Krispy Kreme sees market in Hong Kong

RALEIGH, N.C. — Krispy Kreme Doughnuts Inc., recovering from internal accounting problems that led to investigations and the ouster of its chief executive, said Tuesday it was again looking abroad to reach new markets.

The Winston-Salem-based snack-maker said it has awarded rights to Krispy Kreme Hong Kong Ltd. to establish sales outlets on the prosperous islands of Hong Kong and Macau. The owners of the franchise already operate other restaurants in Hong Kong and Vietnam.

“This development agreement represents another step forward in the company’s turnaround,” Krispy Kreme president and CEO Daryl Brewster said in a prepared statement.

The first store is expected to open in Hong Kong this fall, according to Krispy Kreme.

In November, Krispy Kreme sold its 35 percent equity in the partner developing markets in Australia and New Zealand. A month later, the company agreed to sell its 35 percent stake to its partner in the United Kingdom.

“Gap Inc. said it will reorganize its stores this fall into four different sections based on merchandise categories, adding that it will update its fashions more often.

Beginning in July, an in-store denim “shop” will sell skirts and jeans in a greater variety of washes and fits Cynthia Harriss, president of U.S. Gap stores, told investors Tuesday at a conference in New York hosted by Piper Jaffray Cos.

An activewear shop will focus on key items such as sweatshirts and hoodies. And a “clean” shop will sell items including black pants, khakis, skirts and woven tops. A T-shirt shop will likely be placed at the front of the stores in the summer months, but the shops will rotate positions with the seasons, Harriss said.

“Continental Airlines Inc. said Tuesday it has ordered 10 more Boeing 787 Dreamliner jets and 24 more Boeing 737s to increase its ability to serve long-haul routes and also remove gas-guzzling planes from its fleet.

Chief Executive Larry Kellner said the airline still plans to expand its passenger-carrying capacity 5 to 7 percent per year.

With Tuesday’s move, Houston-based Continental doubled the number of 787s it has ordered and became the largest U.S. buyer of Boeing’s latest widebody jet. It will have 213 “next-generation” 737s when all the planes it has ordered are delivered.

Continental has been ordering more fuel-efficient aircraft for the past several years, believing this would give it an advantage over rivals.