On layoffs, very bad attendance, and Iger's legacy being one of disgrace

[MerlinTheGoat]

Worth nothing that these two positive items I highlighted in a post last night were indeed the headlines of the day that saved their report.

But please, keep telling me how I got it all wrong.

I'm not making this post in an accusatory way. Particularly because as Animaniac93-98 said, earnings reports are glorified PR stunts intended to paint as ideal of a picture as legally possible to pitch to existing and potential investors. So I didn't expect your bolder comments to be represented in the report (i'd have been surprised if they had been in fact). That said, i do want to know if anything in the report caused you to change your mind about any of your previous comments. Particularly the following (and if you have further clarifying details or can say if/when we would have heard about these things officially)-

What you are about to see from WDC will be shocking and it will permanently change their business forever. The bloat is about to be gone. The mediocrity that's failed upward all our lives is about to be purged. A new company is emerging.

And that brings me to Bob Iger. Mr. Chairman. Mr. Gotta Put Yoda on His Wife's Dress to Bury Some Search Engine Leads. That guy. It is my pleasure to announce that he will be soon tossed on his ***. In disgrace. His sins, his poor judgement, his poor treatment of subordinates. His malicious temper and outrageous displays of "toxic masculinity" as the kids call it. All this and more is coming out. Good riddance.

On Splash Mt... I don't think its ever gonna happen.

 

[donaldtoo]

 

[MisterPenguin]

Layoffs at Walt Disney Imagineering and Universal Creative are not necessarily something that would be reported because they could get rid of people who are not “employees” or not extend contracts. Recall the post-Shanghai Disneyland layoffs at Walt Disney Imagineering where the workforce was reduced more than those laid off because of these contractors and project hires.

Right, but, by your mentioning them as common knowledge, that's an example of layoffs that were not secret, but well known.

We're being told such no-longer-hirings have just happened and are not only not announced, but kept secret... by NDAs.

 

[ToTBellHop]

Right, but, by your mentioning them as common knowledge, that's an example of layoffs that were not secret, but well known.

We're being told such no-longer-hirings have just happened and are not only not announced, but kept secret... by NDAs.

LOL

 

[mikejs78]

As usual, the truth will be somewhere between the OP’s doom and gloom and a pixie duster’s alternate reality.

For the parks, as I’ve said before, they announced there were reopening, bookings were fine, then COVID cases spiked and travel restrictions appeared, causing many cancellations. They briefly considered reclosing until COVID numbers started improving. Now, with the state and local government’s blessing, they are no longer entertaining reclosure, so we are in a phase of mitigating losses. They will continue pushing off resorts reopening until they are needed, will perhaps (probably) cut hours in September, and use this to show improvement in the next quarter. Pushing off current projects a quarter or two, trimming excessive details in Epcot projects, and employing a number of CMs appropriate to guest levels is prudent. Bookings are healthy in 2021.

In the end, the BRAND is strong. People want to go. And they will. The company will survive.

Universal has a slightly more perilous situation but will also be fine. They opened earlier and suffered more as COVID spiked. Now, more locals are going to WDW because they’ve “been there, done that” with masks at Universal. WDW is more novel. And if there was ever any doubt, Central Florida vacationers come, first and foremost, to Walt Disney World. There’s more nostalgia. So for those who want to get a vacation away from COVID, most are choosing WDW.

Sometimes, you have to say, “does this pass the smell test?” Someone makes it out like the parks are closing up shop the same week as Disney recommences construction on multiple major projects that are underway. If you are ready to close up shop, do you send workers back to Ratatouille, Guardians, Play, other Epcot projects, Tron, Grand pathway, Toy Story restaurant, etc.? Do you still open your largest moderate resort? Do you work to bring new entertainment to DHS? Do you unveil new product lines? C’mon.

With that said, I do think they need to wake up and start offering discounts to help promote more bookings. No brainer. A $5000 vacation that has been discounted is better for the company than a $6000 vacation that people don’t book.

This strikes me as exactly right. It's not all pixie dust and princesses right now, but it's not all doom and gloom either. Disney did a decent job navigating a disaster of epic proportions. There are more challenges ahead and it will be a long time before they come out of this, but they positioned themselves decently, have plenty of cash, etc...

 

[pheneix]

I'm not making this post in an accusatory way. Particularly because as Animaniac93-98 said, earnings reports are glorified PR stunts intended to paint as ideal of a picture as legally possible to pitch to existing and potential investors. So I didn't expect many (if any) of your predictions to be represented in the report. That said, i do want to know if you've changed your mind about any of your previous comments. Particularly the following (and if you have further clarifying details or can say if/when we would have heard about these things officially)-

100% stand by every word. The timing of it all around earnings brings it the highest level of scrutiny, and that’s fine.

Corporate earnings reports are getting about as credible as TEA attendance estimates. But they are the only agreed upon starting points to even talk about a firms financials. So you have today where Disney pulled every accounting trick in the book and ppl act like it’s a giant reset button. Lol, it’s not.

 

[Brer Oswald]

I'm not making this post in an accusatory way. Particularly because as Animaniac93-98 said, earnings reports are glorified PR stunts intended to paint as ideal of a picture as legally possible to pitch to existing and potential investors. So I didn't expect many (if any) of your predictions to be represented in the report. That said, i do want to know if you've changed your mind about any of your previous comments. Particularly the following (and if you have further clarifying details or can say if/when we would have heard about these things officially)-

Layoffs haven’t happened yet (according to him), Iger was a no show, and Splash (or any theme park additions/changes) weren’t discussed. The only reason for his opinion to change would be based on what his sources tell him. Not on the earnings report.

 

[donaldtoo]

Worth nothing that these two positive items I highlighted in a post last night were indeed the headlines of the day that saved their report.

But please, keep telling me how I got it all wrong.

After all these years, how do you not know that’s SOP for TWDC...?!?!?!
That caveat should have been included in your OP on July 28th.

 

[flynnibus]

Isn’t it against the rules to reregister under a new account after being banned?

nah man... if you aren't on youtube you're nobody man!

Now click that bell and like button!

 

[Mrtko]

So you have today where Disney pulled every accounting trick in the book and ppl act like it’s a giant reset button. Lol, it’s not.

I don't see any accounting tricks. What I see is a major delay in paying people and a real effort to collect what was due. I also saw debt pushed out. The current portion of debt went from $12B down to $10B, so $2B went into the future. It looks like a really alert and fast acting financial management crew that borrowed from the future to survive the present.

Having said that, I greatly appreciate your contribution and don't doubt that a new Disney is emerging. Bob Igor not being present was telling.

 

[pheneix]

Layoffs haven’t happened yet (according to him), Iger was a no show, and Splash (or any theme park additions/changes) weren’t discussed. The only reason for his opinion to change would be based on what his sources tell him. Not on the earnings report.

WDC has more cash than every single source I know said they did. It was a debt fueled cash haul. But there’s still a little more left under the mattress than any of my peeps thought or claimed there was. So that’s a thing.

Bob Iger was not anywhere near this presentation to shareholders this afternoon. That is a thing too.

 

[MisterPenguin]

Bob Igor not being present was telling.

It was telling that he's not the current CEO. The call proceeded as all past calls have with the CEO and CFO.

 

[MisterPenguin]

Bob Iger was not anywhere near this presentation to shareholders this afternoon. That is a thing too.

That's your opinion. Stop saying these sort of things in a "insider's scoop" thread as if this was more insider scoop. It's all part of a spin you gave away in the thread title and you're still spinning.

Hey folks, this isn't inside information. It's perfectly normal for the CEO and CFO to be on the call and not the Executive Chair of the Board to be there. Don't buy the spin.

 

[Mouse Trap]

So the same guys who have been saying Disney is doomed since 2004 are once again saying just wait and see? Is that what I’m getting from this?

 

[Mouse Trap]

It was telling that he's not the current CEO. The call proceeded as all past calls have with the CEO and CFO.

But if he was there it would be telling that no one has faith in Chapek and he’s on his way out as the scapegoat. Hard to win this game when both outcomes would be a loss

 

[Joe]

Was anything mentioned about Disney Cruise Line? I can’t imagine they were profitable this past quarter.

 

[Brer Oswald]

That's your opinion. Stop saying these sort of things in a "insider's scoop" thread as if this was more insider scoop. It's all part of a spin you gave away in the thread title and you're still spinning.

Hey folks, this isn't inside information. It's perfectly normal for the CEO and CFO to be on the call and not the Executive Chair of the Board to be there. Don't buy the spin.

False. Iger is quite clearly the puppet master. Up until now, Iger was literally (not metaphorically) holding Chapek by puppet strings. Sometime between the last call and now, Chapek found a pair of scissors, cut those strings, and overthrew Iger.

Reportedly, he sang the famous song from Pinocchio as he was doing it. Which surprises me, considering that’s an IP from Walt’s era.

 

[MisterPenguin]

But if he was there it would be telling that no one has faith in Chapek and he’s on his way out as the scapegoat. Hard to win this game when both outcomes would be a loss

So the tell then is... both Bobs' positions are completely safe!

Thanks @pheneix for pointing out that Bob Chapek will be around for a long time and that Bob Iger will stick around to the end of his term on the board.

What great news!!

 

[doctornick]

The only thing I can think of from FOX that is remotely as marketable as Marvel, Star Wars And Pixar is the Simpsons. But the Simpsons doesn’t 100% Fit their brand image and theme park rights are tied up with Uni.

National Geographic is a significant part of Disney+ and fits the Disney branding quite well.

 

[MisterPenguin]

False. Iger is quite clearly the puppet master. Up until now, Iger was literally (not metaphorically) holding Chapek by puppet strings. Sometime between the last call and now, Chapek found a pair of scissors, cut those strings, and overthrew Iger.

Reportedly, he sang the famous song from Pinocchio as he was doing it. Which surprises me, considering that’s an IP from Walt’s era.

Um... you just posted that Iger is the puppet master and that Chapek isn't controlled by the puppet master...