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Discount lobster not a hit with diners, or investors - my dish olive garden darden restaurants

Discount lobster not a hit with diners, or investors  -  my dish olive garden darden restaurants

The parent company of the Olive Garden, Red Lobster and the Longhorn Steak House, despite the limited number of bread sticks, had a difficult time.
Darton restaurant (DRI)
On Tuesday, it warned that its second-quarter earnings would be significantly lower than analysts had expected, sending shares down more than 10%.
The company blamed transaction costs for the recent acquisition and the impact of Hurricane Sandy.
But Clarence Otis, the chief executive, acknowledged in a statement that while consumers were hungry for bargains, diners did not respond to the Darton restaurant promotion.
"These promotions do not resonate with the new promotions of economically stressed consumers and competitors," Otis said . ".
"Our disappointing results this quarter suggest that the way we promote our three brands needs to be more bold.
For example, the "Crabster festival" apparently failed to stir up appetite for garlic shrimp and other "juicy entrees" on Red Lobster.
In the "Swedish steak" promotion of the Longhorn, a few lucky people can win a steak dinner for a year, which seems to have been flat.
American consumers don't seem to want to save money on surfing and grass.
Even if two entries were offered at the Olive Garden for $25, sales were not promoted.
Darton expects the United StatesS. same-
Sales of stores in the three months ended November.
Drop around 25 to 2.
7% Red Lobster, Olive Garden and long horn steakhouse.
Investors quickly criticized Darton's strategy, although according to comments posted on the stock market, at least one observer seemed to have somewhat relaxed the chain.
HowardWPenney: at $7.
99 red lobster seems to discount lunch by 50%-
Discount is not a sustainable business model!
$ DRIlottafun: $ DRI companies may have more fundamental problems if people can't afford promotional offers.
Despite poor data and weak forecasts, one trader remained optimistic.
Sejd213 in my area: $ DRI these restaurants are always busy and seem to do a good job!
There may be another challenge for Darton.
HowardWPenney: According to my new estimate, $ dri cf cannot pay dividends after capital expenditure. . .
What will the dividend or cap ex cut first?

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