Tuesday, July 04, 2006

The Long Pass Paying Off?

As the stock market wobbles up, then plummets down, VARIETY reports that several entertainment congloms have seen their stock prices rise significatly since the start of the year. And the leader is the Mouse House... Disney (up 21%). The rise here has been almost meteoric -- that would be a computer-generated meteor, of course. The post-Pixar glow still hovers over the Mouse House, in part because of Steve Jobs' increased involvement with the company. ABC's strong record with new platforms is also lifting Disney, though company heads into a critical period -- the summer-park theme season -- amid fears of gas prices and ride safety. Robert Iger, contrary to some analysts's predictions, stepped briskly out of Michael Eisner's long shadow and immediately began making some bold moves. This has obviously pleased Wall Street. Whether it pleases Eisner hold-overs in the near future remains to be seen. My guess is, Iger will continue to make bold moves. And that will include putting his own stamp on upper management in the company's various divisions and subsidiaries. He's got strong motivation to do so, because he won't get much of the reflected glory if one of Eisner's execs does well. He's a smart CEO, so he's got to know this. Back last Fall, when Mr. Iger took over, who would have thought the company would be as different as it is today?


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