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

Rhinocerous

Rhinocerous

Premium Member
MR.Dis said:
Just wondering, maybe Iger is seeing that one way or another, his time with Disney is coming to an end. So his final legacy is to leave WDW in great shape. That in 10 years from now those on social media will be pining if we only had a visionary like Iger running Disney now. LOL
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Iger realized he missed his chance to Leave a Legacy in Epcot. Now he’s scrambling.
 
A

Advisable Joseph

Well-Known Member
ToTBellHop

ToTBellHop

Well-Known Member
CaptainAmerica said:
That perspective being:

Legacy! What is a legacy? It's planting seeds in a garden you never get to see. Disney, you great unfinished symphony, you sent for me. You let me make a difference; a place where even orphan weathermen can leave their fingerprints and RISE UP I'm running out of time, I'm running and my TIME'S UP, WISE UP, eyes up. I catch a glimpse of the other side. Ashman leads an ocean chorus on the other side, the Shermans are on the other side, they're with Roy on the other side, WALT is watching from the other side (teach me how to say goodbye). RISE UP RISE UP RISE UP ZENIAAAAA!

That's one for the theater kids in the back.
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You really do write like you’re running out of time.
 
No Name

No Name

Well-Known Member
ToTBellHop said:
At minimum, it’s clear the situation is much better for us than with Chapek. Chapek wanted to spend so little in the parks that he cut a Mary Poppins flat ride. Iger clearly has a different perspective.
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He did greenlight the most expensive roller coaster ever built, among other things. I would say the money wasn’t spent nearly as effectively as it should’ve been but it was still quite a bit of money especially compared to years prior.
 
Tjaden

Tjaden

Well-Known Member
DisAl said:
Mabye because we have seen it before??? Many a big announcement has been cancelled.
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It's not even that they might not spend the money, but rather apprehensions about what they're going to spend it on. Are we going to lose more attractions for IP mismatched additions? Almost assuredly, but the question then becomes do we trust them to do a good job?

I personally don't, but then again WDW isn't trying to get my dollars for attractions like Horizons when they know they'll get much more money appealing to fans of superheroes and other IPs. For me its just hoping to delay the inevitable, like every old man that says "things aren't like they used to be."
 
F

fgmnt

Well-Known Member
Tjaden said:
I personally don't, but then again WDW isn't trying to get my dollars for attractions like Horizons when they know they'll get much more money appealing to fans of superheroes and other IPs. For me its just hoping to delay the inevitable, like every old man that says "things aren't like they used to be."
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It really is fascinating that I think it's consensus opinion that the closest you can get to an iconic WDW attraction that is defined by its connection to the company's movie studio intellectual property is... Flight of Passage? I think this investment shows the company wants to build popular and successful attractions but there is no culture left in the building to push them to something that will be the next Journey into Imagination or GMR or Tower of Terror. Guardians is a great attraction right now. Ask me again in 25 years.
 
A

Advisable Joseph

Well-Known Member
MisterPenguin said:
So, off to the spreadsheet.
  • Take out $1.5B every quarter.
  • And at each quarter apply a 1% hit (i.e. loss of value) from inflation to what's left.
  • Then add up all the hits.
And I get a total 2023 value of $11.7B in 'hits.' Making the current value of $60B spent in equal amounts over 40 quarters equal to current 2023 value of $48.3B..
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Could you give us the first few rows? Even the formulae if you could?

I tried another approach: taking 40 nominally equal payments, one after each quarter, and adding together each payment translated into current dollars:

sum (1/40)(1-.04/4)^n for n=1..40


.04/4 approximates the quarterly inflation rate, so multiplying by (1-.04/4)^n adjusts for n quarters of inflation.

I put that into Wolfram Alpha and got a depreciation to 81.9%, which for a total nominal payment of $60 billion is $49.4 billion. Changing the yearly inflation to 2.2%, I get depreciation to 89.5%, which would be $53.7.
 
MisterPenguin

MisterPenguin

President of Animal Kingdom
Premium Member
Advisable Joseph said:
Could you give us the first few rows? Even the formulae if you could?

I tried another approach: taking 40 nominally equal payments, one after each quarter, and adding together each payment translated into current dollars:

sum (1/40)(1-.04/4)^n for n=1..40


.04/4 approximates the quarterly inflation rate, so multiplying by (1-.04/4)^n adjusts for n quarters of inflation.

I put that into Wolfram Alpha and got a depreciation to 81.9%, which for a total nominal payment of $60 billion is $49.4 billion. Changing the yearly inflation to 2.2%, I get depreciation to 89.5%, which would be $53.7.
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Sure thing...

1695366082964.png


For the first quarter, the $60B is worth $60B. Then they spend $1.5B (one fortieth of the $60B). So, now they have $58.5B in the bank. But the quarterly inflation reduces its value in 2023 terms by 1% (4% annually). One percent of $58.5B is $585M. So, now Disney has lost $585M of value in 2023 terms.

The next quarter repeats: $1.5B of the actual dollars in the bank is spent reducing the $60B down to $57B. But that gets devalued from the point of view of 2023 by 1%. So, in 2023 terms, the value of what's left in the bank loses $570M in value.

And it keeps going. I add up column D for the total inflationary devaluation which is $11.7B.

Subtract that from $60B and that $60B is worth $48.3B in 2023 dollars.
 
J

JMcMahonEsq

Well-Known Member
MisterPenguin said:
Sure thing...

View attachment 744263

For the first quarter, the $60B is worth $60B. Then they spend $1.5B (one fortieth of the $60B). So, now they have $58.5B in the bank. But the quarterly inflation reduces its value in 2023 terms by 1% (4% annually). One percent of $58.5B is $585M. So, now Disney has lost $585M of value in 2023 terms.

The next quarter repeats: $1.5B of the actual dollars in the bank is spent reducing the $60B down to $57B. But that gets devalued from the point of view of 2023 by 1%. So, in 2023 terms, the value of what's left in the bank loses $570M in value.

And it keeps going. I add up column D for the total inflationary devaluation which is $11.7B.

Subtract that from $60B and that $60B is worth $48.3B in 2023 dollars.
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Wait doesn't this assume that basically Disney is taking this hypothetical $60B, and hiding it under someone's pillow, or other non-interest bearing account such that there is no offsetting gains against inflation?
 
MisterPenguin

MisterPenguin

President of Animal Kingdom
Premium Member
JMcMahonEsq said:
Wait doesn't this assume that basically Disney is taking this hypothetical $60B, and hiding it under someone's pillow, or other non-interest bearing account such that there is no offsetting gains against inflation?
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Indeed. If inflation is low and the money is placed in bonds/stocks/etc... that matches inflation, then the future value of $60B will work out to <does intense maths....>.... $60B.
 
TheMaxRebo

TheMaxRebo

Well-Known Member
JMcMahonEsq said:
Wait doesn't this assume that basically Disney is taking this hypothetical $60B, and hiding it under someone's pillow, or other non-interest bearing account such that there is no offsetting gains against inflation?
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Well, the assumption is they would spend $60bn over that time not that they are taking $60bn today and then spending it overtime PLUS what investment income is earned on it

So just trying to see what that actual $60bn is in today's dollars to compare to actual money spent in the past
 
mysto

mysto

Well-Known Member
Place it all on "Babys Shoes" in the 3rd race to win, it's a sure thing, my source never fails me. Interest is for suckers.

Plus the spreadsheets need to include a graft factor, I suggest 30%. Really gonna need some high earning bets, er, investments to offset all of that.

Maybe the bankman-freid cyber currency? I hear it's coming back.
 

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