Disney Restructures for Cost Savings and Better Efficiency
Under the plan, Disney will restructure into three segments: entertainment, sports-focused ESPN unit, and Disney parks, experiences, and products. According to Iger, this will allow for a more cost-effective and coordinated approach to operations. The company will also reinstate a dividend for shareholders.
Shareholder Approval as Disney Shares Rise After Announcement
Shares of Disney rose 4.7% to $117.22 in after-hours trading, indicating approval from shareholders. A spokesperson for activist investor Nelson Peltz's Trian Group also commented on the positive response, stating, "We are pleased that Disney is listening."
