chew on this
Posted by Shirley Brady on January 8, 2013 09:31 AM
Yum Brands, the parent company of KFC, is trimming its 2013 outlook on lowered China sales projections.
A scandal involving two of KFC China's small chicken suppliers hurt sales more than expected in the market, with sales at locations open at least a year expected to be down 6 percent, compared with the 4 percent drop previously forecast for this year.
News of the so-called 45 Day Chicken food safety scare broke late last year, but Yum Brands says it stopped using chicken from suppliers in China that are now under a government investigation before the review was announced. Analysts expect the company to recover from the business hit in its biggest market. (Above, U.S. NBA star Jeremy Lin promotes KFC China.)