Starboard picks up two major allies in bid to replace Darden board with its nominees
SEAFOODNEWS.COM [Wall Street Journal] By David Benoit and Chelsey Dulaney - September 26, 2014
Influential proxy-advisory firms Institutional Shareholder Services Inc. and Glass Lewis & Co. both recommended that Darden Restaurants Inc. shareholders vote to oust the company's board and replace it with Starboard Value LP's 12 nominees.
The opinions amount to a sweeping rebuke from the proxy advisers, who are generally cautious about recommending such a significant change as removing an entire board. It is only the third time in the past four years ISS has recommended shareholders remove an entire board.
Both firms said the performance of Darden shares and a decision by the board to sell Red Lobster without giving shareholders a vote warranted the drastic change.
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