On Monday, Chipotle Mexican Grill, Inc.’s (NYSE:CMG) Boston outlet was closed down temporarily, following assertions from a number of Boston college students. The claims surfaced after 30 students, including members of men basketball team, complained of “gastrointestinal symptoms” after having eaten from one of its outlet.
The news pulled Chipotle shares down 6.3% to $517, during after-hours trade, as investors are wary of the restaurant’s closure taking a toll on Chipotle’s sales.
The Massachusetts Department of Public Health has commenced investigations, as per the school’s directives. The Department probes if the illnesses are linked to the nation-wide outbreak of E-coli in any way.
Moreover, Bloomberg reported that on Monday afternoon, the school sent out a notice addressing its students about the illnesses and the “common denominator of all affected students having eaten at the local Chipotle restaurant,” reports Jack Dunn, school’s spokesperson.
He further stated that 30 Boston College students are suffering from food poisoning after consuming food from a Chipotle restaurant in Cleveland.
In a statement regarding this, the corporation stated: “The safety and well-being of our customers is always our highest priority, so our restaurant at Cleveland Circle in Boston is temporarily closed while we work with local health officials to investigate a number of illnesses among Boston College students.”
While its fresh, non-GMO ingredients used to be a popular selling point for the fast-casual chain, public opinion took a dive after E. coli, norovirus, and salmonella outbreaks sickened more than 500 people across 10 states in 2015. Chipotle faces lawsuits from customers and investors, not to mention a criminal investigation regarding the norovirus outbreak in California.
Chipotle executives are now hoping the promise of free burrito bowls and taco trios will entice customers to return to the Mexican joint. Along with the freebies, executives announced that all of the chains’ 2,000 stores would shut down for several hours on Feb. 8 for a food-safety meeting. Soon thereafter, Chipotle will begin an intensive campaign focused on assuring news outlets that the food outbreaks are over and reminding consumers how great the food tastes, according to Food Safety News.
Chipotle’s marketing game plan is its latest attempt to restore its image. CEO Steve Ells wrote an apology letter published in 61 newspapers and promised that the chain would be the “safest place to eat” during an appearance on The Today Show last December. That month, the chain also announced new food preparation protocols from dicing some ingredients at a central location to blanching vegetables in boiling water that “will reduce the risk of contamination to a level near zero,” Chipotle spokesperson Chris Arnold told Fortune.
Last year, Chipotle was linked to successive food poisoning outbreaks. Considering the same, the company has decided to remain close for a few hours in the coming month to talk over food safety.
In September, two California residents sued Chipotle for damages in U.S. court after they said they became sick from eating at the Simi Valley location.
Alyssa McDonald vomited repeatedly, developed “explosive diarrhea,” and suffered chest pains after eating at restaurant, according to court documents. Another customer said she had to go to a hospital emergency room for days.
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