In Lebanon, Tennessee, customers are sharing their opinions about Cracker Barrel’s choice to revert from a newly launched text-only logo back to their classic “Old Timer” design.
The restaurant chain announced on Monday that Julie Masino will step down as CEO on August 10. She will stay on as an advisor until October 9, with David Deno taking her place as CEO.
A filing with the Securities and Exchange Commission revealed that Masino is set to receive a severance package totaling $4.63 million over the next two years following her departure from the company.
Additionally, the filing stated that Cracker Barrel will continue to provide security for Masino “for a significant period” after she leaves her advisory role.
Masino’s exit follows a failed rebranding effort from last year, which drew criticism from customers and negatively impacted sales.
Before the rebrand, there were plans to remove “Old Timer” from the logo and change the restaurant’s interior, which usually features a general store.
This rebranding was part of a $700 million plan to enhance the more than 660 Cracker Barrel locations, including updated menus and redesigned dining areas.
In a statement regarding the leadership transition, Carl Berquist, the board’s independent chairman, expressed gratitude for Masino’s dedication to the company and emphasized the importance of a smooth transition.
Deno commented that Cracker Barrel is an iconic American brand known for its unique blend of country hospitality, charm, and deep connections with generations of guests.
Masino’s resignation and Deno’s upcoming leadership occur as the company seeks to recover from the challenges presented by the rebranding effort.
Despite reports of improved traffic, it still hasn’t reached the levels seen prior to the rebranding issues. In recent third-quarter results, Cracker Barrel noted that overall traffic was improving compared to recent months, though still below the prior year’s numbers.
Craig Pomers, the Chief Financial Officer, mentioned that same-store sales dropped by 2.6% and foot traffic declined by 6.7%, but expressed optimism about the gradual improvement in key trends.
