2007 Businessman of the Year

Clarence Otis overseeing $1.4B acquisition and new $100M headquarters.

by Susan Lundine
Managing Editor
Orlando Business Journal


Clarence Otis, chairman and CEO of Orlando-headquartered Darden Restaurants Inc.

Clarence Otis has been a really busy man this year.

The 51-year-old CEO and chairman of Orlando-headquartered Darden Restaurants Inc. (NYSE: DRI) -- the world's largest casual-dining restaurant company -- has overseen the $1.4 billion acquisition of Rare Hospitality International Inc. and the start of construction on his firm's new $100 million headquarters in south Orange County.

The only Fortune 500 company in Orlando, Darden employs about 170,000 people nationwide at more than 1,700 restaurants, including Red Lobster, Olive Garden, LongHorn Steakhouse, The Capital Grille, Bahama Breeze and Seasons 52, with annual sales of $5.6 billion.

Last year, the firm considered moving its headquarters elsewhere, including other states, but decided against doing so after the county and state governments offered up to $12.3 million in incentives, tax rebates and road improvements. Some of the incentive money is tied to the creation of up to 900 new jobs.

Further, the Darden Restaurants Foundation announced earlier this year it will donate $5 million over five years to help build the $376 million Dr. P. Phillips Orlando Performing Arts Center in downtown Orlando. Since 1988, the Darden foundation has donated more than $45 million to support community nonprofit organizations nationwide, and since 1995, has given more than $9 million to arts organizations.

In fact, Otis was named Orlando Business Journal's 2007 Businessman of the Year due to his efforts to keep Darden's headquarters here in town, his community involvement and for positioning his firm for future growth with its acquisition of Rare Hospitality (Nasdaq: RARE) -- the Atlanta-based parent of 292 LongHorn Steakhouse and 29 Capital Grille restaurants.

His very first job was as a waiter at a restaurant in the Los Angeles airport. "That was a great job," says Otis. "I was not only making money, I was around people who were having a good time."

Otis -- whose prior professional background included working as a lawyer and then an investment banker in New York City -- joined Darden in 1995 as vice president and treasurer.

He quickly ascended the corporate ladder during the past 12 years to senior vice president of finance, chief financial officer, executive vice president, president of the Smokey Bones chain and, then, Darden chairman and CEO in 2005.

But as busy as he is, Otis still finds time to give back to the community. He's personally involved with the Metro Orlando Economic Development Commission, the Central Florida YMCA and The Association to Preserve the Eatonville Community Inc., a cultural preservation organization that represents the nation's oldest incorporated African-American municipality in Central Florida.

"He's a very sincere, hard-working person," says Lonnie Bell, executive director of the African American Chamber of Commerce of Central Florida, who works with Otis on the Eatonville preservation organization. "When he's with you, he is with you. There is no false hope with Clarence. When he says he'll help out, he does."

Further, the leadership shown by Otis "has inspired others to take a greater role," says Bell.

Otis also was appointed by former Florida Gov. Jeb Bush to be vice chairman of the Florida Hurricane Relief Fund, which raised $40 million-$60 million to help communities rebuild after the disastrous 2004 hurricane season.

Rick Walsh, on the board of the Darden Restaurants Foundation and president of Knobhill Group in Orlando, has known Otis for 12 years and worked with him on the hurricane relief efforts.

Walsh calls Otis "a very bright bulb" with strong analytical skills and a good sense of the world. "He's very supportive of the arts and efforts for diversity."

Those efforts have paid off: The National Restaurant Association gave Darden the 2007 Faces of Diversity Inspiration Award, which recognizes efforts to embrace diversity. Of Darden's total work force, 40 percent are minorities and 51 percent are women. Minorities also account for 36 percent of Darden's board of directors.

"Each day, I learn from my diverse collection of colleagues and co-workers at Darden," says Otis. "I will continue to focus on communicating the importance of diversity in the broadest sense of the word throughout the business community. In embracing inclusion and learning from our individual differences, we can build stronger and more interesting businesses, communities and personal lives."

In addition, last spring Otis and his wife, Jacqueline Bradley, shared their African-American art collection with the Cornell Fine Arts Museum at Rollins College for about four months. "Jacqui and I are avid art collectors," says Otis. "We have pieces in our home from various artists, including Romare Beardon, Sam Gilliam and William Johnson."

The Sigma Pi Phi professional fraternity, of which Otis is a member, took an outing to the exhibit. There, Otis and his wife talked about their experiences in collecting the art and what it meant to them, says Brian Butler, president and CEO of JCB Construction, who attended the outing and who has known Otis for about five years. "Each piece represents something special to them -- the young artists and their potential within or the art itself," says Butler, who calls Otis an engaging, supportive, down-to-earth visionary.

Ray Gilley, president and CEO of the Metro Orlando EDC, has known Otis for about 10 years and describes him as an unpretentious, generous man of great character, intellect, business acumen and humility. Further, Otis is fun to hang out with, says Gilley. "He knows how to relax and entertain and enjoy the company of others -- he makes you feel right at home."

And at the end of the day, Otis says the most important business lesson he's learned in his life is having a balanced life. "I realize the importance of making time to attend events at my children's schools and to participate in their daily lives, like coaching my son's Little League team. Jacqui and I make a point to show up, listen -- and most importantly -- laugh with our children."


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Clarence Otis

Title: CEO and chairman, Darden Restaurants Inc.

Born: Vicksburg, Miss.

Education: Bachelor's degree, Williams College; law degree, Stanford Law School

Fiscal 2007 cash compensation: $3.9 million, according to Forbes.com

Fiscal 2007 stock options: 896,005 options with a market value of $13.5 million, according to Forbes.com

Recent personal award: A 2007 Horatio Alger Award, given by the Horatio Alger Association of Distinguished Americans Inc.

In a Related Note ...

Power Breakfast with Clarence Otis, CEO, Darden Restaurants

Join the Orlando Business Journal and the Citrus Club as we host Darden Restaurants CEO and chairman Clarence Otis.

Want to know what's going on with the world's largest casual dining restaurant company? Come hear Darden Restaurants CEO and chairman Clarence Otis discuss his firm's future, its recent acquisition of Rare Hospitality International Inc. and his firm's new $100 million headquarters in south Orange County.

The breakfast is scheduled for Friday, January 25, 2008 at the Citrus Club located at 255 S Orange Ave., 18th floor. Registration begins at 7:30 a.m., with the program starting promptly at 8 a.m.

Register early as there is limited seating and the event will sell out!

Registration Form

Very inspiring and more evidence that we are steadily tearing away all the barriers in business, politics, academia, etc.

quote:

Originally posted by Colonel Rattler:
Very inspiring and more evidence that we are steadily tearing away all the barriers in business, politics, academia, etc.