New York
CNN
—
McDonaldâs is spending $100 million on marketing and to help franchises most heavily affected by a that has sickened more than 100 people and damaged sales.
In a memo sent to employees and obtained by CNN, McDonaldâs is spending $35 million on marketing, which includes a value deal focused on its chicken nuggets, plus $65 million directed toward franchisees that have lost business in states where the outbreak happened.
took a nosedive in October after the Centers for Disease Control and Prevention and the Food and Drug Administration said that fresh slivered onions served on the Quarter Pounders were the likely source of an E. coli outbreak.
More than 100 people got sick across 14 states and have been filed against the chain. Shares of McDonaldâs () slipped about 7% over the past month.
âThe relevance, trust, and love for the Golden Arches has been hard-earned over nearly 70 years by our unwavering commitment to do the right thing. The past three weeks have only further exemplified that,â said the memo, which was signed by Michael Gonda, the chainâs chief impact officer for North America, and Tariq Hassan, chief marketing and customer experience officer.
McDonaldâs has said recent tests showed no E. coli in its food, and in the memo noted its Quarter Pounder burgers topped with slivered onions are now back on menus nationwide.
In an earnings call after the outbreak, CEO Chris Kempczinski said the chain is âready to do more if we need to to make sure that we are bringing the full resources of McDonaldâsâ to win back customers.
The new marketing campaign includes television ads touting a 10-piece McNuggets deal for $1 that can be redeemed weekly in the app until early next month. The chain is also continuing its .