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New China Scandal Not So Yum!

Photo: Zach Everson

Just beginning to bounce back from a scandal involving chickens pumped with excessive amounts of antibiotics, Yum! Brands and McDonald's are facing a new food safety scare in China. Both companies were forced to apologize to customers after Chinese regulators confirmed a TV report showing workers at a supplier to both brands picking up meat from a factory floor, as well as mixing fresh meat with post-expiration-date meat. Both firms have said they will cease business with the supplier, which has been shut by regulators.

The scandal was trending on Weibo, China's Twitter-esque social media platform as both companies said they were investigating the matter, and some consumers seem concerned. Xu Xinyu, 24, a financial services worker, is quoted as saying "For now I won't go to eat at McDonald's or KFC, at least until this whole thing settles down."
· Yum, McDonald's apologize as new China food scandal brews [Reuters]
· Yum Brands posts higher second-quarter earnings [Business First]