Walt Disney Co. CEO Bob Chapek was asked by shareholders about Gina Carano’s resignation from “The Mandalorian” when cruise ships would set sail again and the future of Lucasfilm boss Kathleen Kennedy at the annual shareholders meeting from the entertainment giant on Tuesday.
It was a tumultuous first year at the top of Disney for Chapek, who took over from Bob Iger in February 2020, just before COVID-19 changed the entertainment landscape. And yet, it was also a 12-month period that saw Disney shares soar as its streaming offerings grew. Chapek noted that Disney shares went from $ 79 a year ago to more than $ 200 this week.
The meeting also took place when COVID-19 rates stabilized and vaccines became more widely available, potentially setting the stage for a revival in the film, travel and media businesses, all pillars of the Disney brand.
“There is good reason to hope … we hope for better days ahead,” said Iger at the beginning of the conference call.
Chapek also nodded at the political polarization that is taking place in the country after a year that saw historic civil rights protests, as well as a fiercely contested presidential race that ended with former President Donald Trump’s false allegations of electoral fraud.
“The fact is that we have a tremendous opportunity now to bring this country back together and bring people together,” said Chapek. “One thing we can all agree on is Disney’s power to unite with everyone.”
And yet, even the call signs of the shareholders of that political chasm were on display. Chapek was asked about the company’s decision to fire “The Mandalorian” star Gina Carano after she made a series of statements on social media that compared contemporary political differences to the treatment of Jews in Nazi Germany.
Chapek did not directly address Carano’s situation, but he resisted any suggestion of ideological bias.
“I don’t really see Disney characterizing itself as leaning to the right or to the left,” said Chapek. He said Disney was interested in defending “values that are universal”, such as “decency” and “integrity”, as well as making “content that reflects the rich diversity of the world in which we live”.
This world has changed dramatically since the last time Disney brought its investors together in March 2020. The COVID-19 pandemic has closed cinemas for months, forcing Disney to postpone many of its major releases or transfer them to its streaming services . It also meant that many of the Disney theme parks were unable to receive visitors for much of 2020, a major blow to their revenue. However, Disney enjoyed seismic growth on Disney Plus, its challenger Netflix, which has become a streaming highlight thanks to animated premieres like “WandaVision” and “Hamilton”, as well as the second season of “The Mandalorian”. Disney announced that the service now has more than 100 million subscribers worldwide.
“O Mandaloriano” is a creation of Jon Favreau, the director of “Livro da Selva” and “Iron Man”. It was also a huge success for Lucasfilm at a time when some of its “Star Wars” efforts in cinema had a reduced box office and a less fiery embrace from critics. A shareholder asked whether Kennedy, who has headed Lucasfilm since 2012, would be fired and replaced by Favreau.
Chapek said he was “absolutely thrilled” with Kennedy’s performance. “We hope to have Kathy directing the activities of the entire Lucasfilm operation for many years,” he added.
Disney shareholders offered two proposals that were completely defeated, one asking the company to disclose the “dark money” lobby payments and the other asking non-administrative employees to be included on the list of nominees for director. In addition, all ten members of the company’s board of directors were re-elected.
The shareholders’ meeting served as a kind of baton pass for Iger, who will serve as executive chairman until December, when he will step down from office, to Chapek, his handpicked successor. Many shareholders thanked Iger for its Disney management for a period of time that saw the company acquire Marvel, Pixar and Lucasfilm.
“Bob has taken this company to incredible heights over the years, and I look forward to continuing to develop its incredible legacy,” said Chapek.
Iger himself seemed to feel the weight of his formal farewell to Disney shareholders as he prepared to leave his executive position entirely at the end of the year. Iger recalled the circumstances of the company’s first annual meeting after becoming CEO in 2005. He stated on that day in March 2006 that “creating quality entertainment is our number one priority”, a mantra that remains today, Iger said.
“I will be leaving at the end of December with a strong sense of pride (and) a deep appreciation for the very special place that Disney occupies in the hearts of people around the world,” he said.