Restaurant Chain Lags Rivals in Reducing the Suffering of Chickens and Pigs

For Immediate Release:
December 3, 2008

Contact:
Matt Prescott 757-622-7382

Nashville, Tenn. -- People for the Ethical Treatment of Animals (PETA), which owns 280 shares of O'Charley's Inc., has submitted a shareholder resolution calling on the Nashville-based restaurant chain to report what—if any—progress it has made toward adopting animal welfare policies that pertain to the purchase of eggs and pig, chicken, and turkey meat. In the resolution, PETA points out that O'Charley's lags far behind Burger King, Hardees, Carl's Jr., and others who have updated their purchasing practices to improve animal welfare standards for some animals. O'Charley's is a leading operator of casual-dining restaurants and has more than 360 locations in about 30 states.

Currently, the chickens O'Charley's purchases are still conscious when their throats are cut during slaughter. Many of them have their limbs broken while they are still conscious. The company buys eggs from suppliers who cram hens together into cages so tightly that the birds can't even stretch a wing, and it buys pig meat from suppliers that keep pregnant sows virtually immobilized for months at a time in tiny "gestation crates."

Burger King, Carl's Jr., Hardees, and several grocery chains have already taken action to curb these abuses. These companies, unlike O'Charley's, have enacted policies to increase the amount of cage-free eggs and crate-free pig meat that they purchase, and they give purchasing preference to suppliers that use a less cruel form of slaughter called controlled-atmosphere killing (CAK). Additionally, all KFCs in Canada will be phasing in the exclusive purchasing of chickens killed by CAK suppliers.

"The food industry is finally starting to address the suffering of animals on factory farms, but O'Charley's is way behind," says PETA President Ingrid E. Newkirk. "Consumers care about animal welfare, and if O'Charley's doesn't keep up with its rivals, shareholders could pay the price in diminishing returns."

For more information, please visit PETA.org. PETA's shareholder resolution follows.

Shareholder Resolution Regarding Animal Welfare

RESOLVED that shareholders request that the Board of Directors report to shareholders any progress made toward adopting animal welfare policies pertaining to the purchasing of pork, eggs, and poultry. The report should be prepared by November 2009 and should exclude proprietary information.

Supporting Statement

Egg-laying hens are typically confined to tiny wire cages so small that they cannot even spread a single wing. Pregnant pigs are often crammed into "gestation crates" that don't afford them enough room to turn around. Conscious chickens have their limbs broken and their throats cut open during slaughter.

As these abuses have become a matter of public concern, many restaurant companies have enacted policies to reduce the suffering of farmed animals in their supply chains.

For example, Burger King and CKE Restaurants (owner of Carl's Jr. and Hardee's) have enacted policies to (1) give purchasing preference or consideration to chicken suppliers that use a less cruel form of slaughter called controlled-atmosphere killing (CAK), (2) phase in the use of cage-free eggs and give purchasing preference to cage-free egg suppliers, and (3) phase in the use of pork from suppliers that are getting rid of gestation crates and give purchasing preference to such suppliers. KFCs in Canada will exclusively use chickens killed by CAK.

The policies of these (and other) companies are in line with the growing public concern about the abuse of farmed animals. As an October 8, 2007, Nation's Restaurant News editorial observed, "[A]ctive concern about how we treat the world around us has moved from left of center to the mainstream. A case in point is the growing number of companies that are embracing purchasing policies with animal welfare in mind."

Despite the actions of other restaurant companies and strong societal concern for the welfare of farmed animals, O'Charley's has not shown shareholders or the public any policies that pertain to the welfare of pigs and chickens in its supply chain.

Accordingly, shareholders are encouraged to vote in favor of this proposal.