Cracker Barrel Expanding into Retail
The agreement will bring products consistent with the Cracker Barrel experience such as ham, bacon, assorted lunch meats, glazes, jerky and summer sausage to a wide range of retail outlets including grocery and club stores and mass merchandisers.
"We are pleased to partner with the John Morrell Food Group, a leader in consumer meat products with an outstanding reputation for quality and service," said Sandra B. Cochran, president and chief executive officer of Cracker Barrel. "We welcome this opportunity to extend our brand beyond our physical stores, which is one component of our strategic plan which also includes enhancing our operating core, and expanding our footprint by adding additional stores."
"We are thrilled to join forces with Cracker Barrel Old Country Store and bring an outstanding brand with a loyal consumer following into the retail channel," said John Pauley, John Morrell Food Group executive vice President of Sales and Marketing. "Our strength in producing and marketing the highest-quality meat products complements Cracker Barrel Old Country Store's expertise and leadership in the restaurant industry. This will be a win for Cracker Barrel guests, retail shoppers and our retail trading partners."
Cracker Barrel does not expect this agreement to have a material effect on its financial results in fiscal year 2013. Along with the potential contribution to profitability in future years, Cracker Barrel expects to benefit from the increased visibility of the brand outside of its own stores.