
Taco Bell announced on Friday that it has removed shredded iceberg lettuce from its restaurants following a cyclosporiasis outbreak investigation by the Centers for Disease Control and Prevention. The outbreak has sickened more than 1,600 people across Indiana, Kentucky, Michigan, Ohio and West Virginia, with symptoms typically appearing two to three weeks after infection. No deaths have been reported from the parasitic infection, which produces symptoms resembling a severe gastrointestinal illness.
The CDC’s investigation identified the contaminated lettuce as the source and traced it to Taco Bell locations in the five affected states. The company stated it worked swiftly to voluntarily remove the product from all restaurants and eliminate it from its nationwide supply chain in consultation with public health officials. The U.S. Food and Drug Administration is investigating whether the lettuce supplier distributed the product to other food service operations.
Taylor Farms, the lettuce supplier, subsequently announced it has removed all iceberg lettuce sourced from central Mexico from its operations. The company stated that a specific independent farm in Mexico, representing less than 1% of the U.S. icberg lettuce supply, has been identified as the potential outbreak source. Taylor Farms is the same supplier linked to a McDonald’s E. Coli outbreak in 2024. The company emphasized that none of its branded salads or kits are connected to the current outbreak.
The health scare triggered significant stock market movements this week. Yum Brands shares declined nearly 7%, while other fresh lettuce suppliers including Sweetgreen and Cava also experienced stock declines. However, both Sweetgreen and Cava saw shares rise on Friday as the CDC did not identify their ingredients as outbreak sources. Sweetgreen noted it does not serve iceberg lettuce, while Chipotle stated it does not use shredded iceberg lettuce at its locations. Industry analysts expect the financial impact on Taco Bell and its parent company to be temporary, with recovery likely within one to two quarters based on historical patterns from previous restaurant food safety incidents.