| Company: | Krispy Kreme Doughnuts, Inc. |
| Ticker Symbol: | NYSE: KKD |
| Class Period: | May 7, 2004, to January 4, 2005 |
| Date Filed: | Jan-18-05 |
| Lead Plaintiff Deadline: | Mar-16-05 |
| Court: | Middle District, NC |
| Allegations: |
A securities class action lawsuit was filed on behalf of all purchasers of the common stock of Krispy Kreme Doughnuts, Inc. ("Krispy Kreme" or the "Company") (NYSE:KKD - News) between May 7, 2004, and January 4, 2005, inclusive, (the "Class Period").
The action, case number 05-CV-00042, is pending in the United States District Court for the Middle District of North Carolina against defendants Krispy Kreme, Scott Livengood (Chairman, President and CEO), and Michael Phalen (CFO).
The complaint alleges that Krispy Kreme is a specialty retailer of doughnuts and charges Krispy Kreme and certain of its officers and directors with violating the Securities Exchange Act of 1934. The complaint alleges that, during the Class Period, Krispy Kreme misrepresented its financial condition to the investing public. The complaint further charges that Company improperly accounted for its reacquisition of certain of its franchisees, thereby artificially inflating its pre-tax income for fiscal year 2004 by as much as $8.1 million.
In a press release dated January 4, 2005, the last day of the Class Period, the Company conceded that it would have to make $8.1 million in write-downs. The day prior to the release, the Company stock traded at an intra-day high of almost $13.00 per share. On the day after the release, KKD stock traded at an intra-day low of $9.36 per share, down a full twenty-eight percent (28%) from its intra-day high just two days earlier.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
The action, case number 05-CV-00042, is pending in the United States District Court for the Middle District of North Carolina against defendants Krispy Kreme, Scott Livengood (Chairman, President and CEO), and Michael Phalen (CFO).
The complaint alleges that Krispy Kreme is a specialty retailer of doughnuts and charges Krispy Kreme and certain of its officers and directors with violating the Securities Exchange Act of 1934. The complaint alleges that, during the Class Period, Krispy Kreme misrepresented its financial condition to the investing public. The complaint further charges that Company improperly accounted for its reacquisition of certain of its franchisees, thereby artificially inflating its pre-tax income for fiscal year 2004 by as much as $8.1 million.
In a press release dated January 4, 2005, the last day of the Class Period, the Company conceded that it would have to make $8.1 million in write-downs. The day prior to the release, the Company stock traded at an intra-day high of almost $13.00 per share. On the day after the release, KKD stock traded at an intra-day low of $9.36 per share, down a full twenty-eight percent (28%) from its intra-day high just two days earlier.
If you acquired the securities of the defendants during the Class Period you may, no later than the Lead Plaintiff Deadline shown above, request that the Court appoint you as lead plaintiff through counsel of your choice. You may also choose to remain an absent class member. A lead plaintiff must meet certain requirements.
Register your Case
If you feel you qualify for damages or remedies that might be awarded in this class action please fill in our form on the right to submit your complaint.
