Wendy's sales down in Northern California

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Wendy's sales are down in Northern California.

Sunday, March 27, 2005

San Jose, California –Customers are staying away in droves from Northern California Wendy's restaurants, after a Las Vegas woman found a finger in a bowl of chili at the establishment.

Restaurant owners are reporting to company headquarters that sales are down since the incident.

"It is an isolated incident. However, it is dramatically affecting sales in that market," said Wendy's spokesman Denny Lynch.

Investigators are still planning to look for the owner of the finger.

"Nobody's claimed it yet," said Capt. Bob Dixon, of the Santa Clara County coroner's office.

Industry analyst Peter Oakes told Associated Press that there should not be a long-term impact to Wendy's business.

"To me, the yardstick here is whether the single incident prompts the consumer to lose confidence in the brand. It's understandable to see some kind of knee-jerk reaction," Oakes said.

The stock market was closed for the Good Friday holiday, so traders have not weighed in on the stock yet. Wendy's International, Inc. (WEN) closed at US$39.43 on Thursday.

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