alt Hacker NewsHe doesn't. I think you misread this passage (it's the only thing that comes close):
> When discussing how he would distance himself from racist groups, Mr Schnatter said that Colonel Sanders, the founder of KFC, had never faced criticism for using the N-word, Forbes reported.
It's worth pointing out that there's no evidence that Colonel Sanders ever did that. It's not as if he was directly quoting someone. Even if he really wanted to bitch about how unfair it is that someone else was able to be racist without being called out for it, he could have phrased that in any number of other ways. Schnatter was just spewing bullshit and threw out that slur without any reason for doing so.