Sector Snap: Restaurants

NEW YORK (AP) — It's too soon to determine whether the swine flu outbreak will affect traffic or sales at restaurants, industry analysts said.

"It's just too early to tell," said Morningstar analyst R.J. Hottovy.

The Centers for Disease Control and Prevention in Atlanta has said people cannot get the flu by eating pork or pork products. Some restaurants in Asia and elsewhere in the world have already pulled pork from their menus regardless. No major U.S.-based chain has taken any pork products off the menu.

The swine flu virus is now suspected in up to 103 deaths in Mexico, where the outbreak appears to have begun. About 40 cases — none fatal — have been confirmed in the United States and six in Canada, the World Health Organization said.

To lower the risk of spreading the virus, the CDC has advised that sick people stay home from work or school and suggested frequent handwashing, which can reduce the risk of transmission from a respiratory illness like the flu.

It remains to be seen whether fear of contracting a virus will keep diners at home in the U.S. or abroad. So far, there have been no reports of lower traffic related to swine flu fears.

Shares of restaurant companies on Monday were mixed. Shares of Ruth's Hospitality Group Inc. rose 9 cents, or 3.3 percent, to $2.83 in afternoon trading while shares of the Cheesecake Factory Inc. fell $1.10, or 6.2 percent, to $16.71.