Disney to cut 7,000 jobs as it seeks to save $5.5 billion

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Disney to cut 7,000 jobs as it seeks to save $5.5 billion
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Walt Disney Co. chief executive Bob Iger announced plans for a dramatic restructuring of the world’s largest entertainment company. Read on

Shares of Disney jumped in trading before New York exchanges opened on Thursday. The stock had declined about 22 per cent in the 12 months through Wednesday, though the shares had been regaining ground this year following Iger’s appointment at the end of 2022.Article content

Eventually, Iger said, Disney will offer the ESPN network as an a la carte option online, but there are no imminent plans to do so. Outsized losses in streaming contributed to the ouster of Chapek late last year and the return of Iger, who led the company from 2005 to 2020. The Burbank, California-based entertainment giant is seeking to achieve profitability in streaming next year and fend off Peltz, who holds a stake worth about US$1 billion.Article content

Peltz’s company, Trian Partners, cheered the company’s moves, framing them as the result of the investor’s recent campaigning. “We are pleased Disney’s listening,” a spokesperson said in an emailed statement.

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