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The Whopper of all rows: Burger King slammed by customers after Tim Horton deal
Burger King was forced to issue a statement claiming its merger with doughnut business Tim Horton was “not tax-driven” after receiving a barrage of criticism on social media today.
The burger giant today struck a deal to create the world's third largest fast food restaurant with a market capitalisation of $20bn (£12bn), as part of a so-called “tax inversion” move to Canada, where the corporate rate of tax is lower.
While many will have viewed the move as a shrewd one for BK's hedge fund owner 3G Capital, consumers were less impressed.
Angered customers took to Facebook, with popular posts calling for regulars to boycott the business, sign petitions and even sponsor a bill to shut down any located on US military zones around the world.
This afternoon, Burger King responded with a statement insisting
"We hear you. We’re not moving, we’re just growing and finding ways to serve you better.
But it seems like Burger King hasn't actually heard the complaints, which aren't around the location or branding of the business, but are around its perceived tax-dodging. It added:
"As part of the announcement made today, both Burger King Corp. and Tim Hortons will continue to operate as independent brands. We’ll just be under common ownership. Our headquarters will remain in Miami where we were founded more than 60 years ago and business will continue as usual at our restaurants around the world.
The statement did attempt to address the tax issue – but only in the briefest of lines
"The decision to create a new global QSR leader with Tim Hortons is not tax-driven – it’s about global growth for both brands. BKC will continue to pay all of our federal, state and local U.S. taxes."We’re proud of the heritage of Burger King and will maintain our long-standing commitment to our employees, franchisees and the local communities we serve.
And as a nice bit of brand-building
"The WHOPPER isn’t going anywhere."
However, its legions of fans weren't convinced.
One said
"Lame. Same thing just putting a spin on it. I've eaten my last whopper.
Another went straight for the cholesterol-damaged heart
"You are bullshitting, not what we read in the papers. Will unfollow you after this post and heading to McDonald.
A third added
"I go to Burger King several times a week. I will never stop there again if you put profit before people
But some were more sympathetic
"I say you should still go to Canada and save money on taxes. It's the intelligent thing to do.
And
"When our administration makes it too expensive for businesses to remain in the USA, Business has the right and option to move. May the administration take the hint…