Asia/South Asia
a month ago

McDonald's stores close in Sri Lanka

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McDonald's has ended an agreement with its local partner in Sri Lanka and all 12 outlets in the country have been closed, an attorney for the US company said on Sunday.

"The parent company decided to terminate the agreement with the franchisee due to standard issues," said Sanath Wijewardane, an attorney for McDonald's. "They are not in business in the country. They may decide to return with a new franchisee."

He said the deal was cancelled on Wednesday but the stores had continued to operate for some days, according to a Reuters report.

A spokesperson for the local partner, Abans, declined to comment.

Wijewardane declined to describe the issues but local media reported that McDonald's went to court against Abans over allegations of poor hygiene.

Abans says on its website, it first partnered with McDonald's in 1998.

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