Disney/Gold Comment on Future of Disney (Petition to Remove Micheal Eisner)

FilmStew ^ | Thursday, January 8, 2004 | Liz Jeffries

[fight_truth_decay]

BURBANK, CA-Roy E. Disney and Stanley Gold respond to remarks made by Michael Eisner.

Not just going quietly into the good night, Roy E. Disney and Stanley P. Gold of Shamrock Holdings issued the following statement following Michael Eisner's presen-tation at the Smith Barney media conference held in Phoenix.

"While we were pleased to hear that the Walt Disney Company and, in particular, its studio entertainment division, is expecting strong momentum going into 2004 with anticipated 30% EPS growth, we have several observations on the company's comments and first quarter projected results from the viewpoint of a long-term investor like the Disney family:"

*"Historical perspective: Assuming the company achieves its forecasts for FY 2004, earnings will only approximate those achieved six years ago -- in 1997 -- despite having significantly more capital employed in the business."

*"Concern about forecasts: Management has consistently not met its plans. Just one year ago, the company projected 25% to 35% earnings growth for FY 2003, but actual growth was only 10%."

* "Sustainability: We are concerned that much of the 'momentum' or 'growth' that Mr. Eisner referred to in his remarks is not sustainable. They are the strength of Pirates, Nemo and Lion King re-release DVD sales, one-time change to sports rights amortization and one-time cost reductions at ABC. What are the consistent and predictable components to future growth?"

*"Creativity: Both ESPN and Pixar represent significant contributors to first quarter's projected performance. Unfortunately, the company itself creates little of this content. Moreover, as has been widely reported, the future profitability from the Pixar relationship and ESPN is likely to moderate when compared to the past. Lastly, this risk increases when you fail to maintain healthy relationships with partners who contribute significantly to earnings."

*"Technology: Mr. Eisner spoke strongly about Disney's industry-leading position in technology as a driver to future growth. Considering similar rhetoric in the heady days of the late 1990s and, since management did not provide specifics, it is difficult to evaluate whether 'technology' will be a significant future financial contributor. Management should provide specifics regarding several of the technology initiatives such as Movie Beam, EZ-DVD, Toon Town On-Line and Movies.com."

"For the reasons detailed above and articulated in our resignation letters, we urge the Disney Board of Directors to take a greater role in evaluating and holding management accountable for what has been a long-term deterioration in performance. We will continue to strive to inform all interested stakeholders, and we encourage people to regularly visit our web-site, www.SaveDisney.com."

[fight_truth_decay]

Welcome to Save Disney.com. This website is devoted to those concerned about the welfare of The Walt Disney Company and its future direction. Stan Gold and I plan to use this site as a central information location as we begin to restore Disney to its position as the preeminent entertainment company in the world. We have also provided a mechanism for all interested parties to provide ideas, comments, concerns and input, and we sincerely hope that you will communicate with us.

I thank you for your concern about this wonderful Company founded by my father and uncle more than 80 years ago whose sole motivation was to provide lasting and wholesome entertainment to people around the world. I seek your support as we embark on this extremely important mission to restore the magic and wonder to The Walt Disney Company.

Sincerely,

Roy E. Disney

http://www.savedisney.com/

"I've always been bored with just making money. I've wanted to do things, wanted to build things, to get something going." - - Walt Disney

Take Action

A petition for all supporters of Roy and Stanley has been posted at:

http://www.petitiononline.com/roymagic/petition.html

Over 6300 signatories to date, and growing!

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24	Missouri	291.00	10	29.10	331	0.88	198.00	14

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[Old Sarge]

WOO-HOO! I love it! Bring The Mouse back to the beginning, and do it right!

[Dante3]

What a shame all the damage Eisner has done to Disney.

[Jalapeno]

bump for later ref - Thanks for the post.

He's right about most of thse points, especially Pixar. They're going to dump Disney Co. some day.

[fight_truth_decay]

Just one comment on the petition:

Mr. Disney has my full support. I will not buy another further Disney products, shop at the DisneyStore, or make a much planned honeymoon trip to DisneyWorld until this matter results in Eisner(he does not deserve any nicety title) is resolved with Eisner leaving the company. I will gladly buy some of his stock when he does, no matter the price. As a union member, I will approach my union(Youngstown General Duty Nurses Assoc.) at it's next meeting to support Disney company's SEIU with your efforts. -Connie Prejs

[Gopher Broke]

Eisner has led Disney into a moral cesspool promoting the homosexual agenda

[fight_truth_decay]

When you say you need to cut back on spending and lay off employee's and then turn around and give yourself a million dollar raise something's wrong! Please get Eisner out fast.-C. Goddard

[fortunecookie]

Eisner has led Disney into a moral cesspool promoting the homosexual agenda

Eisner has hijacked Disney and used it to promote the gay agenda, turning it into a moral cesspool, packaged in the happy cartoon wrapping that was once WDW, a family vacation spot.

He took a wonderful place and hijacked it for his own agenda, one contrary to Walt's original vision. Go Roy! I hope they can (finally!) oust Eisner. The last time anyone tried, amid falling attendance, Eisner reported a few key members 'resigned' and then awarded himself millions in bonuses and laid off a lot of WDW workers.

[fortunecookie]

From the beginning, he has used WDW for his own designs. He could really care less about WDW, just the bonu$e$ (ch-ching) it allows him. He needed a legitimate launching point for his 'projects' and chose the most wholesome, innocent launching point of all, a place for children. The ultimate insult to all that is wholesome. I still love WDW, but it is tainted by all things Eisner. I'm so pleased that Roy is starting this movement. And not a moment too soon - once WDW ceases to fill the needs of helping him launch his decidedly gay, anti-family, anti-Judeo-Christian 'entertainment', he will no doubt cut it loose, after milking it dry.