Dive Brief:
- Biglari Capital, a long-time Cracker Barrel shareholder, is calling for the ouster of CEO Julie Masino, and called management “worse than mediocre,” according to a proxy statement filed with the U.S. Securities and Exchange Commission on Thursday.
- Biglari, which owns roughly 3% of shares at Cracker Barrel, urged shareholders to vote against re-electing Masino and Gilbert Dávila, the compensation committee chair, to the board. Biglari claims the chain’s recent rebranding changes and remodels “betrayed the Company’s heritage, alienated loyal customers, and undermined investor confidence.”
- Sardar Biglari, owner of the private equity firm, has targeted Cracker Barrel on several occasions over the past 14 years, pushing for new strategies and board members at the chain without much success. Biglari lost his eighth battle against the chain in November.
Dive Insight:
Cracker Barrel has faced significant criticism in the past few months regarding a logo change that removed its Uncle Hershel figure, and for modern farmhouse remodels that some consumers considered off-brand. Biglari said these “highly publicized missteps … reflect the Company’s troubling pattern of tone-deafness and disregard for shareholder capital.”
“Instead of demonstrating the discipline and stewardship required to protect and enhance a storied brand, management has relied on ill-conceived strategies that have worsened existing challenges rather than solved them, culminating in the disastrous ‘brand refresh’ that has ranked among this century’s worst brand blunders,” Biglari wrote.
Biglari claimed responsibility for a billboard in Nashville, Tennessee that uses the rebranded logo with “Fire the CEO” in the center. The investment firm said on Thursday, through the X account of Steak ‘n Shake, one of its brands, that the billboard was part of its campaign to oust Masino.
Cracker Barrel reported same-store sales growth of 5.4% during fiscal Q4 2025, following ongoing efforts to bring back customer favorites like Uncle Herschel’s Breakfast and chicken and rise as well as new menu items. Investments in labor and training also decreased turnover and improved food quality. However, management expects traffic to fall during fiscal 2026 following an 8% traffic drop that started on Aug. 19 with the backlash over the logo.
“We thank our guests for sharing their voices and their passion for Cracker Barrel in recent weeks, and we've listened, switching back to our 'Old Timer' logo, hitting pause on remodels, and placing an even bigger emphasis in the kitchen and other areas that enhance the guest experience,” Masino said in the chain’s Wednesday earnings release.
Management remained optimistic about the chain’s future, with Masino citing the chain’s ongoing value plays — like its $8.99 early dinner deals — and an uptick in loyalty signups.
Cracker Barrel did not respond to request for comment on Biglari’s proxy filing by press time.
