Denver-based Chipotle subpoenaed in criminal investigation over norovirus outbreak
DENVER — Chipotle’s troubles are far from over.
The Denver-based Mexican restaurant chain said Wednesday in a securities filing that it has been hit with a federal grand jury subpoena after a norovirus outbreak in California.
In an 8K filing, Chipotle said the subpoena was served in December.
The subpoena is part of an investigation by the U.S. Food and Drug Administration’s Office of Criminal Investigations.Chipotle is required to hand over several documents pertaining to its restaurant in Simi Valley, Calif., where the norovirus outbreak occurred in August.
Chipotle said in the filing the incident was isolated and that it will cooperate fully with the federal investigation.”It is not possible at this time to determine whether we will incur, or to reasonably estimate the amount of, any fines, penalties or further liabilities in connection with the investigation pursuant to which the subpoena was issued,” Chipotle said in the filing.
In addition to the subpoena, the filing also shared Chipotle’s grim financial outlook for the final quarter of 2015 — an anticipated 14.6 percent drop in sales.
Chipotle said it expects to spend $14 million to $16 million in response to the recent outbreaks of E. coli, norovirus and salmonella at its various locations.