Cracker Barrel Old Country Store, Inc. ("Cracker Barrel" or the "Company") (Nasdaq: CBRL) today announced two strategic actions.

Cracker Barrel completed a sale-leaseback transaction with an institutional real estate investor for 26 Company-owned Cracker Barrel store locations, generating net proceeds of approximately $77 million. The Company intends to deploy the proceeds towards debt reduction. The transaction is tax efficient and enables the Company to utilize capital loss carryforwards that otherwise would have expired.

Cracker Barrel also completed the sale of certain assets used in its Maple Street Biscuit Company ("MSBC") business, including the MSBC trademark and the assets used in 35 MSBC locations to Biscuit Belly, LLC. Simultaneously with the completion of this sale, the Company announced that the remaining 16 MSBC locations will be closed.

In connection with the divestiture, the Company expects to recognize non-cash charges1 of approximately $37 million to $39 million during the fourth quarter of fiscal 2026. The Company anticipates additional cash charges1 of approximately $6 million to $8 million associated with exiting the business, some of which are expected to be incurred in the fourth quarter of fiscal 2026 and some in fiscal 2027.

The Company now expects to achieve or exceed the high end of its revenue range and exceed its adjusted EBITDA2 outlook for fiscal 2026, which ends July 31, 2026. As previously provided on June 9, 2026, Cracker Barrel anticipated total revenue of $3.27 billion to $3.30 billion and adjusted EBITDA2 of $120 million to $125 million.