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DENVER -- Loaf 'N Jug convenience stores said it reached a deal with Krispy Kreme to sell fresh doughnuts at all 50 Loaf 'N Jug locations in Colorado.
As part of the deal, Krispy Kreme doughnuts will be delivered fresh daily to the stores, said Art Stawski, president of the Loaf 'N Jug/Mini Mart chain, a subsidiary of Cincinnati-based Kroger Co.
Stawski is already estimating the 50 stores could sell anywhere between 15,000 and 24,000 doughnuts a day, according to The Pueblo (Col.) Chieftain.
"Another Kroger convenience group in Pennsylvania began selling Krispy Kremes and they're selling about 20 dozen per store per day," Stawski said. "I think we'll do better than that in Colorado, 25 dozen to 40 dozen per store per day at least."
The Loaf 'N Jug Krispy Kremes will be baked at the Krispy Kreme shop in Colorado Springs and delivered somewhere "in the middle of the night, between 1 and 4 a.m. for the morning rush," Stawski said.
Loaf 'N Jug and Krispy Kreme have been in discussion for several months and the doughnut company agreed to the chain as an outlet after looking at the stores and their operation.
Target date to begin the program is October beginning in Pueblo, then rolling out to the entire 50 stores over the next three to four weeks.
Eventually, Stawski said, Denver area Loaf 'N Jugs will also offer Krispy Kremes on a fresh-daily basis, baked in Denver.
Krispy Kreme's entry into the Pueblo market puts it in face-to-face competition with Loaf 'N Jug's co-founder, Paul Jones, who sold the company to Kroger in the mid-1980s and last year opened LaMars Donuts of Southern Colorado.
Does that worry Stawski?
"It's competition," he said. "We have competition in gas. We have competition in sandwich shops. I expect lines coming out the doors."