Krispy Kreme franchise in Hong Kong faces liquidation
October 27, 2008
by FoodBusinessNews.net Staff
WINSTON-SALEM, N.C. — Krispy Kreme Doughnuts, Inc. announced that its Hong Kong franchise plans to enter receivership and will be put formally in liquidation when creditors meet on Nov. 12.
The Hong Kong franchise, which has been in operation for about two years, operates nine Krispy Kreme locations. The company closed five locations on Oct. 26. Two of the stores located at the city’s airport are expected to remain open as long as possible for the benefit of creditors.
"Although the company is disappointed by this development, the company’s international growth strategy has not changed," Krispy Kreme said.
The company recently signed franchise development agreements for the Republic of Turkey and Malaysia, as well as for the metropolitan areas of Shanghai, Beijing and Tianjin, China.