Core Viewpoint - Costco Wholesale is facing a proposed class action lawsuit regarding undisclosed salmonella risks associated with its rotisserie chicken sold at a Nebraska processing plant [1][3]. Group 1: Lawsuit Details - The lawsuit claims that Costco's chicken processing facility in Fremont consistently fails to meet USDA safety standards, with testing data showing over 9.8% of whole chickens and 15.4% of chicken parts testing positive for Salmonella [2]. - The complaint seeks compensatory and triple damages for consumers who purchased Kirkland Signature rotisserie chicken and raw chicken parts from January 1, 2019, onward, alleging breaches of Washington consumer protection laws [3]. Group 2: Sales and Financial Performance - Costco's rotisserie chicken is priced at $4.99, recognized as a loss leader to attract customers, with global sales exceeding 157 million units in 2025 [2]. - In the first quarter of fiscal 2026, Costco reported net sales of $65.98 billion, an increase of 8.2% from $60.99 billion the previous year [4].

Core Viewpoint - Costco is facing a lawsuit regarding alleged salmonella contamination in its rotisserie chicken, with claims that its Nebraska processing plant fails to meet USDA safety standards [1] Group 1: Lawsuit Details - The lawsuit is a proposed class action filed by an animal rights nonprofit, citing that over 9.8% of whole chickens and 15.4% of chicken parts from the Fremont, Nebraska plant tested positive for salmonella [1] - The plaintiff, Lisa Taylor, claims she overpaid for rotisserie chickens due to Costco's failure to disclose the contamination risk and is seeking compensatory and triple damages for affected consumers since January 1, 2019 [1] - This lawsuit follows another class action filed in San Diego, alleging false advertising regarding the absence of preservatives in Costco's rotisserie chicken [1] Group 2: Sales and Market Impact - Costco's rotisserie chicken sales reached over 157 million units worldwide in 2025, indicating its significance as a loss-leader product to attract customers [1] - The price of Costco's Kirkland Signature rotisserie chicken is set at $4.99, which has been a key factor in driving foot traffic to its warehouse stores [1] Group 3: Company Response - Neither Costco nor the Lincoln plant has provided comments regarding the lawsuit as of the latest report [1]