Annual Meeting of Shareholders

Tuesday, June 14, 2011

V55 v5

Agenda
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Call to Order Director Introductions Management Introductions Report on Notice of Meeting, Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period

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Agenda
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Call to Order Director Introductions Management Introductions Report on Notice of Meeting, Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period

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Board of Directors
Robert S. McCoy, Jr., Lead Independent Director Charles A. Blixt Lynn Crump-Caine C. Stephen Lynn Andrew J. Schindler Michael H. Sutton Lizanne Thomas Togo D. West, Jr. James H. Morgan, Chairman

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Agenda
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Call to Order Director Introductions Management Introductions Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period

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Senior Management Group Jim Morgan Doug Muir Cindy Bay Dwayne Chambers Ken Hudson Steve Lineberger President & CEO EVP & Chief Financial Officer SVP – Company Store Operations SVP & Chief Marketing Officer SVP – Human Resources SVP – Corporate Strategy & President – US Franchise Operations SVP & General Counsel SVP – Supply Chain & Off-Premises Operations SVP & President – International 6 Darryl Marsch Brad Wall Jeff Welch .

Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting. Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 7 .

If you are voting by proxy for someone else. please raise your hand at this time and an usher will bring you a ballot. do NOT need to vote by ballot today.Voting Rules  Shareholders who have already sent in proxies. please hand it to one of the ushers at this time. and who do not wish to change their votes. and did not turn in your proxy at the registration desk. If any shareholder or proxy wishes to vote in person.   8 .

Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 9 .Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting.

Sutton Lizanne Thomas Term To Expire 2014 2014 2014 10 .Election of Directors Class Class III Class III Class III Nominees Stephen Lynn Michael H.

Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on the Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 11 .Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting.

Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting. Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on the Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 12 .

Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 13 .Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting.

Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 14 .Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting.

New factors emerge from time to time.krispykreme. 15 . without limitation. and it is not possible for us to predict all such factors or assess the impact of each such factor on Krispy Kreme. we undertake no obligation to update those statements in the future in light of subsequent events. These factors include items discussed in our SEC filings. can be found on the IR portion of our website at www. they are subject to a number of factors.Forward-Looking Statements Some of the information in this presentation represents forward-looking statements that are protected under the Private Securities Litigation Reform Act of 1995. including. expectations or beliefs regarding our financial performance. Please note that all of our SEC filings. including our annual report on Form 10-K for the year ended January 30. If we do make forward-looking statements. 2011. risks and uncertainties that could cause actual results to differ materially from our expectations or beliefs. Like any such statements. We cannot assure you that we will achieve or realize these expectations.com. along with other shareholder relevant information. Such statements may reflect our expectations or beliefs about the future.

Our Mission and Vision Mission: To touch and enhance lives through the joy that is Krispy Kreme Vision: To be the worldwide leader in sharing delicious tastes and creating joyful memories 16 .

Fiscal 2011 Highlights  Revenue decline reversed  First gain since fiscal 2005  Domestic business growing again  First year over year store growth gain since fiscal 2005    International growth continues Net income of $7.6 million  First profit since 2004 Refinancing of credit facilities and significantly lowered interest rate Set the stage for continued progress in FY12  17 .

Going Forward 18 .

Strategic Initiatives        Refine “small shop” format Improve shop operations and execution Continue renovation of older locations Develop and deploy new products Improve off-premises economics through new products and better management and marketing Increase franchisee support and reduce logistics costs Continue building domestic and international new store pipeline 19 .

Company-owned “Small Shop” Potential   Opportunity to build over 65 Companyowned small shops in currently targeted Southeast markets Development pipeline includes:  Raleigh  Charlotte  Louisville  Columbia  Nashville  Virginia Beach 20 .

“Small Hot Shop” Example 21 .

“Small Factory Shop” Example 22 .

Fiscal 2012 Development Plans  Ongoing new small shop expansion – 5 to 10 Company stores in the Southeast 5 to 15 new domestic franchise stores More than new 30 international franchise stores   23 .

5 Mexico .231 652 stores in 21 countries 24 .26 Kuwait .1 Indonesia .5 China .10 Japan .6 Saudi Arabia.29 Bahrain .2 Turkey .10 Malaysia .21 United Kingdom .48 United States .4 Qatar .Expand Our Worldwide Presence Australia .1 Dominican Republic .26 Lebanon .59 Philippines .83 South Korea .21 Puerto Rico .13 UAE .44 Thailand .7 Canada .

Continue Building Domestic and International Pipeline Dominican Republic 25 .

Continue Building Domestic and International Pipeline Bangkok 26 .

Develop and Deploy New Products Limited Time Offerings currently featuring Krispy Kreme Cookies & Kreme ® Doughnut Krispy Kreme Baked Creations Kool Kreme ® 27 .

New Coffee Program    National program launch in September 2011 Three new signature coffees  Extensively tested with consumers  House blend. dark roast and house decaf New marketing campaign  Exciting and engaging creative  campaign  Merchandising plan to maximize consumer touch points  Social media. PR and Local Restaurant Marketing plans 28 .

Financial Review 29 .

1% Company same store sales +4.6 million was a dramatic improvement from net loss in fiscal 2010 Reduced debt 30 .0% Added a net 64 Krispy Kreme stores Net income of $7.Fiscal 2011 Highlights      Systemwide sales in constant dollars +9.

2 MM vs. $4.13 31 .Q1 FY12 – Continued Progress     Revenues increased +14% to $105 MM Operating income rose + 62% to $10 MM Net income of $9.5 MM EPS of $0.

Total Stores at Period End FY06 International Franchise Q1 FY12 International Franchise Domestic Franchise 68 207 127 Company Owned Domestic Franchise 145 421 86 Company Owned 402 Stores 68% Franchised 402 Stores 68% Franchised 652 Stores 87% Franchised 652 Stores 87% Franchised 32 .

Domestic Domestic Stores Stores Domestic Growth Beginning Anew 334 272 245 225 224 229 231 245 FY06 FY07 FY08 FY09 FY10 FY11 Q1 FY12 FY12E 33 .

International Stores Continue to Build the Global Franchise Network 417 358 298 421 435 204 123 68 FY06 FY07 FY08 FY09 FY10 FY11 Q1 FY12 FY12E 34 .

Revenues ($ in millions) $543 $461 $430 $386 $347 $362 $92 $105 FY06 FY07 FY08 FY09 FY10 FY11 Q1 FY11 Q1 FY12 35 .

Operating Income ($ in millions) $12 $5 FY06 FY07 FY08 FY09 FY10 FY11 $15 $23 $6 Q1 FY11 $10 Q1 FY12 FY12E ($28) ($43) ($117) 36 .

8 $10.2 $20.7 $10.5 FY06 FY07 FY08 FY09 FY10 FY11 Q1 FY11 Q1 FY12 $2.4 $1.9 $0.Interest Expense ($ in millions) $20.7 $6.3 $9.0 FY12E 37 .

Net Income ($ in millions) $19 $0 FY06 FY07 FY08 FY09 ($4) ($42) ($67) FY10 $8 FY11 $5 Q1 FY11 $9 Q1 FY12 FY12E ($136) FY12E excludes estimated after tax gain of $4.4 MM on sale of 30% interest in KK Mexico. 38 . impairment charges and lease termination costs of $22-24 MM. Assumes achievement of midpoint of estimated operating income ex.

Total Debt & Contingent Liabilities ($ in millions) $30 $23 $18 $123 $108 $77 $9 $75 $4 $43 $3 $35 FY11 $3 $28 Today FY06 FY07 FY08 FY09 FY10 39 .

Sources of Funding for Business Development ($ in millions) $33 $25 $12 Liquidity Revolving Credit Availability $17 Capital Expenditures Cash on Hand Free Cash Flow 40 .

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Conclusion      Continued progress on strategic initiatives Positioned for accelerated growth in both revenue and earnings over the long-term Small store development and economics will be a driving force behind success Strong cash flow Low debt 42 .

Our Mission and Vision Mission: To touch and enhance lives through the joy that is Krispy Kreme Vision: To be the worldwide leader in sharing delicious tastes and creating joyful memories 43 .

What Our Brand Means 44 .

The Joy that is Krispy Kreme 45 .

The Joy that is Krispy Kreme 46 .

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Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting. Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 48 .

Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting. Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 49 .

Appointment of Inspector of Election and Quorum Election of Directors Advisory Vote on Executive Compensation Advisory Vote on the Frequency of Future Advisory Votes on Executive Compensation Ratification of Appointment of Independent Registered Public Accounting Firm Report on the Business Report on Results of Voting Adjournment Question and Answer Period 50 .Agenda             Call to Order Director Introductions Management Introductions Report on Notice of Meeting.

Once you have asked your question and have received an answer. please also identify the shareholder whom you are representing. When your turn comes. When everyone else has had a chance to speak. If you have a follow-up question or a new question. On the card. the next shareholder in line will be given a chance to ask a question.       51 . you may have another turn at the microphone. the microphone attendant will give you a card to fill out. please print your name.Questions   Please approach the microphone attendant located in the aisle. As a courtesy to everyone present. Once you are in line to ask a question. please hand the attendant the card and the attendant will announce you. we ask that shareholders limit their questions to no more than two minutes each. and if we still have time. If you are a proxy holder. and state whether you are a shareholder or a proxy holder. please return to the end of the line. so we can introduce you.

Our Mission and Vision Mission: To touch and enhance lives through the joy that is Krispy Kreme Vision: To be the worldwide leader in sharing delicious tastes and creating joyful memories 52 .

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