Disney, Disgruntled Directors Reach Truce

[wannab@dis]

Disney, Disgruntled Directors Reach Truce

Disney and Two Disgruntled Directors Agree to Truce, Including Dropping Shareholder Lawsuit

The Associated Press

Jul. 8, 2005 - The Walt Disney Co. and two ex-directors who have waged a bitter two-year fight have agreed to a truce, including dropping a contentious shareholder lawsuit challenging the selection of the company's new chief executive officer.

The company said Friday it has named former director Roy E. Disney as a director emeritus and a consultant.

In exchange, Roy Disney and ex-board member Stanley Gold have agreed not to run a challenge slate of directors or submit shareholder resolutions for the next five years. The two also pledged to back the leadership of Robert Iger, who succeeds longtime chief executive Michael Eisner in September.

In a brief statement Friday, the company reaffirmed its commitment to rotate members of the board's committees as currently required by the company's corporate governance guidelines.

"In putting aside their differences, the company noted Mr. Disney's long time devotion to the company and welcomed the re-establishment of a relationship with him and his family," the statement said.

"... Disney and Gold expressed confidence in Mr. Iger's leadership, and as Mr. Eisner retires after 21 years with the company, they acknowledged his contribution to the company over the years," the statement said.


Copyright 2005 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Copyright © 2005 ABC News Internet Ventures

http://abcnews.go.com/Business/wireStory?id=921706

 

[DisneyRoxMySox]

Does this have anything to do with the court battle against the sevrence pay of Michael Ovitz??

If not, what is going on with that??

 

[wannab@dis]

No, this is the lawsuit concerning the CEO search that didn't appear to be very extensive.

 

[DisneyRoxMySox]

Oh, thanks for the info.


Does anyone know what is going on with the Ovitz trial?

 

[prberk]

This is amazing news. And well timed, I think (before DL's actual 50th -- a good time to show unity with the Disney family).

I think that this, combined with dismantling the Strategic Planning department, shows that Mr. Iger has at least done some things to break company with Eisner and meet Roy for a new start. And it seems that, perhaps, Roy has seen fit to do the same.

I just hope that Iger and company actually do involve Roy some and listen to at least some of the passionate concerns that have been raised by others on Save Disney's campaign. It has always been good to balance new, trendy business plans with the strength and wisdom of tradition. And I have always seen that in the passions behind many of the contributors to the Save Disney campaign; just as I have seen both good ideas and bad or shallow ideas come from the MBA (Strategic Planning) world that often really don't fit or understand Disney. Creative artists and dreamers need business people, and vice versa.

Hope to see this marriage work.

Paul

 

[cherrynegra]

Roy Disney and Walt Disney Co. Resolve Differences

JOINT STATEMENT FROM THE WALT DISNEY COMPANY AND ROY E. DISNEY AND STANLEY P. GOLD

BURBANK, Calif. (July 8, 2005) -- The Walt Disney Company, Roy E. Disney and Stanley P. Gold announced today that they have agreed to put aside the differences that have characterized their relationship over the past several years. Messrs. Disney and Gold have agreed not to run a rival slate of directors or submit shareholder resolutions for the next five years. Messrs. Disney and Gold have also agreed to dismiss all their pending lawsuits against the Company. In reestablishing ties with him and his family, the Company has named Roy E. Disney Director Emeritus and a consultant. The Company also reaffirmed its commitment to the rotation of committee members and chairpersons on its Board committees as currently required by the Company's Corporate Governance Guidelines. In putting aside their differences, the Company noted Mr. Disney's long time devotion to the Company and welcomed the reestablishment of a relationship with him and his family. Messrs. Disney and Gold expressed confidence in Mr. Iger's leadership, and as Mr. Eisner retires after 21 years with the Company, they acknowledged his contribution to the Company over the years.

 

[Shaman]

Saw this one coming...this all has a strange stench...and something tells me this was planned a LONG time ago...perhaps the board was in on the whole Save Disney capaign too...:lookaroun

Can you imagine! :lol:

 

[SirGoofy]

:sohappy: Glad this is finally over!

 

[CaliSurfer182]

Lets hope that only good comes from this all the way around!

 

[rmforney]

Interesting…. Not that this is not welcome news, but I have to wonder what we’re not hearing… :lookaroun

 

[imamouse]

What about Stanley Gold? The joint stmt says nothing about a new title for him. Perhaps that's the way he wants it, but I'm curious to know if his future includes any association with Disney.

 

[DisneyRoxMySox]

Saw this one coming...this all has a strange stench...and something tells me this was planned a LONG time ago...perhaps the board was in on the whole Save Disney capaign too...:lookaroun

Can you imagine! :lol:

I do find it intresting that it happened just days before DL's 50th.. :lookaroun

 

[wedway71]

great news.i think this is going to be very exciting times for disney with a new ceo,the 50th, and a disney back on the board-just out of curiosity what is emeritis-does that mean a life long member of the board?

 

[Woody13]

great news.i think this is going to be very exciting times for disney with a new ceo,the 50th, and a disney back on the board-just out of curiosity what is emeritis-does that mean a life long member of the board?

He isn't "back" on the company... WDC only reestablished ties with him and his family, the Company has named Roy E. Disney Director Emeritus... that's it...

"Director Emeritus" means nothing more than "the guy who used to be director"
It's nothing more than a tittle...

He just wanted to be known as "a" real Disney... Well we knew that alright!

xxx

 

[DisneyRoxMySox]

great news.i think this is going to be very exciting times for disney with a new ceo,the 50th, and a disney back on the board-just out of curiosity what is emeritis-does that mean a life long member of the board?

Emeritus means a honorary position with the title had just before retirement, or something to that extant.