Snow Brand Milk Products Co.'s sales of milk products plunged 80 percent in July to 6 billion yen, following the recent outbreak of food poisoning attributed to the firm's goods, the president of the dairy products maker said Friday.
"We deeply apologize for the great pains we have caused so many customers," Snow Brand President Kohei Nishi said at a press conference.
Nishi became president July 28 to replace Tetsuro Ishikawa, who resigned together with seven other executives over the outbreak in late June of food poisoning. The outbreak was caused by milk products from the company's Osaka plant and made some 15,000 people ill.
Snow Brand suspended operations at 21 plants in July, when the company usually chalks up some 30 billion yen in sales of milk products.
With sales falling sharply, Snow Brand is expected to incur an operating loss in fiscal 2000, which ends next March, its first loss on a year-on-year basis since its foundation in 1950.
Nishi said Snow Brand will thoroughly examine the causes of the food poisoning and do its utmost to prevent any recurrence.
Meanwhile, supermarket chain Ito-Yokado Co. said it and its convenience store chain, Seven-Eleven Japan Co., will resume selling Snow Brand's milk products in all regions, except Kansai, on Sunday. as the safety of Snow Brand's plants was confirmed by the Health and Welfare Ministry earlier this month.