Krispy Kreme Doughnuts Inc. asked the Securities and Exchange Commission for an extra five days to file its 10-Q quarterly report, to give it time to complete an analysis of accounting related to "certain franchise matters."

In a filing with the SEC, the Winston-Salem, N.C.-based doughnut maker said Monday that it was unable to file a timely third quarter report because of an ongoing analysis related to the accounting treatment of certain franchise matters in the company's fiscal third quarter, primarily concerning its consolidation of KremeKo Inc., its area developer for Central and Eastern Canada.

Krispy Kreme said that the financial information provided in its Nov. 22 earnings release, which included its results for the quarter ended in October, "is subject to change as the company completes its analysis and finalizes its financial statements for the third fiscal quarter ended October 31, 2004."

The company is under investigation by the Securities and Exchange Commission. The commission's probe into the 380-unit operator and franchisor is focusing on accounting methods used in several repurchases of franchised territories and a sudden profit warning that it issued in May, citing the trend of low-carb diets.

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