On layoffs, very bad attendance, and Iger's legacy being one of disgrace

[LAKid53]

It is not surprising that an essential business that was open throughout the lockdowns made more money than a business that relies on entertainment, which had to close most of its business.

By your measure of wise stewardship of a business, then Publix is smarter than all movie companies, theatrical companies, gyms, salons, retail stores, and movie theater chains.

Because Disney's portfolio contained long-established TV channels, it's operating segments as a whole pretty much broke even. And it has access to a $40 Billion nest egg to get it through this type of business disruption or recession.

Stocks are up for DIS. Apparently people who have taken courses in business think Disney's fine financially and is poised for a big comeback.

If the boys on Wall Street thought DIS was in trouble, that stock would have headed in the other direction.

 

[JoeCamel]

If the boys on Wall Street thought DIS was in trouble, that stock would have headed in the other direction.

But right now I can't give what the boys on wall street think any credence. They are playing a short term game quarter to quarter. No regard for the long term prospects of the company. Once the printing presses started running everyone in the market just stopped looking at fundamentals and are riding the wave of loose money. Give it a couple of months for reality to sink in and you will see the valuation adjusted. Of course - IMO

 

[bcoachable]

Could Disney be in the “too big to fail” club?

 

["El Gran Magnifico"]

Could Disney be in the “too big to fail” club?

My personal belief is no. They could become an acquisition target though.

 

[mikejs78]

My personal belief is no. They could become an acquisition target though.

Not with $23B in cash...

 

["El Gran Magnifico"]

Not with $23B in cash...

I forgot about that.

 

[UNCgolf]

See, I think that the success of Hamilton is what will cause them to explore this idea. Hamilton has apparently overperformed relative to expectations. I'm guessing that opens the door for other Disney musicals to play this way, although it's just as possible that Disney+ has them on the basic service instead.

BroadwayHD has previously indicated that filming can cost anywhere between $2-$4 million. So, that's an extremely low price for content in the current market.

BTW, I hadn't believed the rumors about Soul skipping video right up until Chapek said that. Now, I fully believe that Soul comes out with the same release pattern as Mulan.

That's what I'd expect -- to see them on the basic service.

There aren't any other Broadway shows they can put on Disney+ that will perform as well as Hamilton. I'm sure stuff like Frozen and the Lion King would do well, but they're not cultural phenomenons the way Hamilton is.

 

[MisterPenguin]

Not with $23B in cash...

And a guaranteed $17B credit line. And the good will to borrow even more.

 

[HauntedMansionFLA]

Leaders at WDW have started calling furloughed O&T Cast, with the message that they do not know when they will be called back, and that they should consider looking for other jobs. If they do so, will Disney continue to pay their medical benefits? If a person does get another job, but does not tell the Company, how would they know?

It is a strange message. On the one hand, it is very honest, but it also seems like an attempt to avoid a layoff- if people just find other jobs, no layoff is needed.

I’m sorry but what is O & T? Operations and training?

 

[Tom Morrow]

I’m sorry but what is O & T? Operations and training?

Office & Technical

 

[HauntedMansionFLA]

Office & Technical

Thank you

 

[Sirwalterraleigh]

We have a lot of people in this country that weigh in on things that they know nothing about.. It happening regarding disneys future doesn't surprise me one bit..

Disney will be fine, WDW will be fine.. We'll be off this reservations system before you know it. Ever ask yourself why the system isn't intergrated into the My Disney Experience APP?

Which system?

Who’s on first?

Hastily thrown together kludge and no time to port it two the two extra operating systems of Android and iOS?

Winner winner dinner

 

[EricsBiscuit]

I remember the days when MK closed at 6 on weekdays and later on weekends during the early-mid 2000’s.

edited to add: it made driving to Disney after school less attractive!

 

[EricsBiscuit]

The CEO of TWDC has a difficult job just trying to live up to the reputation of some of the past CEO's. In particular, Walt Disney himself.

Walt was always the front man for his movies, TV shows, Disneyland and Walt Disney World. We knew about these things because good ole Uncle Walt told us all about his plans on his TV shows. And the public loved him!

Of course, that was all pure public relations. Walt was not one bit as he appeared on TV. In reality he was a chain smoker, he drank to excess and he swore like a sailor. He was also a very brutal businessman. But after all, he was in show business. So he hired the best in the business to make him look good. And it worked perfectly because he came off looking great and was able to sell the public most anything. He was a great pitchman!

After Walt died, Roy Disney and the others after didn't have the on camera charisma to effectively sell the Disney product. That is until Eisner came along. Eisner was a rather ruthless guy (just like Walt) but he realized the valve (just like Walt) of being able to pitch the product to the fans. And Eisner did well on camera and used the TV shows to sell product in an effective manner.

Unfortunately, Iger left most of his personality with whomever replaced him as a weatherman. I'll give Bob credit in that he tried to sell the Disney product on camera. But the camera just doesn't like Bob. He comes off as a stiff dupe and a smarmy CEO. He comes off almost as creepy as the Dreamfinder. Iger is just not a guy the fans felt comfortable with nor someone they could trust.

And now we have Bob Chapek. Poor Bob comes across on camera like a wet dishrag. He just can't sell the product. Now let's hope that a brave someone in TWDC confronts Bob and tells him that his on camera personality sucks. Given the proper acting lessons and guidance, they can make him look good or even great!

They did it for Walt and I'm sure they can do it for Bob. I think the difference is that Walt was willing to put on his fake persona for the sake of building his personal fortune (i.e. greed). I'm not sure that Bob is motivated by greed as was Walt.

Here's an example of poor Bob trying to sell the Disney product:

Walt was never CEO. Roy was.

 

[Sirwalterraleigh]

Could Disney be in the “too big to fail” club?

No...but they aren’t going anywhere.

I’d things got REALLY bad...

It would be Apple, google, Microsoft...in that order.

I’m sorry but what is O & T? Operations and training?

How’d you miss that one?

 

[Sirwalterraleigh]

I remember the days when MK closed at 6 on weekdays and later on weekends during the early-mid 2000’s.

edited to add: it made driving to Disney after school less attractive!

Yep...I remember when the tickets were $52, the passes were $300, the rooms at port were $90 and the restaurants had an a la carte menu where you could get a $12 burger or a $14 pasta dish too!

 

[HauntedMansionFLA]

No...but they aren’t going anywhere.

I’d things got REALLY bad...

It would be Apple, google, Microsoft...in that order.

How’d you miss that one?

Is Operations going to take a big hit too?

 

[scpergj]

Yep...I remember when the tickets were $52, the passes were $300, the rooms at port were $90 and the restaurants had an a la carte menu where you could get a $12 burger or a $14 pasta dish too!

I still remember ticket books and purchasing additional books after we got in the park.

My first single day ticker I purchased for myself was Epcot in 1986; I believe I paid $14.95. later, in the mid ‘90’s, my wife and I paid around $27 for single day single park tickets. First trip with our kids in around 2003 we purchased 4 day park hopper passes for $99. First full on Florida residents AP’s we purchased were $279....
ah, the good old days...

 

[pheneix]

Real talk:

People on this board don’t need business classes. They need to see the real life experience of running theme parks with their own eyes. Things are pretty screwed up at a theme park in the best of times, much less poor times.

Probably doesn’t help that most recent college grads that were coming to the industry only knew the last 10 years or so of the business. The “good times”.

You got one camp of industry vets saying, “there’s an asteroid coming, you need to run.”

The other camp is all like “let’s measure the asteroid. Will the impact really be as bad as the doomsayers claim? Perhaps this asteroid is made up of an element that would not explode as hard when hits the ground. Perhaps —“

Ooof

 

[the.dreamfinder]

If the boys on Wall Street thought DIS was in trouble, that stock would have headed in the other direction.

The Fed dumping trillions helps, a little.