Intel robbed the US government, the anti-DEI losing trade, the DEI purge, and Bezos feels “icky”

Story of the Week (DR):

1. The Cracker Barrel BS

1. Cracker Barrel scraps new logo design, keeps 'Old Timer' after listening to customers

1. Restaurant chain's stock price sank following removal of 'Uncle Herschel' from branding

2. Uncle Herschel wasn’t just a marketing creation, he was a real person. Born Herschel McCartney, he was the younger brother of Cracker Barrel founder Dan Evins’ mother and served as an early goodwill ambassador for the brand. A salesman for Martha White Flour Company for over three decades, Herschel traveled through rural America, building relationships in small-town general stores — the very kinds of places that inspired Cracker Barrel’s original design and ethos.

1. When Cracker Barrel introduced its iconic logo in 1969, the old-timer sitting beside the barrel was long thought by fans to be based on Herschel himself, though the company later clarified that this wasn’t the case.

3. In 2004, the Justice Department (during the George W. Bush administration) sued the chain for discriminating against Black customers. In 2006, they settled a lawsuit involving three of their Illinois restaurants for “discriminatory practices, racially charged language, and inappropriate touching.”

2. Cracker Barrel’s inconvenient fact: all the customers who loved its old logo had stopped going to the restaurant

3. Founder Dan Evins

1. His tone was considerably harsher when it came to defending a January 1991 directive to all the company’s restaurants to fire employees “whose sexual preferences fail to demonstrate normal heterosexual values.” Mr. Evins’s explanation for the edict was that gay people made customers in rural areas uncomfortable. As many as 16 openly or suspected gay employees were promptly fired.

2. “They actually put a policy like this in writing, which was, and still is, shocking,” David Smith, a spokesman for the Human Rights Campaign.

3. The New York City Employees Retirement System, which owned more than $6 million of Cracker Barrel shares, led other stock owners in using their votes and other legal means to organize resistance. In March 1991, Mr. Evins apologized and said the policy had been rescinded. But New York and its allies fought until 58 percent of the shareholders in 2002 persuaded Cracker Barrel’s board to vote unanimously to explicitly forbid antigay discrimination in its equal employment policy.

4. In July 2001, shareholders replaced Evins as CEO with Michael A. Woodhouse, who at the time was serving as the company's chief operating officer. Evins maintained his position as chairman of the board.

5. Prior to founding the company, Dan worked for Consolidated Oil, a company founded by his grandfather.

4. Cracker Barrel took down Pride page after rebrand fiasco

1. Company faced criticism over modernist redesign and support for LGBT causes before stock rebound

2. The website link for Cracker Barrel’s Pride page, which used to boast that the company was "bringing the porch to Pride," now redirects to its "Culture and Belonging" page.

3. Cracker Barrel previously sponsored the Nashville Pride Parade in 2024 and unveiled a line of rainbow-colored rocking chairs for Pride month. The company also has an LGBTQ employee resource group called the "LGBTQ+ Alliance," along with groups for veterans and other communities.

4. Despite claims it's 'too woke,' Cracker Barrel actually has a fraught LGBTQ+ history

1. Cracker Barrel received a score of zero on the inaugural index in 2002. The chain was criticized in the 1990s for discrimination against gay employees. In 1991, the company adopted a corporate policy stating that any worker who failed to demonstrate "normal heterosexual values" would be fired. 

2. Eleven employees were terminated under the rule, leading to boycotts and protests nationwide. Over time, Cracker Barrel’s HRC score improved, reaching 80 in 2021 after the company took several public pro-LGBTQ stances.

1. 58 percent of the shareholders in 2002 persuaded Cracker Barrel’s board to vote unanimously to explicitly forbid antigay discrimination in its equal employment policy.

5. Proud Representation: Business Resource Groups: These voluntary, employee-led organizations are open to all employees and provide opportunities to network, develop leadership skills, and serve as cross-functional resources for our teams.

1. AMPT (Advancing Modern Professionals for Tomorrow) aims to connect and empower modern professionals by promoting a community of inclusive, ambitious, and diverse members that unify through the Cracker Barrel to equip our community and leaders for the future. This BRG provides networking, development, and community outreach opportunities that supplement the professional and personal lives of its members.

2. The mission of Be Bold is to cultivate and develop Black Leaders within the Cracker Barrel organization utilizing allyship, mentorship, and education to create a path to continued excellence as well as a vibrant and diverse community.

3. B-Well: Cracker Barrel's Wellness BRG partners with the Benefits Department to improve the employee experience by sponsoring health and wellness activities that nurture employees' physical, emotional, financial, and intellectual well-being. Balance in these areas reduces distractions and allows employees to improve their focus and productivity.

4. HOLA's mission is to promote Hispanic and Latino culture through hiring, developing, and retaining talent within Cracker Barrel. To create a culture of inclusivity and awareness through community outreach.

5. LGBTQ+ Alliance: Supporting Home Office and Field employees to bring their whole selves to work while strengthening Cracker Barrel's relationship to the LGBTQ+ community.

6. NeuroVerse Collective is focused on advocacy and education around Neurodiversity.

7. Our Veteran's BRG, SERVE, is dedicated to advocating for leadership and development opportunities for its members. We foster an environment of networking and volunteerism while focusing on recruitment, retention, and advancement of Veterans at this company.

8. Women’s Connect: Our mission & goal is to inspire the women of Cracker Barrel by empowering, educating and engaging to achieve the strategic initiatives of Cracker Barrel.

2. The anti-DEI purge continues: MM

1. Fed emphasizes its commitment to 'independence' as Lisa Cook pledges to sue over Trump's 'illegal' firing

2. White House fires CDC director [Susan Monarez] who says RFK Jr. is ‘weaponizing public health’

1. White House names RFK Jr deputy Jim O'Neill as replacement CDC director

1. Unlike Monarez, O’Neill, a former investment executive, does not have a medical or scientific background. He served as a speechwriter for the health department during the George W Bush administration, and went on to work for the tech investor and conservative mega-donor Peter Thiel.

3. Trump Fires Member of Board That Approves Railroad Mergers

1. Robert E. Primus received an email from the White House terminating his position, but he said he would continue his duties.

3. The Oligarchy Rules!: Trump makes the government Intel’s largest investor

1. Intel has entered into an agreement with the U.S. government, specifically the Department of Commerce, for an $8.9 billion investment in the company. This investment is in the form of the government purchasing Intel common stock.

1. The U.S. government will gain a nearly 10% stake in Intel.

2. This funding is part of the CHIPS and Science Act and the Secure Enclave program, aimed at boosting the domestic semiconductor industry.

3. The government's ownership will be passive, with no board representation or governance rights.

4. Each Warrant represents the right to purchase one share of common stock at an exercise price of $20.00 per share.

2. On August 18, 2025, Intel Corporation entered into a Securities Purchase Agreement with SoftBank Group Corp. pursuant to which SoftBank agreed to purchase 86,956,522 shares of the Company’s common stock for an aggregate purchase price in cash of $2.0 billion, representing a price per share of $23.00 per share.

Goodliest of the Week (MM/DR):

1. DR: Korea passes boardroom reform, curbing chaebol power MM DR

2. MM: Red Lobster Is Betting on Black Diners With Its Brand Comeback

3. MM: Bluesky now platform of choice for science community

Assholiest of the Week (MM):

1. Shareholder democracy

1. From Mike Levin, host of Shareholder Primacy and writer of the Activist Investor newsletter: 

1. Followers here should recall ten current and former TSLA directors agreed to repay about $735 million in comp they received from 2017-2020 as part of a settlement of a derivative lawsuit, Detroit v. Tesla.

2. February 25, 2025 - TSLA receives $735 million in cash and returned options from ten director defendants, five of which currently serve on the TSLA BoD, without specifying how much each defendant paid

3. March 31 - We filed our opening brief, acknowledging that receipt of the damages and noting the five director defendants currently on the TSLA BoD had not filed SEC Form 4 showing a change in options holdings to reflect returned options

4. April 29 or 30 - TSLA BoD authorizes cancellation of options to reflect the settlement

5. May 1 - The five defendants currently on the TSLA BoD file Form 4 showing return of options as part of the settlement.

6. It is impossible for Tesla to have received Settlement Options from Current Director Defendants by February 25, 2025 and for Current Director Defendants to have conveyed them to Tesla on May 1, 2025. Either Tesla misrepresented receipt of the Settlement Amount in a sworn affidavit or Current Director Defendants failed to timely file Form 4 with the SEC.

2. From Kevin Barnes of K-Bar Holdings LLC, shareholder proponent at Eagle Materials:

1. Files shareholder proposal to de-classify the board by amending the charter via Special Meeting in the June 23, 2025 proxy statement

2. At the AGM held August 4, 2025, Barnes wins the advisory vote… by a LOT - 92% in favor (92%!!!) - made more impressive given that 37.3% of shares are held by Fidelity, Vanguard, BlackRock, and JPM, not exactly communists

3. Kevin emailed me Tuesday to say Eagle “has yet to notice a Special Meeting to formalize [the amendments]”

3. On August 16th, 19 days after Samsara (where Marc Andreessen and Sue Wagner spend their time) held its AGM, the company added Gary Steele (whose company Shield AI is private and funded in large part by Andreessen Horowitz)  to the board

4. Qorvo, after John Cheveddan’s shareholder proposal asking for the right of investors to call special meetings failed with 44% in favor and approved pay with just 59% in favor, ONE DAY after the annual meeting the board “approved” giant golden parachutes for the executives

2. Meritocracy

1. Robert Primus: Trump Fires Member of Board That Approves Railroad Mergers

1. “Robert Primus did not align with the president’s America First agenda, and was terminated from his position by the White House.” He added, “The administration intends to nominate new, more qualified members to the Surface Transportation Board in short order.”

1. Primus is a black man who went to Harvard and Hamton and has more than 20 year experience in politics - he was given the position originally by Trump

2. Lisa Cook: Trump says he's removing Fed governor Lisa Cook, citing his administration’s allegations of mortgage fraud

3. Letitia Jones: Justice Dept. Abruptly Escalates Pressure Campaign on a Trump Adversary

4. Muriel Bowser, Karen Bass: Cities led by Black women are the first targets of Trump’s political power grab

3. Know your surrendering boards DR

1. Cracker Barrel CEO Under Pressure To Resign After Logo U-Turn

1. Carl Berquist (2019), Chair, ex Arthur Andersen

2. Jody Bilney (2022), ex Humana

3. Steve Bramlage (2025), Casey’s General

4. Gilbert Davila (2020), diversity marketing CEO (PoC!)

5. John Garratt (2023), ex Dollar General

6. Michael Goodwin (2024), tech at PetSmart (PoC!)

7. Cheryl Henry (2024), ex Ruth’s

8. Julie Felss Masino, CEO

9. Gisel Ruiz (2020), ex Sam’s Club (PoC!)

10. Daryl Wade (2021), ex Union Square Hospitality (PoC!)

2. Cracker Barrel board member under fire for DEI background

3. Trump makes the government Intel’s largest investor

1. Frank Yeary (2009), Chair, PE/VC tech guy

2. Jim Goetz (2019), Sequoia

3. Andrea Goldsmith (2021), dean at Princeton

4. Alyssa Henry (2020), ex CEO of Block

5. Eric Meurice (2024), ex ASML Holdings

6. Barbara Novick (2022), ex Blackrock founder

7. Steve Sanghi (2024), Microchip Technology

8. Greg Smith (2017), ex Boeing

9. Stacy Smith (2024), ex Kioxia

10. Dion Weisler (2020), ex HP

Headliniest of the Week

1. DR: Pork Industry Leader David Newman Selected as National Pork Board's Next CEO

2. MM: Jeff Bezos Said He Would Have 'Felt Icky' Had He Taken Any More Shares Of Amazon: 'I Just Didn't Feel Good...'

3. MM: Sam Altman says colleagues are glad he’s a dad now, because they think raising a child will help him make ‘better decisions for humanity’

Who Won the Week?

1. DR: Hopeful Susan Collins slayer and oyster farmer Graham Platner: “I did four infantry tours in the Marine Corps and the army. I’m not afraid to name an enemy, and the enemy is the oligarchy. It’s the billionaires who pay for it, the politicians who sell us out.”

2. MM: Journalists who listen to Business Pants: Cracker Barrel’s inconvenient fact: all the customers who loved its old logo had stopped going to the restaurant - where Dee Ann Durbin of the AP literally took my rant about foot traffic and stock movements part for part

Predictions

1. DR: The following lines will be deleted from Cracker Barrel’s next proxy statement:

1. [The Public Responsibility Committee ] “Reviews the Company’s progress in its diversity and inclusion initiatives and compliance with the Company’s responsibilities as an equal opportunity employer”

2. “ In addition, our nominees — including five (5) women and three (3) individuals who are racially or ethnically diverse — embody the diversity that we believe is critical to the effective functioning of any public company board today, particularly in a consumer-facing industry such as ours.”

3. “Board Diversity Matrix”

1. Or at least the following term from that matrix: “Non-Binary”

4. “Gilbert R. Dávila, age 61, first became one of our directors in July 2020. Since 2010, Mr. Dávila has served as the President and Chief Executive Officer of DMI Consulting — a leading multicultural marketing, diversity & inclusion, and strategy firm in the United States.”

1. Cracker Barrel board member under fire for DEI background after restaurant ditches traditional logo

2. MM: Ramon Laguarta, the CEO of Pepsi, quietly scraps a plan for their brand Quaker Oats to remove the picture of the old white quaker guy from the cartons of oats and instead asks the marketing team to make the quaker guy even older and whiter and possible they should consider adding a shotgun in his hands with “boobs rule” written on the side of it