Chipotle Massachusetts Outlet Shut After Workers Fall ill to Norovirus

Chipotle Massachusetts Outlet Shut After Workers Fall ill to Norovirus

Shares of Chipotle Mexican Grill fell sharply Wednesday, a day after the popular burrito chain operator said it would temporarily shut a Massachusetts restaurant after four employees fell sick.

The director of the Board of Health in Billerica, Mass., said Wednesday that one employee at a closed Chipotle restaurant had a confirmed case of norovirus.

The director, Richard Berube, also said that two more employees at the closed restaurant may have norovirus. Berube said the restaurant has been cleaned and is expected to reopen Thursday.

Chipotle is trying to repair its reputation after a series of food-safety incidents, including two E.Coli outbreaks that sickened about 50 people in 10 states and two separate norovirus outbreaks in Massachusetts and California.

“We suspect that investors and consumers will be sensitive to this announcement, particularly in light of the adverse news flow over the last six months at Chipotle,” CRT Capital analyst Lynne Collier said in note to clients.

“The publicity around this news announcement will be another negative data-point that may affect consumer demand.”

Chipotle’s sales have fallen sharply since the E. Coli outbreaks late last year. Sales in the quarter ended Jan. 31 were down 18 percent compared with the third quarter.

The company and the Massachusetts Department of Public Health said that no customers were known to be sick.

“This is under investigation by local health department,” Massachusetts DPH spokesman Scott Zoback said by email.

Chipotle did not immediately respond to requests for comment or additional information on Wednesday.

The company temporarily closed all of its U.S. restaurants on Feb. 8 during prime lunchtime hours to hold staff meetings on food safety.

Up to Tuesday’s close of $524.69, the company’s stock had fallen about 18 percent since the first E.coli outbreak was reported on Oct. 31.

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