Oh, really?
Krispy Kreme Announces Expansion Into Eastern Canada and New England
Updated: Thursday, December 28, 2000 10:37 PM ET
WINSTON-SALEM, N.C., Dec. 28 /PRNewswire/ -- Krispy Kreme Doughnuts, Inc. (Nasdaq: KREM, news, msgs) announced today two new joint ventures for expansion into Eastern Canada and the New England markets of Massachusetts, Rhode Island and Connecticut. The Canadian agreement marks the Company's first major expansion plan into an international market.
Krispy Kreme Doughnuts Eastern Canada, Inc. (KKDEC) will be developing 32 stores over 6 years in Eastern Canada, which includes Ontario, Quebec, and the four provinces of Atlantic Canada. KKDEC is led by Roly Morris and Robert Fisher. Mr. Morris previously held a senior level management role with Starbucks Coffee Company and led the initial expansion of Starbucks in Canada, opening over 140 stores in both Eastern and Western Canada. Mr. Fisher has been in the securities industry for more than 30 years with a focus on restaurants and specialty retailing. Krispy Kreme Doughnuts, Inc. will have a 34 percent interest in KKDEC.
New England Dough, LLC, led by Nick and Bill Janikies, has agreed to develop 16 stores over the next 5 years in Massachusetts, Rhode Island, and Connecticut. Nick Janikies founded The Jan Companies and opened his first Burger King restaurant in 1969. Since then, he has become one of the largest developers of Burger King restaurants in the United States. The Jan Companies operates Burger King restaurants, country clubs and various full-service restaurants in four New England states. Bill Janikies has been employed with The Jan Companies since 1986 serving in various management roles. He is currently the Chief Operating Officer. Krispy Kreme Doughnuts, Inc. will participate as a 49 percent equity partner in the venture.
"We are extremely pleased to announce our two new partnerships. Our area developer community is comprised of some of the finest operators in the country. The experience, talent, and organizational infrastructure that these new relationships bring will both expand and strengthen our system," said Scott Livengood, Krispy Kreme's Chairman, President and CEO.
Krispy Kreme has opened 11 stores since the third quarter ending October 29, 2000 bringing the total new stores this year to 36. New stores opened in the fourth quarter include Bakersfield, CA, Richmond, VA, Nashville, TN, New Orleans, LA, Austin, TX, Rochester, NY, Florence, SC, Chicago, IL (2), San Diego, CA, and Sacramento, CA.
The 63-year-old North Carolina-based company is a leading branded specialty retailer of premium quality doughnuts, including the company's signature Hot Original Glazed. Krispy Kreme currently operates 175 stores in 28 states.
Krispy Kreme can be found on the World Wide Web at www.krispykreme.com .
Information contained in this press release, other than historical information, may be considered forward-looking in nature and is subject to various risks, uncertainties and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated or expected. Among the key factors that may have a direct bearing on Krispy Kreme's operating results, performance or financial condition are its dependence on franchisees to execute its store expansion strategy, supply issues, competition and numerous other factors discussed in Krispy Kreme's S-1 Registration Statement, declared effective on April 4, 2000, that is on file with the Securities and Exchange Commission.
SOURCE Krispy Kreme Doughnuts, Inc.
CONTACT: Investors, Michelle Parman, Senior Vice President, Corporate Development of Krispy Kreme Doughnuts, Inc., 336-733-3762; or Media, Stephen Millikin of LaForce & Stevens, 212-242-9353, for Krispy Kreme Doughnuts, Inc. |
