Leading position in casual dining. Operating performance is at record levels. Solid balance sheet and credit protection measures. Cash flow consistently strong. Participates in a highly competitive industry. In the long term, company needs to find additional avenues for growth. The ratings on Darden Restaurants Inc. reflect the company's relatively good position in the casual dining industry, financial conservatism demonstrated by its solid cash flow protection measures, and strong balance sheet. Darden is the largest full-service, casual dining restaurant company in the U.S., operating 669 Red Lobster, 496 Olive Garden, 30 Bahama Breeze, and 21 Smokey Bones BBQ restaurants. The company's operating performance has improved materially in the past five years due to successful reinvestments in its core businesses. During
