Krispy Kreme: plans to sell mixing plant to bakery

Winston-Salem / NC. (kkd) Krispy Kreme Doughnuts Inc. said in a filing with the Securities and Exchange Commission that it has agreed to sell its mix manufacturing and distribution facility in Effingham (Illinois), to Harlan Bakeries Inc. for 11,8 million USD in cash. Krispy Kreme has also given Harlan the option to buy some or all of the company´s inventory at the location. The purchase is expected to close on or before January 31, 2008, but is subject to closing and regulatory conditions. Krispy Kreme intends to use the net proceeds from the sale to repay debt under its secured credit facilities.