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McDonald's wants to “restore trust” after E. coli outbreak linked to Quarter Pounders, president says

McDonald's wants to “restore trust” after E. coli outbreak linked to Quarter Pounders, president says

The president of McDonald's USA said Wednesday that the company can “restore confidence” as it tries to minimize the damage from an E. coli outbreak linked to the chain's Quarter Pounders in several states.

“We are very confident that you can go to McDonald's and enjoy our classics. We acted quickly yesterday and removed the Quarter Pounder from our menu. This was a quick and decisive action on our part,” Joe Erlinger, president of McDonald's USA, told NBC's “TODAY” show.

He said the company is working with the Centers for Disease Control and Prevention, but would not say whether the company believes contaminated food is still being used by other companies in the affected areas.

Asked whether the outbreak would harm the company and cause long-term damage to its reputation, Erlinger said: “You know, our founder famously said, 'If you take care of our customers, the business will take care of itself.'

“And on a day like today, given the news we've received in the last 24 hours, that's really our focus. “We're confident we'll get through this and restore Americans' trust.” Getting consumers to come to McDonald's,” he continued.

The outbreak sickened at least 49 people in 10 states and killed one older adult in Colorado, according to the CDC. Ten people were hospitalized, including a child who developed a kidney disease called hemolytic uremic syndrome.

It's still not known which ingredient is making people sick, although both onion slices and quarter-pound beef patties – both used in recipes – are being studied. Quarter Pounders have been pulled from restaurants in affected states.

At a McDonald's in Denver, 51-year-old customer Mike Railey had concerns about whether he should eat his bacon, egg and cheese biscuit for breakfast on Wednesday morning.

“I'll probably stay away from McDonald's now,” said Railey, who had not heard of the outbreak. “I probably would have thrown it away because it wasn’t worth the risk.”

The drive-thru lines at McDonald's were busy throughout the day as guests came and went. Customer Aaron Chapa, 22, said he eats at the restaurant a few times a week and had a Quarter Pounder on the weekend but never got sick.

“I knew only the Quarter Pounder was affected,” said Chapa, who satiated his hunger with a cheeseburger Wednesday. “I’m probably fine.”

Another customer, Yash Reddy, 24, didn't let the outbreak stop him from visiting the chain and said he would be careful when choosing his menu items.

“I’m just going to adjust my order,” he said before entering.

McDonald's announced Tuesday its initial findings from an investigation that “a subset of illnesses may be linked to onion slivers used in the Quarter Pounder and purchased from a single supplier serving three distribution centers.”

The CDC launched an investigation on Oct. 15 after the outbreak's first case appeared on Sept. 27, and Colorado health officials alerted the CDC to a spike in E. coli cases on Oct. 10.

When asked whether the number of sick people is likely to rise, given the outbreak data, Erlinger said: “If there was a contaminated product in our supply chain, it has most likely already spread through that supply chain.”

He said the company would “accommodate more data” from the CDC as the investigation progresses and “continue to let science guide our actions.”

Officials believe it is possible that more illnesses will be reported because it takes three to four weeks to determine whether a sick person is part of an outbreak. Symptoms of an E. coli infection include high fever over 102 degrees, severe stomach cramps, diarrhea and vomiting.

The most cases were reported in Colorado with 26, while Nebraska reported nine cases. Additional cases have been reported in Iowa, Kansas, Missouri, Montana, Oregon, Utah, Wisconsin and Wyoming.

McDonald's has largely weathered the pandemic-related surge in ingredient prices and labor costs that has impacted the entire restaurant industry.

However, a growing subset of customers were increasingly turned off by what they perceived as a loss of McDonald's traditional value proposition.

To combat that perception, McDonald's announced this summer that it had begun offering $5 “meal deals,” along with a number of other deals available through its mobile app. In September, the company said it would extend the $5 meal deal offer through at least the end of the year.

That seemed to do the trick: After hitting a nearly two-year low in July, McDonald's stock price has risen nearly 25% since August.

But Tuesday's outbreak announcement is already diminishing those gains. In premarket trading on Wednesday, McDonald's shares were down about 7%. In a note to clients after the outbreak was announced, an analyst at financial group Guggenheim Partners said it had downgraded its rating on McDonald's shares as it awaited “more clarity on evolving food safety issues.”

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