SEC Opens Krispy Kreme Investigation

[Quetzal]

SEC Opens Krispy Kreme Investigation

RALEIGH, N.C. (AP) - The Securities and Exchange Commission has opened an investigation into Krispy Kreme, the company announced Friday.

The Winston-Salem-based company did not specify the reasons for the investigation in a news release. But company executives in July confirmed that Krispy Kreme is the subject of an "informal, nonpublic inquiry" by the SEC on its franchise reacquisitions and its future earnings guidance.

Krispy Kreme said in a news release that the SEC notified it of the investigation on Thursday. A message left with a company spokeswoman was not immediately returned Friday.

Krispy Kreme's stock, once a Wall Street darling, has been under heavy pressure this year, since the company posted a loss for the first quarter and reported sub-par earnings in the second quarter, blaming the popularity of low-carbohydrate diets. The company has closed numerous stores and has faced shareholders lawsuits.

more...

http://news.findlaw.com/ap_stories/f/1310/10-8-2004/20041008060003_24.html

[Parche]

1. Krispy Kreme

Lets not sugar coat this story, they are just not making enough
dough

[KlatooBNikto]

2. Why hasn't the SEC completed its Harken enquiry?

[mark0rama]

4. Because they wouldn't get to eat as many donuts on the job?

Let's face it, it wouldn't be hard to justify a few visits to KK for (ahem) fact-finding purposes.

[MallRat]

3. They didn't specify the reasons for the investigation? Oh, no....

....KRISPY KREME DONUTS IS PEOPLE!!!