affected restaurant locations. While that may be good for nutrition, experts say it raises the risk of foodborne illness because cooking kills pathogens that cause illness.