Iger’s $17 Billion Walt Disney World Investment

[peter11435]

Just as much chance they converted it to complete

Not really

 

[Sirwalterraleigh]

Not really

Yeah…really

It could be posturing by a desperate management…

They just didn’t tell the middling around Orlando

 

[Sirwalterraleigh]

The plot thickens.

WDW employed 74,000 cast members June 2016 (https://wsvn.com/news/local/disney-donates-1-million-to-help-those-affected-by-orlando-massacre/), which is before the vast majority of the spending last decade.

I'm not even sure how temp jobs are being counted.

So, that 15,000 increase in cast members may require accelerated investment after all. There are several concepts of "investment," from what I can see.

Sure sounds like you’re telling yourself what you want to hear…

 

[peter11435]

Yeah…really

It could be posturing by a desperate management…

They just didn’t tell the middling around Orlando

Nope… not really.

 

[Sirwalterraleigh]

Nope… not really.

…right…no doubt

 

[Sirwalterraleigh]

Im dubious but apparently Paris is going to get a huge amount of $$$ past the current expansion plans.

As it should

Because they are ultimately all amusement parks and you need to constantly reinvest/reinvent.

That’s the deal

 

[doctornick]

I find all this talk about investing 17 billion in WDW rather interesting and wishful thinking. Disney is like the government ---we're going to invest X amount of dollars over the next 10 years and administrations change and nothing ever happens. Disney is no different when Iger is gone or the economy takes a down turn the 17 billion will be forgotten. I guess its fun to speculate why could be.

They invested a decent amount - not even as much - in the past decade in WDW. And the resort is obviously different as a result. some would argue that the changes are not necessarily improvements or did not address WDW needs - which is fair concerns - but to me it is pretty undeniable that "things have happened". Stuff like the DHS attractions/lands, Pandora, Future World changes, Skyliner, new shows, additions of Tron/Ratatouille. Again, I'm not saying that the changes were necessarily "better" but it is clear work has been done and money spent.

So, if the $17B (or more) actually happens, I am certain we'll see significant stuff happen at WDW.

 

[Sirwalterraleigh]

They invested a decent amount - not even as much - in the past decade in WDW. And the resort is obviously different as a result. some would argue that the changes are not necessarily improvements or did not address WDW needs - which is fair concerns - but to me it is pretty undeniable that "things have happened". Stuff like the DHS attractions/lands, Pandora, Future World changes, Skyliner, new shows, additions of Tron/Ratatouille. Again, I'm not saying that the changes were necessarily "better" but it is clear work has been done and money spent.

So, if the $17B (or more) actually happens, I am certain we'll see significant stuff happen at WDW.

Replacements are not automatically “enhancements”…or to be more accurate - they may be “blunted” by the fact a lot of it is to sidestep maintenance and mothballing

 

[GhostHost1000]

So what you’re saying is… DVC towers everywhere!!!

and kiosks!

 

[UNCgolf]

I think it’s boosted the rack rates for the affected hotels?

To an extent, but the rack rate at Port Orleans is still higher than Caribbean Beach for some dates (and sometimes just corresponding room types), so who knows how big of an effect it's actually had.

 

[Sirwalterraleigh]

I think it’s boosted the rack rates for the affected hotels?

Not nearly to the levels they sought. The price hikes have been “marginal” by their standards…

But they have a problem filling rooms that’s only intensifying…so there’s that too

 

[No Name]

All good. I'm a bit wound up today due to work, so I apologize for my tone.

No worries at all.

The plot thickens.

WDW employed 74,000 cast members June 2016 (https://wsvn.com/news/local/disney-donates-1-million-to-help-those-affected-by-orlando-massacre/), which is before the vast majority of the spending last decade.

I'm not even sure how temp jobs are being counted.

So, that 15,000 increase in cast members may require accelerated investment after all. There are several concepts of "investment," from what I can see.

I don’t think the number of cast members really has much to do with the level of capital expenditure, or at least, I’m not understanding why you think this to be true.

 

[HauntedPirate]

Not nearly to the levels they sought. The price hikes have been “marginal” by their standards…

But they have a problem filling rooms that’s only intensifying…so there’s that too

"$400/night at Pop, that's a bargain at twice with price with our new generic gondola thing with some themed things on it" - Bob

 

[HauntedPirate]

No worries at all.


I don’t think the number of cast members really has much to do with the level of capital expenditure, or at least, I’m not understanding why you think this to be true.

I agree, total number of employees doesn't seem to have anything to do with capex levels. My only guess is there is extrapolation coming from the previously-announced $17 billion investment and 13k jobs attached to that announcement.

 

[Sirwalterraleigh]

"$400/night at Pop, that's a bargain at twice with price with our new generic gondola thing with some themed things on it" - Bob

We laugh…but you are probably 95% close to the mark

 

[HauntedPirate]

We laugh…but you are probably 95% close to the mark

That's the sad part. It's meant in jest, but it probably hits closer to the truth than we realize. I have no doubts that some MBA twit somewhere thought adding the gondola meant they could eventually charge $300+ per night for Pop and $500+ per night at CBR. I bet they even had a chart to back it up. Because... "unprecendented demand", undying guest loyalty, no price ceiling, and all that. Make the case based on the rosiest of rosy projections and sell it as reality.

 

[flynnibus]

I don’t think the number of cast members really has much to do with the level of capital expenditure, or at least, I’m not understanding why you think this to be true.

it's an attempt to draw an indirect indicator of scale of operations.

 

[Sirwalterraleigh]

That's the sad part. It's meant in jest, but it probably hits closer to the truth than we realize. I have no doubts that some MBA twit somewhere thought adding the gondola meant they could eventually charge $300+ per night for Pop and $500+ per night at CBR. I bet they even had a chart to back it up. Because... "unprecendented demand", undying guest loyalty, no price ceiling, and all that. Make the case based on the rosiest of rosy projections and sell it as reality.

That is EXACTLY what Bobism told them

It’s collapsing…not all believe it yet - but they will.

Every day lost now is gonna make it worse. They need full court press damage control.

But they’re stubborn and paralyzed by the stock ticker

Which by way everyone…WE’RE IN THE SWINGING $70s!!!

 

[Tha Realest]

Which by way everyone…WE’RE IN THE SWINGING $70s!!!

 

[Sirwalterraleigh]

View attachment 745409

…Larry…that can’t be topped

Bravo, sir…well played