Summary: It’s not often you get called back to the company after you’ve reached the top of the corporate ladder, but that’s exactly what happened to Bob Iger. This executive stepped down as CEO of Disney in early 2020, and was replaced by Bob Chapek, a company executive who had worked at Disney since 1993. With this appointment, Chapek became only the seventh CEO in the nearly 100-year history of Disney.
Over the weekend, Disney announced the immediate return of Iger as CEO. Iger, who will replace Chapek, will help develop a strategy for resuming growth and will work with the Board of Directors to select a successor who will take over at the end of his planned two-year term.
Chairman of the Management Board Susan Arnold said that Iger has a unique opportunity to lead a company that is entering a difficult period of transformation of the industry. “We thank Bob Chapek for his service to Disney throughout his long career, including leading the company through the unprecedented challenges of the pandemic,” Arnold added.
Iger said he is very optimistic about the future of Disney and is very pleased that the board has asked him to return. “Disney and its incomparable brands and franchises hold a special place in the hearts of many people around the world, especially in the hearts of our employees, whose dedication to this company and its mission inspires,” Iger said.
Investors seemed to take in the news as Disney shares rose more than six percent in morning trading.
Disney’s decision to bring back Iger is a bit surprising, especially considering that the board of directors extended Chapek’s contract back in June with a new three-year deal that began on July 1. Earlier, Disney announced a large number of subscribers of its streaming division in its financial report for the fourth fiscal quarter. this month. However, the profit missed the target, as both revenue and earnings per share were below the consensus forecast of Wall Street analysts.
Following Iger has always been a daunting task, and the pandemic certainly got in the way, as the closure of theaters and theme parks greatly affected Disney’s business in Chapek’s first year. The incessant economic difficulties will undoubtedly be the focus of attention in the early years of the Iger’s existence. Only time will tell how this stay will affect his overall legacy in the Mouse House.
Chapek did not make a statement in a Disney press release. At the time of writing, we don’t know if he plans to stay at the company.