This morning, Disney CEO Bob Chapek appeared on CNBC to address the reopening of Shanghai Disneyland and other COVID-19 related topics.
What’s happening:
- During an interview with CNBC’s Julia Boorstin, Chapek discussed a number of topics about the Walt Disney Company.
- Here a quick look at some key comments:
Regarding Shanghai Disney reopening:
- First, he noted that Shanghai Disneyland is pretty much booked-up for the entire week, though a few tickets remain.
- The plan is to increase Shanghai attendance 5,000 guests per week up to Shanghai government's cap of 24,000 at which time they will work with the Shanghai government on easing restrictions further.
- Disney’s ability to raise attendance will be driven by guest behavior, which Chapek says has been very understanding.
As for other parks:
- Chapek wouldn’t comment on the date to reopen other destinations. Any further openings will be dependent on guidance from government officials, health professionals, and local hospitals.
- Disney expects to require masks for guests and cast, which Chapek says will be a cultural adjustment for guests in the United States, especially during the warm summer months.
Disney in theatres and on Disney+:
- On movies, Chapek says movie theaters are typically running at 25% during the week, so the impact of social distancing measures may not be as impactful as expected.
- Chapek says that everyone needs to balance people’s anxieties with pent-up demand.
- Bob Chapek reiterates that they believe in the theatrical experience for big tentpole films
- Moving films to Disney+ will be on a film-by-film basis, which Bob called a very viable platform for film releases.
- Pre-production and post-production can still occur so there will be no delay in the second season of The Mandalorian.
ESPN, ABC, and more:
- ESPN primetime ratings were up in ratings during the month of April thanks to the NFL Draft and The Last Dance, which Chapek points to as a way of showing how Disney is nimble.
- ESPN is currently in talks with the sports leagues regarding a variety of scenarios which could result in the return of live sports.
- Disney will feel the hit of lower advertising rates at both ABC and ESPN.
Chapek on his role as CEO:
- Bob Chapek said he knew there would be disruption during his tenure at Disney, but didn’t know it would happen so fast.
- He also mentioned that he talks to Bob Iger and the senior Disney team several times a day.
What they’re saying:
- Chapek on the resilience of The Walt Disney Company: “Disney will be back, and will be back stronger than ever.”