Fast-food chains scramble to deal with bird flu fears

ASIA-PACIFIC: Fast-food outlets are scrambling to boost consumer confidence as the bird flu outbreak threatens to decimate the restaurant industry in Asia.

Yum Brand's Kentucky Fried Chicken (KFC) chain saw its business disrupted by the deadly virus, as customer traffic fell sharply in some markets, and the restaurant was forced to close many of its outlets in Vietnam while it switched to a fish menu.

In Japan, KFC issued a statement on its website confirming the safety of its products and stressing that none of its supplies came from infected areas.

But analysts warn that China - where KFC has about 900 outlets, which reportedly account for a quarter of its total restaurants in Asia - is likely to pose the biggest threat to the fast-food chain. Yum director of public affairs Christophe Lecureuil insisted that sales were not affected by the outbreak, but added: "We do have plans in place for alternative sources for our poultry if it becomes necessary". At press time, KFC had placed signs outside its China stores explaining the origins of its chicken.

Supermarkets and restaurants in Japan, which saw its first avian flu outbreak in 1925, displayed signs to show the source of their chicken, while others replaced chicken with other offerings.

Sandwich chain Pret A Manger erected signs at its Hong Kong outlets reassuring customers of the firm's high standard of food preparation and hygiene.

McDonald's, which operates 150 outlets in Hong Kong, said it imported certain chicken products from China and Thailand, but stressed thoroughly cooked food products were safe.

Meanwhile, in Thailand - among the 10 countries hit by the virus - Thai Prime Minister Thaksin Shinawatra urged the country to eat more poultry by tucking into a lunch of chicken drumsticks in a media-packed KFC outlet in Bangkok.

In Singapore, consumers continued to frequent fast-food outlets, confident the city was safe from avian flu.