McDonald's invests over 100 million for recovery after E coli outbreak

McDonald's is investing over $100 million in a recovery strategy following an E. coli outbreak linked to its slivered onions.

Outbreak Impact

The outbreak has caused a decline in sales and customer traffic, particularly after the CDC connected the illness to the fast-food chain.

McDonald's CFO, Ian Borden, mentioned a downturn in business but remains optimistic about the company's overall performance.

Investment Details

The investment includes $65 million for franchise owners who have experienced significant losses and $35 million for traffic-driving initiatives.

McDonald's plans to implement localized recovery plans and has reinstated the Quarter Pounder with slivered onions nationwide.

Outbreak Statistics

The CDC has reported 104 cases, 37 hospitalizations, and one death across 14 states.

The FDA has stated that there are no ongoing food safety concerns at McDonald's.

Recovery Strategy

McDonald's executives believe their recovery strategy will mitigate long-term damage and market analysts are monitoring their response.

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