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Coli outbreak December 2015: 3 more states affected

A total of 52 cases have now been reported in nine states, including Maryland, said the Centers for Disease Control and Prevention (CDC).

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The Denver-based chain said in a regulatory filing that sales trends have been “extremely volatile” since it closed restaurants in OR and Washington in early November as a result of the outbreak.

The Mexican restaurant chain announced that it expects the earnings within the range $2.45 – 2.85 per share, which is far below the analysts’ estimation of $4.09. The agency has not yet determined the ingredient that made people sick.

“Seven more ill people have been reported from California (1), IL (1), Maryland (1), OH (2), Pennsylvania (1), and Washington (1)…two of these illnesses started in October, five started in November”, said the CDC on Friday in a statement. The decline of Chipotle stocks has been dramatic – falling almost 8 percent in after-hours trading.

People usually get sick from Shiga toxin-producing E. coli, the bacteria commonly associated with food-borne outbreaks, for two to eight days after swallowing the germ, according to the CDC.

Comparable restaurant sales are anticipated to fall between 8% and 11% for the 2015 fourth quarter after comparable store sales dropped 16% in November. Now, the outbreak continues and expands to more areas affecting more patients. Symptoms can be severe and include abdominal pain, diarrhea, and a host of other complications. The company will be implementing new testing on all of its produce before it gets sent to restaurants, including tests for shelf life.

“In testing for pathogens, in many ways you’re looking for needles in haystacks”.

The company also said it might cut down on local food sourcing in the future, as local suppliers might not be able to meet the company’s heightened food safety requirements.

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Chipotle Mexican Grill, Inc., together with its subsidiaries, develops and operates fast-casual and fresh Mexican food restaurants. The company noted that its local produce program accounts for a “relatively small percentage” of the produce it uses, and only runs from around June through October in most parts of the country.

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