Bob Iger returns as Disney CEO effective immediately, replacing Bob Chapek after a brief, tumultuous tenure

by | Nov 20, 2022 | Business

Bob Iger is back.Disney, in a shocking late Sunday announcement, said it had re-appointed Iger as chief executive, effective immediately, after Iger’s handpicked successor as CEO, Bob Chapek, came under fire for his management of the entertainment giant.”It is with an incredible sense of gratitude and humility — and, I must admit, a bit of amazement — that I write to you this evening with the news that I am returning to The Walt Disney Company as Chief Executive Officer,” Iger wrote to employees in an email, which was obtained by CNBC.The dramatic upheaval comes 11 months after Iger left Disney, and days after Chapek said he planned to cut costs at the company, which had been burdened by swelling costs at its streaming service, Disney+. Earlier this month, the company’s earnings vastly underperformed Wall Street’s expectations. Even its theme park business, which reported a surge in revenue, delivered less than what analysts had projected.Iger’s return also comes as legacy media companies contend with a rapidly shifting landscape, as ad dollars dry up and consumers increasingly cut off their cable subscriptions in favor of streaming.Iger will help the company’s board develop a new successor, Disney said in a release.Chapek was named chief executive in February 2020, succeeding Iger, who had previously said he wouldn’t return to the role.Shares of Disney have fallen about 41% so far this year, as of Friday’s close. The stock hit a 52-week low Nov. 9.Iger has signed on to work as CEO for two years, Disney said Sunday, “with a mandate from the Board to set the strategic direction for renewed growth and to work closely with the Board in developing a successor to lead the Company at the completion of his term.”The company said Chapek stepped down. Soon after Chapek took over in 2020, Covid-19 became a pandemic and forced the s …

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