Cracker Barrel Old Country Store, Inc. · NASDAQ:CBRL
Cracker Barrel Old Country Store — Proxy Contest (November 2020)
14 slides from Cracker Barrel Old Country Store's proxy contest presentation, Nov 3, 2020
Slide 1: Supplemental Investor Presentation
Biglari Capital Corp. Supplemental Investor Presentation November 2020 1
Slide 2: Setting the Record Straight: TSR calculations
Setting the Record Straight: TSR calculations Management Claims1 Meaningful TSR outperformance versus the Casual Dining Peer Index “2/21/20 represents the unaffected date prior to the WHO warning of a potential global pandemic and a corresponding market sell-off.” Reality • Neither Cracker Barrel's
Slide 3: Setting the Record Straight: TSR calculations (cont.)
Setting the Record Straight: TSR calculations (cont.) Cracker Barrel has underperformed its peer median and index 1-year TSR* Relative share price performance 2/21/20 – 2/25/20 SP Mid Cap 400 - Restaurants 3-year TSR* 5-year TSR* Peer Median SP Mid Cap 400 - Restaurants 3 * Peer Median based on Bloo
Slide 4: Why Texas Roadhouse is Cracker Barrel's closest peer
Why Texas Roadhouse is Cracker Barrel’s closest peer 60% of Cracker Barrel stores are within a five-mile radius of Texas Roadhouse 200+ Cracker Barrel stores are within a mere two-mile radius of Texas Roadhouse Number of Cracker Barrel stores within 5 State miles radius of a Texas Roadhouse Illi
Slide 5: Why Texas Roadhouse is Cracker Barrel's closest peer (cont.)
Why Texas Roadhouse is Cracker Barrel’s closest peer (cont.) Louisville Phoenix Houston/Dallas Florida Indianapolis St.Louis 5
Slide 6: …. and Texas Roadhouse has outperformed Cracker Barrel
…. and Texas Roadhouse has outperformed Cracker Barrel TSR Performance* Guest Traffic 5-year TSR* 3-year TSR* 1-year TSR* 6 * Based on TSR as of 2/25/2020
Slide 7: Texas Roadhouse has superior disclosure on store investments
Texas Roadhouse has superior disclosure on store investments Our 2019 average unit volume for all Texas Roadhouse company restaurants open before June 26, 2018 was $5.6 The land cost for stores opened during 2020 and million. The time required for a new Texas Roadhouse restaurant to reach a steady l
Slide 8: Setting the Record Straight: Unit Economics
Setting the Record Straight: Unit Economics Management Claims Management Claims We leverage a rigorous, analytical approach using IRR analysis, and our We are pleased with the performance of our mature stores opened over Board of Directors approves risk-adjusted hurdle rates in excess of our this ti
Slide 9: Setting the Record Straight: Comparable Store Sales
Setting the Record Straight: Comparable Store Sales Management Claims Our Comparable Store Sales Have Outperformed Reality • Cracker Barrel’s emphasis on comparable store sales is an attempt to hide deteriorating core business performance • Essentially, menu price increase has helped offset declinin
Slide 10: Cracker Barrel's flawed investment strategy caused $137M loss
Cracker Barrel’s flawed investment strategy caused $137M loss Management Claims Punch Bowl Social Reality Complimentary concept? What We Look For Does this look ‘complimentary’ to Cracker Barrel’s ‘old country store’ concept? • “White space,” where we believe there is long-term growth opportunity ‒
Slide 11: Our consistent opposition to Punch Bowl
Our consistent opposition to Punch Bowl Management Claims “Mr. Biglari’s letter published on April 15, 2020 was critical of CBRL’s decision to cease further investment in PBS.” Reality – Biglari Consistently Opposed the PBS Transaction and Never Suggested to Invest More Money Into the Concept July J
Slide 12: The Clear Choice Before Shareholders
The Clear Choice Before Shareholders An independent nominee with a wealth of restaurant The status quo: a nominee with experience that has little experience and capital allocation expertise in casual dining. relevance to a restaurant board. Raymond P. Barbrick Norman E. Johnson • 30 years of C-level
Slide 13: Why Resist Adding Restaurant Experience to the Board?
Why Resist Adding Restaurant Experience to the Board? • The current Board does not have a single independent member with restaurant operations expertise. • Norman E. Johnson has been the Chair of the Nominating and Corporate Governance Committee since 2016 and during his tenure, four new directors h
Slide 14: Disclaimer
Disclaimer The materials contained herein (the “Materials”) represent the opinions of Biglari Capital Corp. and its affiliates (collectively, “BCC”) and are based on publicly available information with respect to Cracker Barrel Old Country Store, Inc. (the “Company”). BCC recognizes that there may b
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