Highlights from Starboard's thesis on Darden Restaurants

Starboard Value released yesterday to investors a detail analysis of how management at Darden Restaurants (DRI +1.1%) isn't working in the best interest of shareholders.

The firm doesn't pull any punches as it alleges execs at Darden of looking to enrich themselves through the Red Lobster separation plan.

Crunching the numbers: Darden's DRI real estate portfolio is estimated to be worth close to $4B. Starboard thinks a hasty Red Lobster separation would destroy $850M in value.

Full Starboard investor presentation (.pdf)

From other sites
Comments (2)
  • COBeeMan
    , contributor
    Comments (2982) | Send Message
    Their presentation:
    * neglects to mention that they started all of this themselves by originally suggesting a different spinoff and accusing the BoD of poor performance causing the BoD to have to *do something* to improve numbers (rather than wait for the economy to improve like everyone else),
    * on slide #100 they *plan to plan* for operations improvements...and while I'm in favor of actually fixing the operations problems, I do not trust these guys to develop or execute a successful operations improvement plan since they are bean counters and have no idea what the actual customer wants (and because I am an efficiency consultant).
    3 Apr 2014, 04:12 PM Reply Like
  • Eddie Finn
    , contributor
    Comments (3) | Send Message
    Page 4 (in particular,the final bullet point on page 4) tells the entire story. Put a saddle on a thoroughbred
    15 Apr 2014, 04:50 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs