News Disney plans to accelerate Parks investment to $60 billion over 10 years

[eddie104]

Contacts can be amended, rescinded when Disney leadership changes priorities change--- 10 -20 years is a long time. Anyone who thinks it is written in stone Disney is obligated to spend 60 billion is fooling themselves.

I don’t think anyone is under the delusion Disney is gonna spend that full amount.

Personally I’m hoping for at least a couple billion for WDW in pure expansions and additions.

 

[MisterPenguin]

It seems to me they can spend $17B in 20 years just the costs in operating WDW; maintenance, staff, all other costs, etc.

This is capital expenditures (capex). Not ordinary operating expenses. That has been made very clear in SEC filings and in the deal with the new district.

 

[MisterPenguin]

Contacts can be amended, rescinded when Disney leadership changes priorities change--- 10 -20 years is a long time. Anyone who thinks it is written in stone Disney is obligated to spend 60 billion is fooling themselves.

Are you really saying that one side of a contract, i.e., Disney, can change a contract without permission of the other party or without reprisal from the other party?

 

[BrianLo]

Contacts can be amended, rescinded when Disney leadership changes priorities change--- 10 -20 years is a long time. Anyone who thinks it is written in stone Disney is obligated to spend 60 billion is fooling themselves.

Not really… don’t confuse yourself with the recent saga with questionable legality. They could not redact Disneys’ prior developmental contract (not the last second one), even though they wanted to.

That was also a matter of the government wriggling out of a very very recent contract they felt they were not fully alerted to. This is the matter of Dis wiggling out from under the government. Unless the political climate in Florida changes that seems highly improbable.

No one has argued 60 billion is written in stone. 10.5 is written in stone between Florida and Anaheim (which really isn’t a lot) and they are on the hook likely for another 3 billion in cruise ship contracts and a few for ongoing projects mid cycle. They are also several billion deep into this cycle.

They could wind down a whole heck of a lot of spending. Though the bulk of it would be international. But what they can’t unwind is the baseline in Florida. Which is neither great, nor atrocious. It would represent about 6 major units of spend instead of the 8 or so we got between 2013-2023. Or the 12 or so they are hoping to invest this ‘10 year cycle’.

 

[peter11435]

If the last three years of the RCID/CFTOD saga has taught us anything, it’s that contracts can be amended

It’s not that simple.

If the last three years of the RCID/CFTOD saga has taught us anything, it’s that most people on this forum and in government have no idea how contracts work and lack any knowledge of contract law.

 

[EricsBiscuit]

No... it's not talk now. It's contract law. There will be a audit after 10 years.

The company intends to spend 17 billion over 1 decade. But they have to spend it over two. Which is in fact better than when they didn't have to do anything at all. That's when it was all talk and potentially just political talking points.

Did Disney make this kind of deal with the RCID too?

 

[Disstevefan1]

This is capital expenditures (capex). Not ordinary operating expenses. That has been made very clear in SEC filings and in the deal with the new district.

Thanks for clarifying. I still have no faith that anything really good will happen at WDW.

Its just words at the moment.

 

[BrianLo]

Did Disney make this kind of deal with the RCID too?

No, there was really no need before.

It’s clearly mostly a tit for tat deal. Make it seem like the state is getting ‘something’ and Disney is committing to likely the minimum spend they feel is a safe bet and really can’t unwind at this point. It may have also been motivated by Disney’s commitment to Anaheim.

 

[MisterPenguin]

Thanks for clarifying. I still have no faith that anything really good will happen at WDW.

Its just words at the moment.

Words that the SEC and the new district board will start asking questions about if unfulfilled and maybe even take Disney to court over it.

Same with the promised expenditure at DisneyForward in DLR.

 

[eddie104]

I still have no faith that anything really good will happen at WDW.

It’s just words at the moment.

You are starting to sound like a broken record.

 

[HauntedPirate]

What is a good part? They could double the entire fleet for 10% of that.

You are using some interesting math right there. A new Triton-class cruise ship is around $2.5 billion. They currently have 5 (or 6, depending on how you want to count the Treasure, or 7 if you want to include the Adventure) ships. Doubling even on the low end puts us at $12-14 billion accounting for inflation.

 

[Disstevefan1]

You are starting to sound like a broken record.

THANKS! I did not think anyone actually read my posts!!
Ah, its good to be heard heard heard [record scratch sound]

And lets not forget, records are made to be broken

 

[DonniePeverley]

Long term investment plans are a load of nonsense.

Few bad movie flops, economy struggling, tourism down (because of locals hogging the parks with cheap passes) would mean plans change.

Like i say, invest now ... not some 10 years down the line. Believe it when i see it.

 

[eddie104]

Long term investment plans are a load of nonsense.

Few bad movie flops, economy struggling, tourism down (because of locals hogging the parks with cheap passes) would mean plans change.

Like i say, invest now ... not some 10 years down the line. Believe it when i see it.

That’s what they are doing.

 

[DonniePeverley]

That’s what they are doing.

They aren't though are they.

 

[eddie104]

They aren't though are they.

Huh?

So we’re going to keep pretending like they don’t have various projects in the works?

 

[MerlinTheGoat]

Huh?

So we’re going to keep pretending like they don’t have various projects in the works?

I think the general sentiment is to call out Disney for not settling on something after years of jerking people around with empty promises. And many of their "investments" are also more often akin to a game of musical chairs with the way they like to replace existing entertainment, rather than actually expanding.

 

[peter11435]

You are using some interesting math right there. A new Triton-class cruise ship is around $2.5 billion. They currently have 5 (or 6, depending on how you want to count the Treasure, or 7 if you want to include the Adventure) ships. Doubling even on the low end puts us at $12-14 billion accounting for inflation.

Triton class did not cost 2.5 billion each

 

[DonniePeverley]

Huh?

So we’re going to keep pretending like they don’t have various projects in the works?

'in the works' ... is pretty much the same thing as 'investing over 15 years' - it isn't a guarantee of anything.

 

[lazyboy97o]

I think the general sentiment is to call out Disney for not settling on something after years of jerking people around with empty promises. And many of their "investments" are also more often akin to a game of musical chairs with the way they like to replace existing entertainment, rather than actually expanding.

The sentiment is a troll who claimed Epic Universe wasn’t being built because he didn’t see people manually digging holes with shovels.