Business
Cracker Barrel Reports Third Quarter Fiscal 2020 Results And Provides Business Update
LEBANON, Tenn., June 2, 2020 /PRNewswire/ -- Cracker Barrel Old Country Store, Inc. ("Cracker Barrel" or the "Company") (Nasdaq: CBRL) today reported its
About this update from Cracker Barrel Old Country Store, Inc.
[{"type":"text","content":"LEBANON, Tenn., June 2, 2020 /PRNewswire/ -- Cracker Barrel Old Country Store, Inc. (\"Cracker Barrel\" or the \"Company\") (Nasdaq: CBRL) today reported its financial results for the third quarter ended May 1, 2020 and provided an update regarding the impact of the coronavirus disease (\"COVID-19\") pandemic on the Company's business.\nCOVID-19 Business UpdateBeginning in March, the unprecedented circumstances and rapidly changing market conditions caused by the COVID-19 pandemic resulted in significant disruptions to the restaurant industry and to the Company's business. As previously disclosed, the Company undertook numerous actions in response to the pandemic to bolster its liquidity and to adapt its operations to the current environment. \nIn connection with its actions addressing the COVID-19 pandemic, the Company provided the following update:\nFor the third quarter of fiscal 2020, when compared to the comparable period in 2019, comparable restaurant sales declined 41.7% and comparable store retail sales declined 45.5%. All Cracker Barrel stores have remained open. However, all stores were operating in an off-premise-only model with no dine-in service from late March through late April, with incremental dine-in openings initiating thereafter. For the week ending May 29, 2020, when compared to the comparable period in 2019, comparable store restaurant sales for stores with limited dine-in service decreased approximately 32% compared to approximately 76% for stores that were limited to an off-premise-only business model. As of May 29, 2020, 505 stores had limited dine-in service, and the Company expects that substantially all stores will have limited dine-in service by the end of June. \nMonthEnded5/1\nWeekEnded5/8\nWeekEnded5/15\nWeekEnded5/22\nWeekEnded5/29\nComparable store restaurant sales\n(79%)\n(74%)\n(62%)\n(55%)\n(45%)\nComparable store retail sales\n(83%)\n(73%)\n(67%)\n(53%)\n(38%)\nNumber of comparable stores with dine-in service available for the full fiscal period\n0\n15\n115\n270\n434\n \nOn May 28, 2020 the Company increased outstanding debt by drawing approximately $40 million through an exercise of an accordion feature to increase borrowing capacity under its credit facility. Amounts drawn through the exercise of the accordion feature are scheduled to mature in May 2021.\n\"The past several months have pre...