McDonald's patrons in China will have to wait for their next Big Mac. The fast food chain is facing a beef and chicken shortage in Beijing and Shanghai following allegations its meat supplier intentionally reprocessed and sold expired meat to restaurants.
On Monday, McDonald's began pulling its meat products from some of its stores, pushing customers toward its fish sandwiches. The shortage is expected to last until early August.
OSI Group Inc., which is based in Aurora, Ill., said it was suspending operations of its subsidiary Shanghai Husi Food Co. and investigating to discover the parties responsible. The company also said it is reviewing all of its plants in China. In a press conference Monday, CEO Sheldon Lavin said: "We know we have let down our customers, the government, and the public of China."
Short of cutting ties with OSI Group, McDonald's halted orders from Shanghai Husi Food last week but said it would order products from other OSI factories in China. Yum Brands, parent company of KFC, and Burger King Worldwide both said they would no longer purchase products from OSI in China.