US fast-food chains remove onions following McDonald’s E. coli outbreak

Although 5% of Burger King locations also source onions from Taylor Farms, the chain reported no illnesses and has not been contacted by health authorities. Yum Brands stated that the decision to remove onions was made “out of an abundance of caution.”

The US Department of Agriculture confirmed that fresh onions were the likely source of the outbreak. Regulators are investigating whether McDonald’s beef patties are affected, though E. coli is typically killed in beef when cooked properly.

In response, McDonald’s has removed its Quarter Pounder, which is served with raw onions, from about 20% of its US locations, particularly in states like Colorado, Kansas, and Utah.

David Tarantino, an analyst from Baird Equity Research, downgraded McDonald’s shares, expressing concern that the outbreak could hurt consumer sentiment and impact sales. Despite the outbreak, some customers remain loyal to McDonald’s, while others, like Monica Martinez in Colorado, have shifted to competitors like Burger King.

The E. coli outbreak was first reported by the US Centers for Disease Control and Prevention in late September, and investigations are ongoing, including testing samples of beef for contamination.

(With inputs from Reuters)