Is disney parks and resorts for sale?

[Travelguy31]

Disney for Sale??

I have been visiting this site for a number of years, but I don't post to often. However, I find this rumor to be quite disturbing. From a business standpoint, it makes sense for TWDC to sell off the P&R division as I believe they have proven over the last several years that they are not as interested in operating and maintaining their Parks and Resorts as they have been in the past. From a personal perspective, I have seen a decline in the quality of the parks. Don't get me wrong, I still love Disney, as I have been visiting WDW on a almost yearly basis since I was 3 years old, but it seems as though the resort is experiencing a huge amount of maintenance issues each time I visit. I have no problem with a outside company operating the P&R division if they are held to the standards that Disney used to hold themselves accountable to in previous decades. My concern comes in light of the discussion of a possible purchase by a Saudi Prince. I honestly think this could affect the general American public's view of WDW and the TWDC overall and I can see a backlash/boycott of the U.S. Disney Parks, merchandise, media, etc, which ends up being a lose/lose for everyone involved.

 

[Krack]

I have not read through the thread, but I felt compelled to state the chances of Disney selling off the domestic parks is 0%; particularly to a Saudi Arabian prince.

Think about it logically - a large part of the Walt Disney Company's value is in the good will its brand has built up over 60 years. This very much includes the Parks division. Like it or not (and I have no interest whatsoever in debating the politics or societal impact of this next statement), the instant the parks would be sold to a Saudi Arabian, that good will goes completely out the window. The American public would never accept something as intricately linked to America as WDW or Disneyland to be sold to someone from Saudi Arabia; the good will built up over decades would be nil overnight. In other words, the value of Disneyland owned by a Saudi Arabian isn't anywhere near as high as the value of Disneyland owned by The Walt Disney Company. And for that reason, why would the Saudi prince pay market value for something that would become far less valuable the instant he took possession? It doesn't make any sense.

It would be a PR nightmare for the entire company that would make New Coke look like the iPod.

EDIT: Remember the absolute fit the general public threw when it found out a Dubai company had been contracted to provide security to several American ports? You could multiply that times 20 when it comes to Disneyland.

 

[trr1]

Shoot...he could have it for free and I'd be okay with that.

Heck I might even pay him to take it ($1.98)

 

[niteobsrvr]

Maybe they are just discussing the sale of the the hotels and resorts to an outside operator? THe timeshare business is way more profitable for Disney than the resorts as the owenrship essentially pays the cost to maintain them each year.

The regular hotels and resorts however seemt to be a costly endeavor with a diminishing return.

I have specualted before to friends that you may one day find each Disney resort under managament of another brand in much the same way the Swan and Dolphin are owned by one group and branded as Westin and Sheraton.

 

[Cosmic Commando]

Selling the domestic parks to anyone would be a PR disaster.

Why? Nobody bats an eye at the international parks being owned by others.

-The foreign parks have always been like that; in some or all cases, it is mandated to be that way.
-We live with the 24 hour news cycle... need something to talk about.
-TWDC, and by extension the parks, makes a concerted effort to draw the line between the current company and Walt. They know it benefits them. Have you seen the poster with ghost Walt standing in front of ghost Cinderella Castle? Any sale jeopardizes that connection.
-There will be a snap judgement in the online community regarding any sale.
-The Internet gives people a powerful avenue to voice their displeasure. How many of us here visited the Toad site back in the day?


The Disneyland example is, I believe, faulty. Three partners: TWDC, ABC, and WED Enterprises. TWDC (or whatver it was called at the time) was still a privately-held company. The stock was largely within the Disney family. I think WED was wholly Walt's company. ABC was a necessary evil; they were bought out quickly. Completely different than operating theme parks for 40-50 years and then selling all or part of them.

 

[mickeysaver]

The main reason that I object to the sale of the parks to some middle eastern foreign dude is because of the PR disaster that it would create. This would most likely cause boycotts and that would lead to less cash coming into the parks, which in turn leads to them ending up in a big mess.

I don't want to see the parks be sold to anyone outside of the US. Disney is an iconic American company. Selling it to someone from the middle east, no matter how great of a fella the guy may be, would be about the worst thing that I can see happening to the parks.

This has nothing to do with personal opinion of anyone's race, culture, religion, or ethnicity. I am actually about the most open minded Disney loving lesbian that you will find. I worded the previous post that way on purpose. I wanted you guys to tackle that issue, because it's the elephant in the middle of the room and no one was willing to throw him a peanut. Let's drop the politically correct dance around the issue and get real. Having just moved to FL from the metro Atlanta area, I am experiencing a lot of interesting people that take me back at least 20 years to the way things were. Maybe it's the older population, maybe it's the fact that this is not the burbs of a major metropolitan melting pot, or maybe it's just that I forgot how rural folks are in this country, but I can tell you that the locals around here are not going to take kindly to the Mouse's Daddy living in Dubai.

 

[christopherscob]

I was wondering if this Prince is the the investor in DLP then could this meeting be connected to Paris. There have been a lot of expansion rumours around especially with next year being the 20th anniversary such as expensive rides, 2 new hotels, a world of colour lake and show and even a third park (poss marvel but could be anything disney ie Animal Kingdom?) One of the big problems at the moment in paris is they have no money so every time they have to beg/negotiate with the banks to build anything, could we be looking at our Prince taking a bigger share in Paris, he could be in WDW being shown what his money will buy ie similar parks or dvc properties for Paris and if he is spending this type of money or signing deal then maybe having the board there to show respect and importance is a good way to help deal be finalised.

 

[El Grupo]

First, I don't believe there is a potential sale of WDW in the works.

With that said, I could see a willingness on Disney's part to pursue an equity carve-out (partial spin-off) for the Orlando division. This potentially could put them in a position to increase the perceived value of the Florida property and attract a broader outside investment.

And, this would allow an individual or group the opportunity to increase their stake in a Disney entity w/o fear of public backlash for either side. It would even be a comfortable route for a Saudi Prince, especially one who is the 2nd largest investor in News Corp. (Fox News, 20th Century, Fox Network, etc.) after the Murdochs, invested in Apple, owns a portion of Four Seasons with Gates, donated $500,000 for a George H.W. Bush scholarship (family friend), and gave $20 Million to Harvard.

 

[Duckberg]

i really don't see the domestic parks being sold. Not a chance in my opinion.

thanks! :d

 

[puntagordabob]

Who necessarily said a foreign company would buy Walt Disney Parks & Resorts?


When Disneyland opened it was a seperate entity with three stockholders: Walt Disney Productions (the studio), WED Enterprises (Walt Disney) and the American Broadcasting Company.


Why? Nobody bats an eye at the international parks being owned by others.

1. People with money like that normally are a Incorporated for the legal protections from my understandings...still doesnt change the idea of foreign ownership.

2. The WDC was owned by a majority by Walt and Roy. WED was Walt's private company. Two out of three was always Disney with a majority stake...... Even when you add ABC (which ironicly Disney owns today lol) back in the early days of DL, Disney still was the majority owner.....hence my point is still valid that the very idea is a slap in the face of the Walt Disney family.

3. Business interest from the host countries in all cases holds the majority ownership in all the non-USA Disney resorts.....which was my point..... any combination of foreign investers (not from the host country) owning a majority share in the other Disney Resorts is unacceptable in France, China, and Japan..... those countries are protecting their interests and that is fine.... as we should

 

[Ignohippo]

What if Comcast were wanting to sell Universal (now that they have control of the whole thing), the Prince is interested and wants Disney's involvement - especially with their history and owning Marvel? Far-fetched I know but worth throwing out there.

I can't see a lot of what's been discussed being plausible. If it's about the Four Seasons, I doubt it would concern the Board; No way the parks are being sold; if it's about building a park in Saudi Arabia, I doubt the Board would need to be envolved besides to approve.

Maybe it's a deal where he invests "X" in the parks if they, in turn, build one in Saudi Arabia?

 

[Jane Doe]

I was in Dubai last January aboard the Brilliance Of The Seas which had a visit from members of their ruling family. The Al Maktoum's are not, as far as I'm aware, buying Royal Caribbean Cruises.

 

[Monty]

I think you're all giving the "American public" much more credit than they deserve.

Multinationals already own the vast majority of your country and you haven't fought it.

Cheap labour overseas is undermining your economy and you're allowing Union-busting politicians to destroy what was once an industrial powerhouse in the name of profit for an elite few who keep most of their money off-shore so the tax-man can't get it.

How long do you think the "outrage" will last when the domestic foreign visitor numbers increase because the parks are better maintained and the staff better treated by a Saudi owner?

In a Global economy, none of what you're complaining about matters a lick. And in the aforementioned 24/7 news cycle, the vast majority of the "American public" will have entirely forgotten the sale within a month...

 

[Jane Doe]

I think you're all giving the "American public" much more credit than they deserve.

Multinationals already own the vast majority of your country and you haven't fought it.

Cheap labour overseas is undermining your economy and you're allowing Union-busting politicians to destroy what was once an industrial powerhouse in the name of profit for an elite few who keep most of their money off-shore so the tax-man can't get it.

How long do you think the "outrage" will last when the domestic foreign visitor numbers increase because the parks are better maintained and the staff better treated by a Saudi owner?

In a Global economy, none of what you're complaining about matters a lick. And in the aforementioned 24/7 news cycle, the vast majority of the "American public" will have entirely forgotten the sale within a month...

If I were you I'd be more concerned with William and Kate being in town to buy the Senators.

 

[Krack]

How long do you think the "outrage" will last when the domestic foreign visitor numbers increase because the parks are better maintained and the staff better treated by a Saudi owner?

I think it would last a pretty long time. I think it would have long-term significant effect on the visitor numbers (particularly in Orlando) and negative publicity would harm other aspects of the parent company's remaining divisions (like feature animation).

 

[puntagordabob]

I think you're all giving the "American public" much more credit than they deserve.

Multinationals already own the vast majority of your country and you haven't fought it.

Cheap labour overseas is undermining your economy and you're allowing Union-busting politicians to destroy what was once an industrial powerhouse in the name of profit for an elite few who keep most of their money off-shore so the tax-man can't get it.

...

I think there is a growing feeling that the situation needs to reverse course to a degree... as I am sure your country will feel as your Canadian tar sands ownership is being bought up also (China, etc),.....as is your other natural resources go slithering away.....

 

[Sassagoula-Rvr]

I would say the total sell off of WDW is absurd....BUT if it does happen I will probably just go to Disneyland. I am principally against Disney selling this ESPECIALLY to a foreign entity.

If it is ALL domestic parks, not going to lie...I will probably discontinue...I love the Disney parks, but at that point they really are not Disney anymore....I am a HUGE Disney/imagineering nut, as you can always trace everything they do back to Walt's ideals and dream...and this sale would probably discontinue that.

 

[Jane Doe]

News of Saudi takeover maybe true after all.


http://www.dailytimes.com.pk/default.asp?page=story_17-12-2004_pg9_5

 

[bfbulldog]

As Disney is a publicly traded company with shareholders to answer to, the likelihood of the theme parks being sold without that news leaking out is absolutely 0%. Shareholder rules would stipulate that any such deals if they were taking place that affects such a significant portion of the company's operating income would without question require a formal announcement at the very minimum that they are exploring strategic alternatives aka spin off or outright sale. Shareholders especially large ones do not appreciate or tolerate clandestine back room deals without their knowledge, so the likelihood of this being anything other than a meet and greet to bring in another country or propose another park is nil

 

[Monty]

If I were you I'd be more concerned with William and Kate being in town to buy the Senators.

:lol:

The Sens are safe!

Wills and Kate left to Quebec City to be harangued by a few anti-monarchist separatists without so much as an offer made for the local franchise. :shrug:

But there were rumblings.... :lookaroun