Darden Asked by Activist to Consider Replacing CEO

Darden Restaurants Inc. was asked by activist investor Barington Capital Group LP to consider replacing Chief Executive Officer Clarence Otis, saying that the company has underperformed during his tenure and that his restructuring plan may destroy value.

Darden would be worth “substantially more” if Otis were a more effective CEO, New York-based Barington said today in a letter. Barington, which has been privately pushing for changes at Darden since June, represents a group of investors that owns more than 2 percent of the shares.