(Reuters) – Barington Capital Group called on Darden Restaurants Inc’s (DRI.N: Quote, Profile, Research, Stock Buzz) directors to split the chairman and chief executive roles as the activist investor lobbies for what it calls value-creating changes at the parent of Olive Garden and Red Lobster.
“We believe that the board should immediately appoint an independent chairman” to protect shareholder interests, James Mitarotonda, Barington’s chairman, president and CEO, said on a conference call on Thursday.
LOS ANGELES, Jan 29 (Reuters) – Starbucks Corp
Chief Executive Howard Schultz on Wednesday said he was
promoting Chief Financial Officer Troy Alstead to the new
position of chief operating officer, allowing Schultz to focus
on expanding the coffee shop chain’s e-commerce business.
Alstead will take over oversight of the brick-and-mortar
shops, where traffic rose 4 percent during the quarter that
included the holiday season. Starbucks also saw a record $1.4
billion loaded onto gift cards during that quarter.
(Reuters) – Starbucks Corp (SBUX.O: Quote, Profile, Research, Stock Buzz) on Thursday reported that sales at established restaurants in its U.S.-dominated Americas region cooled more than analysts expected in its latest quarter as online shopping kept more consumers at home and reduced their visits to its coffee bars.
With fewer shoppers going to all types of stores to buy gifts, Starbucks executives said sales at its cafes open at least 13 months softened, particularly in December
(Reuters) – Starbucks Corp (SBUX.O: Quote, Profile, Research, Stock Buzz) on Thursday reported that sales at established stores in its U.S.-dominated Americas region cooled more than analysts expected in its latest quarter as consumers spent more time holiday shopping online than at physical stores.
The news initially depressed shares in the world’s biggest coffee chain. But the stock then rose 0.9 percent to $74.02 as the company raised its fiscal 2014 earnings per share forecast to a range of $2.59 to $2.67, from $2.55 to $2.65 previously.
(Reuters) – McDonald’s Corp (MCD.N: Quote, Profile, Research, Stock Buzz) reported weaker-than-expected quarterly sales at established restaurants on Thursday as fewer diners frequented the fast-food chain, and warned that sales would again fall short of analysts’ expectations in January.
The world’s biggest restaurant chain by revenue has reported disappointing sales for five straight quarters, hurt by self-inflicted operational stumbles, weak demand and intense competition from rivals such as Wendy’s Co (WEN.O: Quote, Profile, Research, Stock Buzz) and Burger King Worldwide Inc (BKW.N: Quote, Profile, Research, Stock Buzz).
(Reuters) – Mondelez International Inc (MDLZ.O: Quote, Profile, Research, Stock Buzz), maker of Cadbury chocolate and Oreo cookies, on Tuesday added activist investor Nelson Peltz to its board in a compromise agreement that ends his campaign to have PepsiCo Inc (PEP.N: Quote, Profile, Research, Stock Buzz) take over the company.
Analysts now expect the influential investor to separately lobby each company to improve their results.
Jan 21 (Reuters) – Starboard Value has urged Darden
Restaurants Inc to delay the spinoff of its struggling
Red Lobster chain, becoming the second activist investor in as
many weeks to call on the company to rethink its strategy for
The calls for change from two investors holding almost 8
percent of Darden shares has put intense pressure on Chairman
and Chief Executive Clarence Otis.
(Reuters) – Darden Restaurants Inc (DRI.N: Quote, Profile, Research, Stock Buzz) said it would spin off or sell its struggling Red Lobster chain, bowing to pressure from hedge fund Barington Capital Group, and warned that earnings would fall more than expected this year due to weak demand.
Barington had been pushing for Darden to split into two companies – one that operates its mature Olive Garden and Red Lobster chains and another for its growing brands such as LongHorn Steakhouse and Seasons 52.
(Reuters) – McDonald’s Corp (MCD.N: Quote, Profile, Research, Stock Buzz) on Monday reported another sluggish month of sales at established restaurants, results that suggest the famed hamburger chain is losing U.S. market share to rivals.
The fast-food chain, the world’s largest by revenue, has struggled for more than a year to significantly increase those monthly sales, hindered by slack demand and intense competition for the business of budget-conscious diners.
NEW YORK/SHANGHAI, Dec 4 (Reuters) – Yum Brands Inc’s
KFC website in China trumpets the slogan “Trust in every
That message is part of the company’s new “I Commit”
campaign intended to reassure customers in its largest market,
who have cut back on visits since Chinese media reports a year
ago about excessive antibiotic use by a few KFC suppliers.