The Walt Disney Company Extends Robert A. Iger’s Contract
- Details
- Category: Business/Financial News
- Published on Friday, 24 March 2017 08:16
- Written by Janet Walker
Assessing the landscape and future entertainment space, The Walt Disney Company Board of Directors announced that it has extended Robert A. Iger's contract as Chairman and Chief Executive Officer to July 2, 2019.
Iger's contract, which was due to expire July 2018, made his desire to remain on-board with the entertainment giant early even as he fended off rumors of a 2020 Presidential run. The contract fell short of the two year extensions he has received in the past and marks a shift in the boards extension strategy.
The Walt Disney Company has made no secret of its adulation and respect for Mr. Iger who has continually made smart, effective and financially lucrative decisions that benefited the company globally, and the entertainment industry, at large.
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Praising the 66-year-old executive Orin C. Smith, the lead Director on the Disney Board said, "Given Bob Iger's outstanding leadership, his record of success in a changing media landscape, and his clear strategic vision for Disney's future, it is obvious that the Company and its shareholders will be best served by his continued leadership as the Board conducts the robust process of identifying a successor and ensuring a smooth transition."
Mr. Smith continued: "Mr. Iger has led The Walt Disney Company to unprecedented success during his 11 years as CEO, driving Disney to new creative heights, expanding the Company's global reach, fostering technological innovation, and delivering year-after-year of record financial results. During his tenure, Mr. Iger has created enormous value for shareholders, with total shareholder return of 448%, compared to 144% for the S&P 500, and a dramatic increase in the Company's market capitalization to $177 billion from $46 billion."
"Leading this great company is a tremendous privilege, and I am honored to have been asked to continue serving as CEO through July 2, 2019," Mr. Iger said. "Even with the incredible success the Company has achieved, I am confident that Disney's best days are still ahead, and I look forward to continuing to build on our proven strategy for growth while working with the Board to identify a successor as CEO and ensure a successful transition."
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Even as the ink on details of the agreement, which are included in the filings, is still drying, the search for a successor has always been simmering on the back burner.
As Iger continues to remain an integral part of the company the opportunity for others previously unprepared for the top spot to move forward in the much talked about successor strategy is very real and still up for grabs.
Since Mr. Iger became CEO, The Walt Disney Company has been recognized as one of the "Most Reputable Companies" in both America and the world by Forbes magazine (2006-2017); one of "America's Most Admired Companies" by Fortune magazine (2009-2017); one of the "World's Most Respected Companies" by Barron's (2009-2016); one of the "Best Places to Launch a Career" by BusinessWeek magazine (2006-2010); and as "Company of the Year" by Yahoo Finance (2013).
