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  "docSlug": "416ab93b6285",
  "documentTitle": "Darden Restaurants, Inc. (DRI)",
  "authorId": "03_Starboard_Value",
  "authorName": "Jeffrey C. Smith",
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  "sourceTypeLabel": "Activist investor",
  "presentationDate": "2014-09-11 00:00:00",
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  "pageNumber": 39,
  "pageCount": 294,
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  "notes": "The slide uses the Red Lobster transaction as a 'case study' to reinforce the broader activist campaign against the Darden board.",
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      "kind": "callout",
      "text": "We believe the Red Lobster transaction highlights the incumbent Board members’ attitudes towards shareholders and their inability to create value at Darden",
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      "text": "We believe the Red Lobster transaction highlights the incumbent Board members' attitudes towards shareholders and their inability to create value at Darden",
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      "kind": "list",
      "text": "Shareholders cannot trust that the incumbent Board members will not give up on Olive Garden, just as they seemingly gave up on Red Lobster.",
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      "text": "The ARCP sale-leaseback transaction valued Red Lobster’s real estate at $1.5 billion, in line with the estimates included in our March 31, 2014 investor presentation.",
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      "kind": "list",
      "text": "Confirmed our valuation for the rest of Darden’s real estate. In fact, the price paid by ARCP suggests our estimates may be conservative.",
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      "kind": "list",
      "text": "Affirmed our belief that the current Board members cannot be trusted to safeguard the best interests of shareholders.",
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      "text": "The deal also confirmed that, despite management’s protests, there are no operational or strategic justifications to keep Darden’s real estate and restaurant businesses together.",
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      "kind": "list",
      "text": "Affirmed our strong belief that a new Board and management team is needed to lead Darden and turn around Olive Garden.",
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      "kind": "paragraph",
      "text": "We lost the opportunity to turn around Red Lobster, but the Red Lobster transaction has:",
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      "kind": "title",
      "text": "How has the Red Lobster transaction affected our investment thesis?",
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      "evidence": "The document emphasizes the consequences of not taking action to address Darden's underperformance.",
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