new digital platform. At the time, the project was already at least one year behind schedule and above budget. A large number of layoffs occurred in its marketing department, and the company's second in command also left. On May 12, 2014, Darden announced that as part of the spinoff of Red Lobster, it was converting the co-located Red Lobster and Olive Garden locations into standalone Olive Garden locations. On May 16, 2014, Darden announced it would be selling the Red Lobster seafood restaurant chain to Golden Gate Capital for US$2.1 billion. Darden announced the completion of the sale of Red Lobster on July 28, 2014. Acquisitions Differences between Starboard and Darden management soon emerged over the hedge fund's proposal to split the company in two and spin-off a third to handle their real estate portfolio, a move Starboard said would greatly boost shareholder value. Matters came to head when management announced a plan to spin off the underperforming Red Lobster early in 2014. Starboard led a large group of investors in asking management to delay the move and see if better options, such as its plans to revitalize the chain, were available. When management instead decided to sell the chain to private equity firm Golden Gate Capital in May, Starboard and other investors sharply criticized the $2.1 billion "fire sale" price as a serious undervaluing of Red Lobster and its assets such as the underlying real estate. It also claimed management had refused shareholders' requests for a special meeting to discuss the deal. Chief Executive Officer Clarence Otis, Jr. announced he would be resigning at the end of the year, the same day the Red Lobster sale was complete. Management said afterward that it would work on a needed turnaround plan for Olive Garden, also struggling. However, after CNBC reported on a leaked document, supposedly offered to potential lenders and buyers earlier in the year, that described Red Lobster's financial position far more optimistically than management had in its contemporary public statements, one of the investors, a union pension fund, filed suit alleging material misrepresentation. Management claimed the document had been prepared by Golden Gate in consultation with Red Lobster's executives, who could have been expected to have that view of the chain's future. Gene Lee was named permanent CEO on February 23, 2015, after serving as interim CEO in October 2014. Starboard assembled its slate of directors to challenge