### McDonald's Invests $100 Million in Recovery Efforts Following E. Coli Outbreak

McDonald's is allocating $100 million to boost marketing efforts and support its franchises hit hard by a recent E. coli outbreak. The outbreak, which has sickened over 100 individuals, significantly impacted sales and sparked multiple lawsuits.

According to a company memo obtained by CNN, McDonald's is dedicating $35 million towards marketing initiatives. This includes a special value deal spotlighting their popular chicken nuggets. Additionally, $65 million will be distributed among franchisees in states where the outbreak led to a sharp decline in business.

Customer visits and sales experienced a steep drop in October after warnings from the Centers for Disease Control and Prevention and the Food and Drug Administration. These agencies identified fresh slivered onions served on Quarter Pounders as the likely contaminant. The health scare spread across 14 states, causing shares of McDonald's (MCD) to fall by approximately 7% over the past month.

Despite the challenges, McDonald's reports that recent tests have shown no E. coli traces in their food. The memo also notes that Quarter Pounders with slivered onions have been reintroduced to menus nationwide. McDonald's CEO, Chris Kempczinski, indicated during an earnings call that the company is prepared to deploy additional resources as needed to regain customer trust and boost business.

The new marketing campaign features television advertisements promoting a 10-piece McNuggets deal for $1, redeemable weekly in the app until early next month. The chain is also continuing to offer its well-received $5 meal deal.