One of the popular donut makers Krispy Crème is set to reduce the number of its franchises that are currently open.
This is in view of the expected decrease in the company’s financial sales, along with several franchisee and shareholder lawsuits that are still plaguing the donut company.
CEO Steven Cooper has tried his best to turnaround the company in the past year, since taking over from Scott Livengood. This has consisted of reducing the number of stores 20% or 71 of the total “factory stores” that make donuts. In December alone, the donut company closed at least 12 of its franchises.
However, analysts believe that Krispy Kreme will be able to bounce back after it has dealt with the impending lawsuits, and found a way to balance its accounting books.