Disney restructures businesses to focus on ‘future growth’

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The Walt Disney Co. announced Wednesday that it is restructuring its business into four segments.Walt Disney Co. restructures into 4 business unitsConsumer products unit merges with parks and resortsMove comes as Disney positions itself for the futureEffective immediately, the entertainment giant is now comprised of a combined parks, experiences and consumer products unit; a newly-formed direct-to-consumer and international unit; a media networks segment; and a studio entertainment unit.In a statement, CEO Bob Iger said the move comes as Disney positions itself for the future. The restructuring will allow Disney to create “a more effective, global framework to serve consumers worldwide, increase growth, and maximize shareholder value.”Bob Chapek, who was chairman of Walt Disney Parks and Resorts, has been named chairman of that unit. Chapek will take on “additional responsibilities” and oversee all of the company’s consumer products operations globally, including licensing and Disney stores.“Bob comes to this new role with an impressive record of success at both Parks and Resorts and Consumer Products, and he is the perfect leader to run these combined teams,” Iger said.Disney’s theme park unit generated $5.2 billion in revenue, according to a first-quarter earnings report released in February.The new direct-to-consumer unit will house the company’s international media business, the upcoming Disney-branded and ESPN+ streaming services, and Disney’s stake in Hulu. Kevin Mayer, who has been Disney’s chief strategy officer since 2015, was named chairman of that unit.The announcement also comes as Disney prepares to buy assets from 21st Century Fox for a whopping $52.4 billion. The deal still requires federal regulatory approval.Iger has been CEO of Disney since 2005. He extended his contract in December and is expected to retire in 2021.CHECK OUT ATTRACTIONS INSIDER: Your all-in-one source for news, pictures and video from Florida’s theme parks. Just go to our Attractions Insider page. Sign up to get breaking theme park news alerts and subscribe to our newsletter, Theme Park Roundup, delivered to your inbox or mobile phone.
Source: MyNews13