(WINSTON-SALEM) -- Krispy Kreme Doughnuts, Inc. plans to enter into a supply chain distribution agreement with Sysco Corporation. Sysco is distributor of food and related products to the foodservice and food-away-from-home industry.

Under the proposed agreement, Sygma, a Sysco subsidiary, will distribute proprietary doughnut mixes, other ingredients and supplies to Krispy Kreme franchise and Company shops in the eastern United States. Sysco subsidiary IFG will be responsible for export of Krispy Kreme goods to the 20 foreign countries in which the Company's international franchisees operate.

"Partnering with Sysco, a world-class logistics company with expertise in the restaurant industry, allows us to benefit from their buying power and the size and reach of their distribution network," said Brad Wall, Senior Vice President of Supply Chain and Off-Premises Operations for Krispy Kreme.

The Winston-Salem based doughnut maker already has a similar arrangement with another distributor for the western United State.  That agreement has been in place since 2008.

The transition to Sysco as an outsourced distributor is expected to be in place by the second and third quarters of this year.