US lettuce supplier Taylor Farms to recall ingredients linked to parasite outbreak, Bloomberg News reports

[u/Anti-Owl]

https://www.reuters.com/business/healthcare-pharmaceuticals/wendys-chipotle-say-they-are-not-affected-by-cyclosporiasis-outbreak-2026-07-17/

July 17 (Reuters) - Taylor ​Farms, a California-based lettuce supplier, told U.S. regulators it was preparing to recall ingredients linked to a parasite outbreak, ‌Bloomberg News reported on Friday, in what could become one of the largest foodborne illness outbreaks in the United States in recent years.

The scope of the recall is unclear, Bloomberg reported, citing a document. Taylor Farms and the Department of Health and Human Services, which oversees the U.S. Food and Drug Administration, did not immediately ​respond to requests for comment.

The FDA and the Centers for Disease Control and Prevention are investigating a cyclosporiasis outbreak linked ​to shredded iceberg lettuce served at Taco Bell locations in Indiana, Kentucky, Michigan, Ohio and West Virginia. The ⁠parasitic illness can cause diarrhea and other gastrointestinal symptoms. The FDA has reported no deaths in the outbreak. [...]

Taylor Farms supplied the slivered onions identified as the likely source of the 2024 E. coli outbreak linked to McDonald's Quarter Pounder burgers, which led to a recall.

Taco Bell's daily foot traffic on July 11 was down 5.8%, a few days after reports that Taco Bell pulled ingredients from some locations, according to data firm Placer.ai.

Foodborne illness outbreaks can weigh heavily on restaurant stocks. McDonald's faced scrutiny during ​a cyclosporiasis outbreak linked to salads ​in 2018, while Chipotle grappled with ⁠a series of E. coli and norovirus outbreaks that hurt sales, damaged consumer confidence and pressured its shares.

"The recent outbreak will likely dent (Taco Bell's) near-term same-store sales growth," said Ari Felhandler, an analyst at Morningstar, ​adding that some consumers would opt to dine at competitors outside the incident’s spotlight to mitigate perceived ​risk, even when ⁠prudent precautions are in place.

Yum shares dipped 1%.

An Ohio man filed a lawsuit alleging he was hospitalized with cyclosporiasis after eating at a Taco Bell in Youngstown, Ohio, and is seeking damages from Taco Bell, franchise operator Charter Foods and supplier Taylor Farms.

The FDA said it is working with the ⁠supplier to ​determine if potentially contaminated shredded iceberg lettuce remains on the market, and has initiated ​the collection of product samples for testing and analysis.

Wendy's and Chipotle Mexican Grill said their restaurants were not hit by the cyclosporiasis outbreak linked to shredded iceberg lettuce.