Cracker Barrel CEO steps down after 'woke' rebrand attempt as company changes direction

Cracker Barrel CEO Julie Felss Masino will be stepping down after the company attempted its "woke" rebrand last year. The rebrand was rolled back after heavy backlash against the company online and around the country from loyal customers to the restaurant chain.

Masino is set to be replaced by David Deno, who recently served as the CEO of Bloomin' Brands, the parent company of Outback Steakhouse. Deno is set to take the place of Masino on August 10, according to a statement from Cracker Barrel.

"Following a robust and thoughtful search process, we are pleased to welcome David as Cracker Barrel's next CEO," independent Chairman of the Cracker Barrel Board, Carl Berquist, said. "He brings decades of experience across the restaurant and retail industries, with a strong track record of leading businesses through growth and a demonstrated commitment to operational excellence, guest experience, and team member engagement."

"We are confident David is the right leader to continue building on the Cracker Barrel legacy, drive further positive momentum operationally and financially, and create sustainable value for our shareholders," Berquist added.

Berquist thanked Masino for her time and leadership at the company. Deno also put out a statement about taking over the chain, and said that Cracker Barrel is a "truly iconic American brand, defined by its unique combination of warm country hospitality, timeless appeal, and deep connection with guests across generations."

With the CEO swap, shares of Cracker Barrel dropped by over 5 percent on Monday morning. The departure of Masino comes after she has been at the company for less than three years. During her tenure, loyal customers of the brand were outraged when the chain last August decided to axe "Uncle Herschel" from the sign and modernize the chain's branding.

After heavy backlash from customers and even President Donald Trump, Cracker Barrel reversed course and leaned back into its old-fashioned branding, after which, the stock soared up 100 percent over the rest of the year.

Deno said that he will be look forward to "unlocking the full potential of this remarkable brand," which will include a focus on "delivering delicious food and exceptional experiences for our guests, while driving profitable growth."