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Law & Regulation

Yum, McDonald's hit by new China food scare

KFC parent Yum! Brands (YUM.NYSE) and McDonald’s (MCD.NYSE) on Monday apologized to customers after another food safety scandal broke in China, Reuters reported. Chinese regulators shut a local meat supplier after a TV report that showed workers picking up meat from a factory floor, as well as mixing meat beyond its expiration date with fresh meat. The companies said they immediately stopped using the supplier, Shanghai Husi Food, a unit of Aurora, Illinois-based OSI Group, and had switched to alternatives. They added that the factory served restaurants in the Shanghai area.

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