{
  "docId": "019dd923-622b-71dc-a6d9-b7733990b4fe",
  "docSlug": "9c639b8b1898",
  "documentTitle": "Darden Restaurants, Inc. (DRI)",
  "authorId": "03_Starboard_Value",
  "authorName": "Starboard Value",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "activist_investor",
  "sourceTypeLabel": "Activist investor",
  "presentationDate": "2014-03-31 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 53,
  "pageCount": 108,
  "prevPage": 52,
  "nextPage": 54,
  "slideType": "preempt_rebuttal",
  "function": "preempt_rebuttal",
  "density": "overcrowded",
  "nDataPoints": 12,
  "notes": "Includes a comparison table of historical EBITDA for Red Lobster vs Darden to illustrate the credit-worthiness argument.",
  "elementsJson": [
    "headline_text",
    "paragraph",
    "bullet_list",
    "data_table",
    "callout_box"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622b-71dc-a6d9-b7733990b4fe/53",
  "deckHref": "/decks/019dd923-622b-71dc-a6d9-b7733990b4fe",
  "deckJsonHref": "/decks/019dd923-622b-71dc-a6d9-b7733990b4fe.json",
  "deckAnchorHref": "/decks/019dd923-622b-71dc-a6d9-b7733990b4fe#slide-53",
  "components": [
    {
      "bbox": {
        "h": 0.1,
        "w": 0.84,
        "x": 0.08,
        "y": 0.78
      },
      "kind": "callout",
      "text": "We believe there are buyers interested in acquiring a package of all or a significant portion of Darden’s real estate at a highly attractive valuation, and that those buyers would not be interested in purchasing real estate from New Red Lobster at a similarly attractive valuation.",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "3ecc97cb-3823-4a96-833b-3b23b283c29e",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "callout",
      "text": "We believe there are buyers interested in acquiring a package of all or a significant portion of Darden's real estate at a highly attractive valuation, and that those buyers would not be interested in purchasing real estate from New Red Lobster at a similarly attractive valuation.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd953-203e-77ad-a6a9-3254f9b26d72",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.03,
        "w": 0.92,
        "x": 0.04,
        "y": 0.45
      },
      "kind": "list",
      "text": "As an example, which tenant would a real estate owner value more highly:",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "0679999e-590a-479e-8de3-1030b5ef4ced",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.92,
        "x": 0.04,
        "y": 0.23
      },
      "kind": "list",
      "text": "When valuing real estate, in addition to factors like location, lease agreements, and alternative uses, the credit-worthiness of the tenant is an important consideration.",
      "attrs": null,
      "subkind": "bullet",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "377e5e25-e424-4a01-b4c7-e25fa36b84ae",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Historical EBITDA",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd953-203e-77ad-a6a9-35b27dcc5d89",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.92,
        "x": 0.04,
        "y": 0.64
      },
      "kind": "paragraph",
      "text": "We have engaged in discussions with REIT analysts and potential buyers of Darden’s real estate, and both strongly corroborate this view.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "0658bd1c-ee1d-4d40-acba-009c642165c8",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.92,
        "x": 0.04,
        "y": 0.71
      },
      "kind": "paragraph",
      "text": "Since a Red Lobster Separation is irreversible, if it is completed prior to a real estate separation, the real estate value could be permanently impaired.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "af4cf836-37a0-433d-97b1-7166e2090f69",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.92,
        "x": 0.04,
        "y": 0.14
      },
      "kind": "paragraph",
      "text": "Not only is Red Lobster’s real estate worth more to a real estate owner than it is inside of New Red Lobster, by spinning out Red Lobster before separating the real estate, that value may be permanently impaired.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "de03031d-81e9-428f-a592-99d5921ee601",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.02,
        "w": 0.2,
        "x": 0.04,
        "y": 0.94
      },
      "kind": "source-note",
      "text": "Source: Capital IQ and Company filings.",
      "attrs": null,
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "8cd56f6f-059d-4802-a1b7-6ed213ad22b7",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.13,
        "w": 0.8,
        "x": 0.1,
        "y": 0.49
      },
      "kind": "table",
      "text": "Historical EBITDA table comparing Red Lobster and Darden from 2009-2013",
      "attrs": null,
      "subkind": "data",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "5938c8a5-1768-4a44-9e2b-780d421a9a07",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.92,
        "x": 0.04,
        "y": 0.04
      },
      "kind": "title",
      "text": "The Red Lobster Separation could permanently impair real estate value",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "6d0615df-561b-4086-b076-f9b463e5b661",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [],
  "arcBeats": [
    {
      "to": 107,
      "from": 44,
      "beatId": "b1a77d71-e262-47a6-b9b8-0075198da524",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Propose Solution",
      "beatSlug": null,
      "evidence": "The document proposes alternative solutions, including a comprehensive value creation plan and a detailed turnaround plan for Darden.",
      "position": 2,
      "confidence": 0.8,
      "parentBeatName": null,
      "parentBeatSlug": null
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}