Management with Darden Restaurants (DRI -1.5%) all but declared a pricing war for the restaurant sector during today's earnings call in response to its sluggish growth for key chains. While at first blush the move looks bad for the group, analysts aren't so sure. Darden is battling a PR backlash from its decision to hire more part-time workers instead of full-time employees and continues to struggle to find a way to keep Red Lobster relevant. Restaurant peers could be unaffected.
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