Former Disney CEO Michael Eisner has jumped into the fray of the ongoing proxy fight that is predominantly between Disney CEO Bob Iger and Nelson Peltz (and his Trian Group). This fight is over the future of The Walt Disney Company and the Board of Directors that will lead it. Disney has laid forth its slate of twelve nominees for its Board of Directors. Nelson Peltz and his Trian Group would like to see Peltz himself and former Disney executive Jay Rasulo take two of the spots on the board. In recent days, there has been a growing chorus of support for Bob Iger’s leadership. This has included people like former Walt Disney Imagineering President Bob Weis, George Lucas, Josh Gad, and Laurene Powell Jobs.
In a statement on X today, Michael Eisner voiced his support for Bob Iger and encouraged shareholders to remember the lesson from 40 years ago. He also stressed the importance of bringing in people with industry experience, something that Nelson Peltz does not have. He wrapped up his statement by saying that the company is in excellent hands and encouraging Disney shareholders to vote for the nominees that Disney put forth. Here is is full statement:
As I told
@dealbook, in 1983, Disney was under attack by corporate raiders trying to take over the company. That would have ended the Disney Company as we know it, for the studio, theme parks, and hotels were suggested to be sold off. The board turned to me and Frank Wells, and a different story was written, one that was continued by Bob Iger and his executive team. Today, a similar situation exists, so let’s remember the lessons from 40 years ago. Bringing in someone who doesn’t have experience in the company or the industry to disrupt Bob and his eventual successor is playing not only with fire but earthquakes and hurricanes as well. The company is now in excellent hands and Disney shareholders should vote for the Disney slate.
@Michael_Eisner
The statement comes after the proxy fight recently escalated. Nelson Peltz and his Trian Partners released a 133-page white paper where he outlined his demands for Disney to restructure its leadership, overhaul Disney’s linear television channels, and also achieve Netflix-like margins of 15% to 20% by 2027 with its streaming services. Some of these demands are already being implemented by Disney. Nelson Peltz and Trian Partners would also like to see both Peltz and former Disney executive Jay Rasulo placed on Disney’s Board of Directors.
Following the release of the white paper, Disney released a video warning of the dangers of Nelson Peltz and Jay Rasulo. Disney argues that their approach would be “disruptive and destructive.” Disney also recently reported a very strong quarter that showed the company heading in the right direction. However, Peltz and the company were not assuaged.
This proxy fight will ultimately be determined by shareholders and their votes. The annual shareholder meeting where the results will be determined will be on April 3, 2024. What do you think of Michael Eisner joining in supporting Bob Iger’s leadership? Share your thoughts and opinions in the comments below!
To the Disney Companies and it’s Shareholders,
Hold steady and stay the course. I’m sure you are all familiar with the old phrase” A wolf in sheep’s clothing” and in fact, this very wise observation is so old it has a biblical reference but the premise is still the same; those that try so hard and push with such determination to be a part of something they have no knowledge of most likely don’t have good intentions. I believe this is the case here with Nelson Peltz, Jay Rasulo and the Trian Group.
This is not about money, this is about power, control and twisted recognition. The “white paper” that they have submitted as their plan continuously references profits for it’s shareholders, restructuring, tangible asset control, high profits from all entertainment media similar to or exceeding Netflix’s supposed 15-20% margins, Board reviews of the creative process including restructuring and leadership accountability (most likely leading to replacement and installing hand picked management from the Trian Group) and targeting the parks to force a clear vision as they put it and higher profits.
My Opinion: As I read the information on their very biased website “Restore the Magic”, there is absolutely no mention of the consumer. The entire site is dedicated to how they will boost profits for it’s shareholders through various means of streamlining costs, either by workforce reduction, management salaries tied to profits, reduction of overhead expenses through modification of its existing “tangible assets” or selling them off and basically boosting what sells and eliminate the rest. Again, my opinion, but this does look like a corporate takeover, not a desire to be a part of the Disney family and what it has stood for for over 100 ears. Current nominees and board members must love the Disney values, it’s offerings to the public who love Disney, future experiences and have demonstrated experience that will benefit the entire Disney company.
I ask the board to think about what could happen if even one spot was filled by either Nelson Peltz or Jay Rasulo. Do you truly believe they have Disney at heart? Do they know anything about Disney? Why did Jay Rasulo leave if he is so determined to be a part of Disney now? If not for money, then what is Nelson Peltz after? Do you think that the Trian Group would hesitate for even a second to install it’s own staff and management to further manipulate the future of Disney? This is scary stuff!!
Last, what about us; the consumer! The Disney fans, park goers, merchandise buyers, entertainment purchasers, Magic Key holders, Hotel and Restaurant patrons, where do we stand in all of this? If we don’t like the changes or worse, can no longer afford them, then what? What does the board do then after the damage is done? I would like to think that the board got a tiny taste of that with the last CEO but being a board member? That will really hurt. Vote for Disney’s next 100 years of magical entertainment, stories, and experiences. I want to leave you with this from someone I think we all know; “All of our dreams can come true if we have the courage to pursue them” . Don’t let a couple of corporate bullies affect the right decision. Thank you