Red Lobster 2002 Annual Report Download - page 27

DARDEN RESTAURANTS
This is the Bottom Line
Report of Management
Responsibilities
The management of Darden Restaurants, Inc. is responsible for
the fairness and accuracy of the consolidated financial statements.
The consolidated financial statements have been prepared in
accordance with accounting principles generally accepted in the
United States of America, using management’s best estimates
and judgments where appropriate. The financial information
throughout this report is consistent with our consolidated
financial statements.
Management has established a system of internal controls
that provides reasonable assurance that assets are adequately
safeguarded, and transactions are recorded accurately, in all
material respects, in accordance with management’s authoriza-
tion. We maintain a strong audit program that independently
evaluates the adequacy and effectiveness of internal controls.
Our internal controls provide for appropriate separation of
duties and responsibilities, and there are documented policies
regarding utilization of Company assets and proper financial
reporting. These formally stated and regularly communicated
policies set high standards of ethical conduct for all employees.
The Audit Committee of the Board of Directors meets
regularly to determine that management, internal auditors,
and independent auditors are properly discharging their duties
regarding internal control and financial reporting. The inde-
pendent auditors, internal auditors, and employees have full
and free access to the Audit Committee at any time.
KPMG LLP, independent certified public accountants,
are retained to audit the Company’s consolidated financial
statements. Their report follows.
Joe R. Lee
Chairman of the Board and
Chief Executive Officer
Independent AuditorsÕ Report
The Board of Directors and Stockholders
Darden Restaurants, Inc.
We have audited the accompanying consolidated balance sheets
of Darden Restaurants, Inc. and subsidiaries as of May 26, 2002,
and May 27, 2001, and the related consolidated statements of
earnings, changes in stockholders’ equity and accumulated
other comprehensive income, and cash flows for each of the
years in the three-year period ended May 26, 2002. These
consolidated financial statements are the responsibility of the
Company’s management. Our responsibility is to express an
opinion on these consolidated financial statements based on
our audits.
We conducted our audits in accordance with auditing
standards generally accepted in the United States of America.
Those standards require that we plan and perform the audit
to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also
includes assessing the accounting principles used and signifi-
cant estimates made by management, as well as evaluating the
overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.
In our opinion, the consolidated financial statements
referred to above present fairly, in all material respects, the
financial position of Darden Restaurants, Inc. and subsidiaries
as of May 26, 2002, and May 27, 2001, and the results of their
operations and their cash flows for each of the years in the
three-year period ended May 26, 2002, in conformity with
accounting principles generally accepted in the United States
of America.
Orlando, Florida
June 18, 2002
Great Food and Beverage 24 Produce Great Results in 2002