Tag Archives: OSI Group

After China probe, OSI food-safety trial opens in Shanghai

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The long-awaited China trial of US food supplier OSI Group opened in Shanghai on Monday, kicking off the final act of a scandal that dragged in fast-food giants McDonald’s Corp and Yum Brands Inc.

osi.chinaIn July 2014, a Chinese TV report alleged to show workers at a Shanghai unit of OSI using out-of-date meat and doctoring production dates, a scandal which rippled as far afield as Japan and prompted apologies from OSI clients McDonald’s and Yum.

The criminal trial opened at the Shanghai Jiading People’s Court, a court official and lawyers told Reuters. Shanghai prosecutors charged two OSI China units and 10 employees for producing and selling sub-standard products in September.

China scandal costs OSI Group hundreds of millions of dollars –website

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U.S-based meat supplier OSI Group has lost hundreds of millions of dollars in revenue in the last four months due to last summer’s food safety scandal in China, according to an article posted on the company’s China website.

MW-CO437_china__20140727232405_MG-300x209The article offers the most detailed assessment to date of the damages OSI Group has suffered since its Shanghai Husi Food Co Ltd plant came under scrutiny in July when an undercover Chinese media report showed workers using out-of-date meat and doctoring production dates.

Operations at Shanghai Husi, which supplied meat to McDonald’s Corp and Yum Brands Inc, were suspended, and other OSI Group facilities in China have suffered from “plummeting product sales and increasing inventory overstocks,” according to the article.

Chinese meat supplier of McDonald’s and KFC gets the ax

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The Chinese outlets of McDonald’s and KFC have stopped using meat from a Shanghai company after a local television news program accused the supplier of using chicken and beef past their expiration date, triggering an investigation by local food safety officials.

UnknownThe program, aired on Shanghai-based Dragon TV on Sunday evening, showed hidden camera footage of workers at a meat-processing facility operated by Shanghai Husi Food using out-of-date chicken and beef to make burger patties and chicken products for McDonald’s and KFC, in some cases scooping up meat that had fallen onto the assembly line floor and throwing it back into a processing machine.

In response, the Chinese units of McDonald’s and KFC both said in news releases posted from their official Sina Weibo social messaging accounts that they had halted use of all products from Shanghai Husi, which is owned by the OSI Group, based in Aurora, Ill.