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June 25, 2004

Disney Sees Less Investment in Film

The Walt Disney Company plans to scale back spending on films, although it aims to remain a Hollywood staple, Chief Executive Michael Eisner and other executives said on Thursday. Chief Financial Officer Tom Staggs told the investors that a slate of 13 to 16 films per year for the Disney, Hollywood Pictures and Touchstone labels, produced good results since executives were forced to be selective in the movies they make and market. "We found there is no direct correlation between spending more and making more in terms of our returns," Chief Operating Officer Bob Iger said. Iger also said Disney did not see many more places to build major traditional theme parks around the world beside the one under construction in Hong Kong and a park in Shanghai that Disney is actively considering.

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