{
  "docId": "019dd923-622c-750b-8b9c-dad126beff94",
  "docSlug": "416ab93b6285",
  "documentTitle": "Darden Restaurants, Inc. (DRI)",
  "authorId": "03_Starboard_Value",
  "authorName": "Jeffrey C. Smith",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "activist_investor",
  "sourceTypeLabel": "Activist investor",
  "presentationDate": "2014-09-11 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 227,
  "pageCount": 294,
  "prevPage": 226,
  "nextPage": 228,
  "slideType": "valuation_table",
  "function": "show_valuation_bridge",
  "density": "overcrowded",
  "nDataPoints": 45,
  "notes": "Includes a specific reference to Life Time Fitness REIT conversion as a precedent.",
  "elementsJson": [
    "headline_text",
    "subtitle_text",
    "bullet_list",
    "data_table",
    "callout_box",
    "footnote"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b9c-dad126beff94/227",
  "deckHref": "/decks/019dd923-622c-750b-8b9c-dad126beff94",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b9c-dad126beff94.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b9c-dad126beff94#slide-227",
  "components": [
    {
      "bbox": {
        "h": 0.15,
        "w": 0.3,
        "x": 0.66,
        "y": 0.66
      },
      "kind": "callout",
      "text": "In the event that only the fee-simple real estate is spun off, we believe the REIT would trade at a slightly higher multiple than we have assumed in the full REIT valuation, but obviously with fewer properties",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "624de897-4394-42a0-8184-a7d9bd27c799",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.15,
        "w": 0.3,
        "x": 0.04,
        "y": 0.66
      },
      "kind": "callout",
      "text": "In addition to many of the examples we previously laid out, Life Time Fitness announced a REIT conversion plan on August 25, 2014 in a structure that is substantially similar to what we have suggested for Darden",
      "attrs": null,
      "subkind": "primary",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "b63cab0e-c10d-4cc0-a468-c86860ed0a9a",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "callout",
      "text": "The Public REIT valuation yields a total real estate value of approximately $2.6 billion",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd952-fb95-7708-ad52-cd6a18ec64a5",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "metric",
      "text": "Total Real Estate Value: $2.6 billion",
      "attrs": null,
      "subkind": "primary",
      "toolName": "Quantification",
      "toolSlug": "quantification",
      "confidence": null,
      "componentId": "019dd952-fb95-7708-ad52-d384d83cc0b9",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.92,
        "x": 0.04,
        "y": 0.22
      },
      "kind": "paragraph",
      "text": "The valuation uses a conservative multiple range that is a discount of approximately 15-25% to the LTM multiples of the triple-net REIT peer group, to account for possible concerns about tenant concentration and ground leases.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "f8dbc470-d235-4cde-ad16-3abba00ef627",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.92,
        "x": 0.04,
        "y": 0.9
      },
      "kind": "source-note",
      "text": "(1) Base Case used for the three cap rate-based valuations. (2) Low based on Base Case and High based on Precedent Transactions. (3) Estimated as 8% of Rental Income...",
      "attrs": {
        "numbered": true
      },
      "subkind": null,
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "a5c5b36c-e9d0-4783-b9b7-e42a3ffcefed",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.08,
        "w": 0.35,
        "x": 0.61,
        "y": 0.28
      },
      "kind": "table",
      "text": "Median Peer Multiple 18.2x; Assumed Discount 25.0% / 15.0%; Public REIT Valuation Multiple 13.7x / 15.5x",
      "attrs": null,
      "subkind": "valuation",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "58854171-89c2-4c8e-859d-6f79d6891ab1",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.2,
        "w": 0.92,
        "x": 0.04,
        "y": 0.41
      },
      "kind": "table",
      "text": "Base Case, Supportable Rent Valuation, Precedent Transactions Valuation tables",
      "attrs": null,
      "subkind": "valuation",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "9aedd48e-7927-4f20-8176-d9b51a3ccfd0",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.15,
        "w": 0.28,
        "x": 0.35,
        "y": 0.65
      },
      "kind": "table",
      "text": "Public REIT Valuation Low/High table",
      "attrs": null,
      "subkind": "valuation",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "d8ce9172-81a0-4fcc-ba1c-e50e78102424",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.06,
        "w": 0.92,
        "x": 0.04,
        "y": 0.15
      },
      "kind": "title",
      "text": "A valuation of a public REIT spin-off based on the average trading comparable yields a premium to the Base Case.",
      "attrs": null,
      "subkind": "action-title",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "c95512c5-b3db-415c-97bb-3f3fd9b79029",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.04,
        "w": 0.92,
        "x": 0.04,
        "y": 0.85
      },
      "kind": "title",
      "text": "The Public REIT valuation yields a total real estate value of approximately $2.6 billion",
      "attrs": null,
      "subkind": "action-title",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "f2fc22c2-b88d-4fcf-ab7c-9f87c64c8824",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.05,
        "w": 0.45,
        "x": 0.04,
        "y": 0.06
      },
      "kind": "title",
      "text": "Updated valuation: Public REIT",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "50b69d86-e2c2-4286-8ce0-c5bf48dd5650",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [],
  "frameworks": [
    {
      "name": "valuation-bridge",
      "slug": null,
      "matchId": "0d3ad577-1030-4cc9-a4ab-30fb54246486",
      "evidence": "The slide presents a series of valuation adjustments leading to a final enterprise value.",
      "confidence": 0.8
    }
  ],
  "arcBeats": [],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}