The exemption only applies to businesses that specifically only make bread and nothing else. Even bagels disqualify the exemption. It was found that the exemption will only apply to Panera, giving them an advantage over everyone else having to pay $20/hr whereas Panera will continue paying $11.70/hr. Additional discussion on Breaking Points [1].
[1] - https://youtu.be/2YZ43uU4Z8s?&t=268