Cracker Barrel Announces Amendment of Credit Agreement

Cracker Barrel Old Country Store, Inc. (Nasdaq: CBRL) announced that it has entered into an amendment to its existing credit facilities. The amendment extends the availability of $165 million of the $250 million currently available under the Company's revolving credit facility to January 2013 from April 2011. The maturity of $250 million of its existing $643 million term loans was extended by three years to April 2016. The current interest rates on the term loans are Libor + 150 bps on the non-extended portion and Libor + 250 bps on the extended portion.

Commenting on the amendment, Executive Vice President and Chief Financial Officer Sandra B. Cochran said, 'We are pleased to successfully complete this amendment, strengthening our capital structure by extending the maturities of our revolver and a portion of our term loans. We will also be able to appropriately size our revolver to a level consistent with our improved inventory management and cash flow needs. We appreciate the response from our lenders and their assistance in making these important enhancements to our credit facilities.'

Estimated Effect on Fiscal 2010 Outlook

The Company noted that its prior outlook did not take into account the effects of refinancings that take place during the year or the restructuring of indebtedness that the Company announced today. Including the effects from the restructuring announced today, the Company currently expects net interest expense for fiscal 2010 to be between $48 and $50 million, compared with a range of $46 to $48 million provided in the Company's guidance on September 15, 2009. The Company will update the remainder of its outlook on November 24, 2009, when it announces its fiscal 2010 first quarter earnings.

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