Biglari wants $20/share special dividend from Cracker Barrel

Sardar Biglari says Cracker Barrel (CBRL) should declare a $20/share special dividend.

Hoarding cash when rates are near zero is "asinine," Biglari says, adding that "plowing money into [new stores] at a low return on invested capital [and] paying down debt when the financing environment is favorable" are equally asinine uses of cash.

Biglari intends to call a special shareholder meeting to vote on the dividend if the board continues to "dillydally" with the proposal.

Biglari's advice to the company: "You would be best served to place us on the Board and forgo the time, energy, and shareholder money to fight us."

More on Biglari and CBRL here

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Comments (1)
  • Devlin McGregor
    , contributor
    Comments (129) | Send Message
    This is one whale of a dumb idea. Why not just go on mass robbery spree of Cracker Barrel stores and get the money that way Sardar. This company has been a great dividend growth stock and paying out such a ridiculous amount in a one time special dividend is the epitome of short-sighted, Wall Street stupidity.
    17 Sep 2013, 08:16 PM Reply Like
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