Yum! posts sales drop

KFC owner Yum! Brands said sales in China dropped 13 per cent in March due to bird-flu related publicity.

“Within the past week, publicity associated with Avian flu in China has had a significant, negative impact on KFC sales,” Yum! said in a regulatory filing.

“Historically in these situations, we have educated consumers that properly cooked chicken is perfectly safe to eat, and we will continue to do so.”

Sales at KFC China fell 16 per cent, which was slightly offset by sales gain at Pizza Hut, which saw a four per cent rise.

In February, Yum! also posted poor China results on adverse publicity from a poultry supply controversy. It launched a brand quality campaign to re-assure consumers of the quality of its food.

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