Bob Iger is returning to lead the Walt Disney Co. effective immediately, the company said in a surprise announcement Sunday night.
Iger replaces Bob Chapek, who had succeeded Iger as Disney’s CEO on Feb. 20, 2020.
“We thank Bob Chapek for his service to Disney over his long career, including navigating the company through the unprecedented challenges of the pandemic,” Susan Arnold, Disney’s Chairman of the Board, said in a news release.
Disney said in the news release that “the Board has concluded that as Disney embarks on an increasingly complex period of industry transformation, Bob Iger is uniquely situated to lead the Company through this pivotal period.”
“Mr. Iger has the deep respect of Disney’s senior leadership team, most of whom he worked closely with until his departure as executive chairman 11 months ago, and he is greatly admired by Disney employees worldwide – all of which will allow for a seamless transition of leadership,” Arnold said.
Iger, who had served as Disney CEO for 15 years from 2005 to 2020, said in the news release, “I am extremely optimistic for the future of this great company and thrilled to be asked by the Board to return as its CEO.”
“Disney and its incomparable brands and franchises hold a special place in the hearts of so many people around the globe – most especially in the hearts of our employees, whose dedication to this company and its mission is an inspiration. I am deeply honored to be asked to again lead this remarkable team, with a clear mission focused on creative excellence to inspire generations through unrivaled, bold storytelling.”
CNBC reported, “Chapek came under fire for his management of the entertainment giant.”
A week ago, Chapek had announced that layoffs and a hiring freeze were coming within the Walt Disney Co. soon. He had said the company was looking to reduce its workforce through a companywide cost-cutting initiative. His note did not say where these layoffs are expected to take place.
Disney’s fourth quarter and year-end earnings reported record annual revenue of $28.7 billion in the company’s theme parks division but significant losses in streaming services. During the Nov. 8 call, CFO Christine McCarthy said the company was “actively evaluating [its] cost base” and “looking for meaningful efficiencies.”
Disney stock plunged to $86.75 after the call. That was just 99 cents above the stock price on March 23, 2020, days after the company announced it was shutting down its theme parks due to the COVID-19 pandemic.
Staff writer Katie Rice contributed to this report
