Krispy Kreme Firms Up Expansion Plan

Krispy Kreme press releases and SEC reports bind the move to a corporate plan to take over franchises from willing sellers like Greater DFW Inc. of Grapevine, led by Joseph A. McAleer, former officer and director, Steven D. Smith, emeritus director, and John Orrell. According to SEC documents, the Winston-Salem, NC doughnut maker paid $12 million in cash and turned over a $55-million promissory note from Wachovia Bank for the franchise buyback.

The North Texas stores are located in Arlington, Grapevine, Frisco, the corner of Lovers Lane and Greenville Avenue in Dallas and Hulen Street in Fort Worth plus a commissary shop. Site selection is underway for another Dallas-area store, Staubach vice president John Artope and associate Michael Stern tells GlobeSt.com. Shreveport, on the other hand, will be getting its first store under the territory return. The Greater DFW franchisees held only retail rights and not any wholesale distributorships that have been placing goods into North Texas grocery stores.

At last count, Krispy Kreme had 305 stores in 41 states and is starting to roll out stores in Europe. The expansion plan also calls for 77 new stores in 17 new markets in the coming year. The average Krispy Kreme store is a 3,500-sf freestanding building.