September 28, 2012
Black CEO Announces Plans to Combine Some Olive Garden, Red Lobster Restaurants
Darden Restaurants thinks it knows the way to higher profits, and it’s already begun to combine under one roof two of its giants: Olive Garden and Red Lobster.
Darden, whose other segments include LongHorn Steakhouse and Capital Grille, recently showed modest improvements in financial performance: First quarter results for the new fiscal year show revenue increased 4.8 percent (YOY) to $2.03 billion, according to reports. But CEO Clarence Otis says consolidation of two of its biggest revenue streams will grow jobs in smaller communities — and increase its appeal.
“We think it’s done a great job of preserving the distinct guest experiences while leveraging the things that can be shared so that we’re able to come to a market and it work financially,” Otis told CNN Money.
View the video at CNN Money.