The Krystal Story
It was on October 24, 1932, when the nation’s first Krystal restaurant opened its doors on the corner of Seventh and Cherry Streets in downtown Chattanooga amid the harsh financial times of the Great Depression. Its founders, Rody Davenport Jr. and J. Glenn Sherrill, believed that despite the severe economic upheaval of the times, people would patronize a restaurant that was kept spotlessly clean, provided courteous service and offered a good meal at the lowest possible price. Proving this theory true, the restaurant’s first customer, French Jenkins, ordered six Krystals and a cup of coffee, all for the bargain price of 35 cents.
The restaurant became an overnight success with customers flocking to the small building to savor hot-off-the-grill Krystals and sip freshly brewed coffee from thick china mugs. Those not lucky enough to snag a seat would order sacks full of Krystals to take with them, making Krystal a pioneer in the business of good food "to go."
Although its identity has always centered on the Famous Krystal, the company has remained at the forefront by being innovative, both in its menu and its operations. Beginning with the introduction of little square hamburgers and made-to-order breakfast, Krystal’s menu has evolved to offer customers a variety of unique items perfect any time of the day. Everything on Krystal’s menu fits with this brand positioning – product offerings that are served fresh, hot-off-the-grill and are distinctive in size and shape. Cheese Krystals, Krystal Sunrisers (small breakfast sandwiches), Krystal Chiks (small chicken sandwiches) and Pups (small hot dogs offered with chili and cheese) are just a few of the popular menu items that deliver on this promise.
Krystal also continues to expand its menu variety with breakthrough offerings, including Krystal’s Breakfast Scramblers line that takes traditional plate breakfasts and stacks them smartly in bowls to be conveniently enjoyed scrambled up or layer by layer. Two more popular menu expansions are Krystal MilkQuakes, real ice cream milkshakes made with premium, all-natural ingredients, and Krystal Freezes, the company’s frozen slush drink made from pure cane sugar and fruit flavorings.
On the technological front, the company has served up convenience to its customers by offering free Wi-Fi Internet access, launching its first “Krystal HotSpot” in early 2003 and becoming the largest provider of free Wi-Fi of any fast-food chain nationwide in 2005.
A passion that has been passed down from generation to generation, Krystal has become an experience that nearly every man, woman and child in the South has shared. As a result, many customers have “Krystal Stories” that directly relate to the company and its products. For years now, customers have been sharing their favorite memories by writing letters and sending emails to the company’s corporate office. Recognizing this passion, in 2004 Krystal began recognizing its most devoted customers by inducting them into the Krystal Lovers Hall of Fame. To commemorate the inductions, each inductee’s illustrated likeness is placed on more than one million of the restaurant’s famous Krystal Hamburger and Cheese Krystal Hamburger boxes and used in restaurants across the Southeast.
Krystal is also keeping an eye to the future as the company invests in new restaurant designs, develops new, unique menu items and expands into new markets across the South – upholding its legacy as a Southern icon by offering that one-of-a-kind taste and the personal connection you can’t find anywhere else.
Corporate Executives
Douglas R. Pendergast
President & CEO
Prior to joining Krystal, he was the Chief Franchising & Development Officer for CraftWorks Restaurants & Breweries, Inc. CraftWorks was formed in November, 2010 when Gordon Biersch Restaurant Group merged with Rockbottom Restaurants. CraftWorks' 200 owned and franchised restaurants include the Old Chicago, Rock Bottom and Gordon Biersch brands.
Prior to CraftWorks, Pendergast was the Chief Franchise Officer for Church's Chicken. Under Pendergast's leadership, the Church's franchise system increased annual new store growth by 6x, increased new unit returns by 2x, and earned awards for category-leading franchisee satisfaction. Church's was sold in August of 2009 for a 2.7x return for equity investors.
Before joining the Church's executive team, Mr. Pendergast was the Vice President of Corporate Strategy for AFC Enterprises (Nasdaq: AFCE). In this role, he led the divestitures of Seattle Coffee Company, Cinnabon, and Church's Chicken, along with an enterprise-wide restructuring effort. This strategy generated a 130% increase in shareholder value. Before AFC, he was an Engagement Manager with McKinsey & Company. Mr. Pendergast began his career at Procter & Gamble as a Senior Product Engineer on the Orange Crush, Crest, and Aleve brands.
Mr. Pendergast received his Bachelor of Science degree in Chemical Engineering from Georgia Tech, where he graduated with highest honors (Summa Cum Laude) and was a Presidential scholar. He received a Master's degree in Business Administration from the Harvard Business School, where he also graduated with honors. He resides in Chattanooga with his wife and twin daughters.
Al Ryan
VICE PRESIDENT
Operations
Mr. Ryan has over 30 years of experience in the QSR industry ranging from restaurant startups to supporting over 2,200 restaurants. Mr. Ryan previously worked for Church’s Chicken a division of Cajun Operating Company, from 2006 to 2012. He served as Vice President of International Operations where he oversaw the Franchise Operations in over 20 countries and over 450 units. Mr. Ryan improved company profitability through driving sales and net unit growth in the existing and new International Franchise markets. He was responsible to ensure consistency in our operating process and systems around the world by managing and directing an experienced Field Operations team responsible to support the Franchise family.
Prior to his role as Vice President of International Operations, Mr. Ryan held numerous positions with Domino’s Pizza in both the US and International segment from 1980 to 2005. Positions included Executive Vice President (Franchise Organization), Vice President of Field Operations (over 60 countries and over 2,200 units), Corporate Operations Director, and Regional Training Director.
Mr. Ryan studied Financial Reporting at Duke University – Fuqua School of Business
Scott Cochran
VICE PRESIDENT
Chief Accounting Officer
Scott Cochran is Vice President and Chief Accounting Officer for The Krystal Company, responsible for accounting, financial reporting, payroll, treasury, taxation and risk management.
Mr. Cochran began his career with the company in 2005 and has served as the Assistant Controller and Tax Manager, Director of Accounting and Controller prior to his promotion to Vice President and Chief Accounting Officer. Prior to joining Krystal, Mr. Cochran served as a Certified Public Accountant for seven years in the Chattanooga practices of Arthur Andersen, LLP and Ernst & Young, LLP specializing in corporate tax compliance. Mr. Cochran started his career with Wal-Mart Stores, Inc. where he served in various retail management positions for eight years in the east Tennessee and north Georgia areas.
Mr. Cochran holds a Masters of Business Administration (Accounting) as well as undergraduate degrees in both business management and finance from Tennessee Technological University in Cookeville, Tennessee. A native of Pittsburgh, Pennsylvania, Mr. Cochran currently resides in Hixson, Tennessee with his wife Pam and their two children.
Partha Mukherjee
VICE PRESIDENT
Chief Information Officer
Partha Mukherjee is a business driven 360 Chief Information Officer with a proven track record with end user companies and IT service providers. As the head of Krystal’s Information Technology Department, his role is to provide Executive leadership, Strategic Planning, Implementation and Support as an integral component of the company’s business plan. Partha likes to use Information Technology as a tool to enable business competitiveness.
Before joining Krystal, he was the CIO at Church’s Chicken. He has also worked with global service providers in Asia, Europe and Americas.
Partha is a regular speaker in conferences and technology roundtables. He is in the Advisory Board of Atlanta CIO Professional Network and CIO Leadership Network and a member of Georgia CIO Leadership Association. He is also associated with several cultural and charitable organizations and is in the board of Findley Oaks Elementary School foundation.