Krispy Kreme Grows up!

Man what a mess.

KK told to downward revise earnings 25 million
CHARLOTTE, N.C. - Krispy Kreme Doughnuts Inc. needs to restate its past earnings downward by $25.6 million over the past several years, according to a report issued Wednesday by a special committee examining the finances of the troubled snack maker.

Former Chief Executive Scott Livengood and his aide, John Tate, bear most of the responsibility for the once high-flying company's problems, said the report by the special committee of independent directors that has been examining the company's finances since last fall.
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stubeeef said:
Man what a mess.

KK told to downward revise earnings 25 million
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That seems to be an understatement.

Unfortunately, that brand was poorly managed. Now, the market is super-saturated and the orignial novelty has long worn off. If their business model would have been proportional to their real growth (potential), I doubt it would have ever gotten to this point.

Besides... who wants 2 day old Krispy Kremes from Target, Wal-Mart, Shopko, etc.?
 
With all the franchisee bankruptcy applications and the recent announcement that they can't even meet the extended deadline to file financials, it's not looking too good at the moment.

They are a year late now with audited financials, and the lenders extension to Dec. 15 looks like it will come and go with no financials released.
 
Good or bad management, they put out a product that is pure binge for the unscrupulous american diet.
 
Yeah, Scott's out. Funny thing he used to go to my church back in North Carolina, but after the fiasco of getting in trouble and blah blah he left. :-\

Crazy. I'll never deny I enjoyed being able to wake up to hot, fresh doughnuts. :) Damn glad I live 5 minutes from one in Rochester, New York now. :)
 
jsw said:
KK donuts in the grocery store? Insane.
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Actually, here in Virginia, they've been on the grocery store shelves since I was a kid; we usually had a box in the bread drawer. The fresh and hot experience was then unknown; they were trucked in and the glaze was already crackly. They were not very good, but they were the only donuts to be purchased. Seeing the rise of KK was very odd to me; it was a familiar (and unspectacular) brand-- kind of like seeing Manhattan and DC sophisticates lining up to eat twinkies.
 
The one in my town closed down a couple of months ago... I was very sad, dont love donuts but watching the automatic Donut machine was fun... what is this life thing you speak of?
 
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