Glsierra - I am a new holder of KKD here on the last drop. I think we have time to accumulate a nice position if the financials keep improving. I would mitigate all downside risk around $2.50. If we get a good quarter you should be alright. Two good quarters and you will be as good as gold. Until then I would expect to be in this current range. I like the return to the core business, cost cutting, and improving cash flow. When top line growth returns you will have a nice return.
Headwinds - Sugar Costs and Unemployment aka disposable income...The company will have to overcome both in FY10. I don't think gas prices will be an issue unless Isreal and Iran get in a conflict or any more middle east conflict for that matter.