And with that, another DEI foothold is destroyed, thanks mostly in part to its own failures as a concept.
According to Fox Business, Cracker Barrel's DEI board member has resigned after shareholders voted to elect nine of the 10 board nominees, excluding Gilbert Dávila:
Upon announcing that shareholders voted to elect nine of the company’s 10 board nominees, including CEO Julie Felss Masino, during the annual meeting Thursday, Cracker Barrel revealed that following the vote, independent director Gilbert Dávila stepped down and the company's board will now consist of nine directors.
"The Board and leadership team are honored to be trusted with the responsibility of stewarding Cracker Barrel and we take seriously the trust our shareholders and guests have placed in us," read a statement from the board in part. "We also thank outgoing independent director, Gilbert Dávila, who has been a valued member of the Board through his five years of service to Cracker Barrel. Over that time, Gilbert helped oversee the formation of our strategic plan and led our Compensation Committee with skill and dedication. We are grateful for his many contributions."
This victory doesn't just go to everyone sick of DEI. It's also shared with investor Sardar Biglari, who wrote a letter to shareholders earlier in November urging them to oust both Dávila and Cracker Barrel CEO Julie Felss Masino, whom Biglari accused of being a "management team that are out of touch with Cracker Barrel’s customer base."
"The board has failed in every acquisition and in the opening of new stores, hired the wrong CEO, and approved a ‘Strategic Transformation Plan’ that has not only failed but has subjected the company to market ridicule and set the company back years in terms of its financial and stock price performance," wrote Biglari.
Biglari wasn't wrong. After the failed rebranding of Cracker Barrel, the backlash was so complete that it halted the corporation's plans to change anything. However, Masino's response included claims that she was effectively doing this at the behest of the customers, which was a lie. Moreover, it was revealed that Masino was overseeing "inclusive" projects such as "strengthening Cracker Barrel's relationship to the LGBTQ+ community."
Trump Sends a Message to Cracker Barrel After Woke Rebrand Backfires
"We are more focused than ever on delivering high-quality food and experiences to our guests while staying true to the heritage that makes Cracker Barrel so special, ensuring we are here to welcome families around our table for generations to come," said a statement from Cracker Barrel after the vote. "As always, we are committed to returning the Company to growth and enhancing value for our shareholders."
While I think it's great that the company halted its ridiculous rebrand, the fact that Masino is still running the show may very well impede the company from truly recovering to its former glory. While a revamp of Cracker Barrel is likely needed, its changes need to be more menu-focused, not aesthetic-focused. Masino had it in her head, like most mistaken CEOs, that the "change" that was needed was social.
Regardless, it would appear that its DEI "specialist" has now been shown the door, and he willingly walked through it. Does this mean we're going to see the end of Cracker Barrel's flirtation with woke culture? Time will tell, and it may very well hinge on whether Masino learned her lesson.
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