All Things Disney...

The "All Things D" is an amazing place for dialing into what's relevant in geek techno...

They've had some extremely interesting, in depth discussions with people connected to the information age that is here, and the one just ahead.  If you want to see where things are going, for good or bad, then their talks are a must.  I've really enjoyed Walt Mossberg's interviews of Steve Jobs, and his talk with Bob Iger was subtly revealing as well.

Well, this year the Mouse came again in the form of Walt Disney Parks and Resorts, Tom Staggs.  One of a few people that are in line for the big job, Staggs is approachable, intelligent and focused in his back and forth with the hosts.  Take a look at the interview and see what he and the company have planned for the next few years in the parks and elsewhere.

If nothing else, watch Tom for a preview of who might be running the place in a couple of years...

Blue Sky Buzz: Pixar's Place In Disney's World...

I got time...

Let me tell you a story...

Two actually.  A tale really.  The tale of two, possible future worlds.  One is what the vision of Suits have for this world, and the other is what Creatives want for this world.  You see the see the Suits see only profit and opportunity.  The Creatives see ideas as the real treasure.  The trick is finding somewhere in the middle.  In a balanced world, the Creatives will find a way to prove to the Suits that their vision is what is needed, and creating something just for the sake of dollar signs isn't actually good for the bottom line in the end, as it diminishes what the Founder successfully created that made his company so profitable.

Translation is, originality and thinking outside the box to give the guest what they didn't know they wanted was how Walt Disney blazed his path to create a company that is now the pinnacle of, and largest deliverer of entertainment in the world.

This tale is of the Disney World part of that world.

There is a lot going on in that Florida haven right now.  Construction of the Fantasyland Expansion, the continued work on expansion of Disney's Animal Kingdom with the fantasy animal park coming to fruition with the "Avatar" land, and most importantly, the addition and bringing new life into Disney's Hollywood Studios that will happen in the next few years.

This park has been waining over the past decade+.  It has lost focus on what it is and where it is going.  It's in the process of trying to find what it is trying to entertain guests with, to tell who it is really.  It's beginning to shake off the narrative that it is the Mouse's alternative to Universal Studios and now trying to figure out what film experience it wants to tell to everyone entering it's gate.  While DAK is expanding to a full day park with the myth element (albeit, a sci-fi mythical creatures design, not a fantasy mythical creature design) of the park, DHS is now planning on moving away from being a movie "tour" park, and being a movie "experience" park.

I have great hope for Walt Disney World.  With the hiring of George Kalogridis, the languishing quality of WDW will finally be addressed.  The lower standards that are accepted there as the norm will hopefully, slowly be replaced by what we expect in a Disney Experience.  Kalogridis is a nuts and bolts guy, so we should expect operations, and quality to be made a much more prominent focus over the next few years.  If you're unhappy with what you get there, please make sure you let guest relations know so that it reaches Team Disney Orlando.  It has a much better chance of getting addressed with George now in charge.

Now, back to that vision thing.  Here's what the dilemma is.  Right now, actually the last few months of last year and into the new year, the company has been working with the decision of what path to move forward with on the expansion of Hollywood Studios.  You see everyone loves success since it's so elusive in business.  In a world where profit is king, you want to replicate what works.  In Burbank's case, this means clone it.  Duplicate it.  Copy it and hope lightning strikes twice, or even three times.  Such is the case with Cars Land, which is the single most profitable creation for the parks in twenty years.   The easy answer for the Suits is to clone it, the more difficult answer from the Creatives is to recreate what made it successful.

I'm sure you've read all the rumors floating around the Internet about cloning Cars Land down in Florida.  How it's going to go where the old Hollywood Backlot Area is and expand the Pixar Place area of the park.  This is partially true.  The Pixar Place area is where Imagineers expect to create the expansion of the park that I refer to, mainly at least.  But therein lies the fight.

One path is that one.  To clone Cars Land and expand the Pixar Place and give it a much grander imprint in the Hollywood Studios park.  The shadow of the Lamp will fall heavily on this gate if that choice is the direction they head.  It'll be destined to be a hit just like out here in California.  There will be no shortage of demands if the land is announced, with its immersive theming and escapist fun that literally draws you into an animated world.  This would make the Studio Backlot an inviting plot of real estate to put this WDI creation.  Instant hit: just add three years of construction, hundreds of millions of dollars, and in 2015 you'll have a swarm of people descend on the Florida resort for the experience we have out here.

Then there is the alternative.

Expand the Pixar Place, but not with a clone.  Imagine that?  Now what would/could it consist of?  Well, the area as pitched would have several other Pixar character creations.  This lists rings like a laundry list of the last decades hits for Disney animation via Emeryville.  Nemo ideas, lots of Toy Story ideas thrown around (including several attractions out of the "Toy Story Land" areas in Paris and Hong Kong), even talk of a Ratatouille clone like the one being built at Walt Disney Studios Paris (not likely, though, but not impossible).  But the new E-Ticket surrounding all of these minor C and D Ticket attractions would be something better.  Something incredible even.

Yes, that pun was intentional.  The proposal, which wasn't a done deal when I talked to my Bothans near the beginning of the year, would involve the Brad Bird creation.  If the Mouse decides to go the non-clone route, the largest part of the expansion would be an attraction based on "The Incredibles" film.

It's not the same one that was going to go into DCA when they were scrambling for something to stop the bleeding and the laughter, but it is a project that is designed to take you into the idealized world that Bird created where Supers were very real.  This one would feature cutting edge technology, with animatronics and possible 3D/4D effects that rival anything done with Cars or the new Ratatouille ride.

It's part of what Lasseter wanted with each park having its own original creations.  Attractions to make you want to travel to different parks for different reasons.  Imagine that?  The plan was to have two or three C-Tickets, budget permitting of course, and a large E-Ticket based on this film to define the entire area as a fully immersive experience of Pixar's imaginative stories.  A Pixar land so to speak.  Will that happen?  It's a matter of numbers, time and justification of money that comes down to a battle of Suits and Creatives trying to figure what will be best.  Cloning?  Or creativity?  So which side will win?

We'll likely find out what the answer is to that question sometime later this year...

Chinese Adventure...

Another kingdom in the Middle Kingdom...




With the focus now off on Anaheim for the time being, eyes turn East...

Shanghai Disneyland is progressing along with a tentative opening date of late 2015/early 2016. As many have said before, it will have a different vibe than the traditional "Magic Kingdom" styled template that everyone is used to. It will still be Disney, but the areas will have a much more culturally specific tone than what we've seen before. If there is an overriding theme that you can take from what is coming, it is this:

Adventure and water.

What's that you say? Well, I can't reveal everything, or even a great deal of what my Bothans have told me, but I can express a few things that are happening. There will be a great emphasis on water in the park in many of the areas and attractions that are designed for this gate. From fountains, geysers, pool, ponds, waterfalls and water rides, this place will be decked out in aqua. The designs are quite elaborate, and the detail of each area will rival the detail that Hong Kong Disneyland had, albeit the attraction list will be much more interesting.

Another thing that will be noticed in the park, is the amazing amount of adventure attractions and layered theming this resort will have. Even the names should give you a hint. How about Adventure Island in Adventureland? Or a tropical area of the park featuring a dense jungle attraction known as Jungle Challenge. Lavish water and fog effects will be placed around these areas that will deepen the atmosphere of the experience. And if it doesn't get cut, the rock work of the amazing dinosaur attraction, Lost World Roaring Rapids will simply stun you. It's really impressive and I hope that Iger and Staggs don't skimp on the budget and let this sculptured mountain disappear into legend.

The front entrance will be unique as we all know because there won't be a Main Street like every other park has had since the original was opened by Walt. But the beautiful and hypnotic trees, plants and flowers that lead up through the Fantasia Gardens toward the Dumbo attraction will provide a fantasy-like surrounding that will make you feel like your in an imaginary world that is decidedly Disney, but decidedly different.

The attractions will have the detail and quality one would expect from the Mouse, but may take on a slightly unique presentation that I find refreshing, as I hate clones and want each gate to have its own identity. So far, the design work being done by Imagineers is something that will make fans very proud of what can be done to immerse you in a manufactured world. As the plans move forward, we can expect the final design to be ready sometime late next year. After that it will take between two and three years to bring the ideas and dreams into brick and mortar.

And then there are the hotels...

Comic Appeal...

The World of Tomorrow, today...







With all the media attention today surrounding DCA, one obvious question was asked...

What about Marvel?

Tom Staggs was giving a press interview at the Golden State Winery, he was pressed about the matter and was honest without being too revealing.

"We were hard at work on attractions using Marvel characters previously, and that work has only intensified given (the film's) great success,"

Yes, there are plans to work the characters into every park in some way or form, but the thing I like is he emphasised about it being in a proper way. So you won't have to worry about Sleeping Beauty and Thor walking out for a photo op. Or don't plan on seeing the Hulk and Belle walk through the castle opening to greet guest, while the Other Guy says: "Hulk Happiest When Smash!"

But you might see something along the lines of the Fantastic Four in Tomorrowland, or maybe Iron Man and the Avengers in a Stark Expo there... theoretically, of course. But time and place will still mean something. While Bob Iger has spent more on parks in the last few years than his predecessor, spending will tapper off a bit as Burbank settles in to see how guests react to the Extreme Makeover. Disney California Adventure will enjoy its new place in the Resort, while next year the Big Sister starts to get some much needed attention. And I don't believe you'll see many Marvel characters at the Second Gate, but in a couple years some interesting events/shows/attractions mights start to show up in other areas of the park here in Anaheim and the world.

Orlando and Yunibāsaru Sutajio will just have to wait and watch, for the meantime...

35 Years Ago, In A Galaxy Far, Far Away...

Sell the darn thing dude...










That's right, it's been that long...

Thirty-five years ago today, "Star Wars: Episode 4 - A New Hope" premiered. I want to celebrate the future acquisition of Bob Iger/Tom Staggs on that achievement and have some advice for George Lucas: Sell it! Sell it now! Go make your personal, esoteric films, Master Lucas! You still have time. Whew. Glad I got that off my chest.

Do, there is no try...

Marvelous DisneySEA...

It's April Fool, you fools...








Atlantis is coming to Tokyo DisneySEA...

No, not the one from the Disney animated film, but the one from Marvel Comics. The one ruled by Namor. If fact, at the Walt Disney Parks and Resorts press conference this morning that was co hosted by WDP&R Chairman Tom Staggs and Toshio Kagami - Chairman and CEO of the OLC, he made a guest appearance. Well, at least an actor portraying him did.

Come 2015, Tokyo's Second Gate will have an eigth port: "Marvel's Atlantis." The area will be located next to the Lost River Delta port and will comprise at least three attractions, restaurants and shops featuring Marvel merchandise. Details about exactly what those rides will be is limited as WDI plans out the designs over the next year and a half. But from what we know of the Oriental Land Company, it'll be a very elaborate expansion.

So we now know where Disney's first expansion of its Marvel properties will go. Now when will we find out about where/when they'll be in Anaheim and Orlando? Soon, from what I hear.

But until then, just imagine what it'll be like traveling to Namor's kingdom in Japan...

Iger's End And Openings...

Power corrupts, absolute power gets drunk on it...






Well Bob Iger has signed a two/three year extension of his contract...

But he's done something that Michael Eisner never did. He gave us an end game. Iger announced that he will gain the title of Chairman as of next year, and will leg go of the reigns of power as CEO on March 31, 2015. He will then stay on as Chairman of the Walt Disney Company at least till this new contract expires in June, 2016.

This is in stark contrast to Eisner who tried to maintain his hold on power well after he should have resigned. It also sets up a debate as to whom will become the next CEO. The obvious choices are Walt Disney Parks & Resorts Chairman, Tom Staggs and Dark Lord of the Sith, err, I mean Chief Financial Officer, Jay Rasulo. It's my belief that it will be Tom Staggs who gets the title as it appears he's a much better fit for the role. Jay belongs over in the bean counting department dealing with the numbers. Staggs has proven himself to be a savvy Suit working the parks and getting much respect from those that he's had dealings with.

It may be interesting to see which Suit comes out in the lead over the next four years...

A Tenth Of The Tenth...

There were so many events and ceremonies celebrating the anniversary of Tokyo's Second Gate...

No way we could cover them all, but I thought it would be nice to look at a few of them. If you can't be there, at least YouTube can take you there.

Here is the opening ceremony to commemorate the tenth year of the park with the heads of the Oriental Land Company and Walt Disney Company head of parks, Tom Staggs (Take a look around Tom, this is what we expect!).

The musical celebration on the water in the Mediterranean Harbor yesterday. Again, nothing is as good as actually being there with the sights and sounds, but you can get some of the flavor of what it is to see this magical place at this magical time.

Before everything begins, custodial has to be make sure everything is up to the high standards of a Disney Park, but take a look at how much the Japanese Cast Members get into their jobs.

Some of the bizarre musical renditions (with Chip & Dale) you can find at Port Discovery during this time.

And speaking of music. Here's the official song of the 10th anniversary. Now, can you imagine if Disney California Adventure had an anniversary song?

And here are some of the decorations outside the entrance to the park.

If only the tenth of DCA could have been celebrated in such a tradition. We do have another one coming up in five years so perhaps they can take some tips from these celebrations and make it a memorable one. By then the Second Phase will be done if everything works out smoothly, or at the very least will be deeply in development.

And one can only imagine what will be up in Tokyo's Second Park by then...

Twenty-Three Perspectives...

Evo-lutions...





And so ends the first day of D23 Expo 2011...

I thought I'd add a few comments from Blue Sky's perspective on the second convention put on by the Mouse. I got to attend quite a few panels today that I wanted to. I barely got into Tom Staggs speech after a very interesting conversation with a couple of Bothans. But here are some thoughts.

First off, it's evident that Disney decided to pull back somewhat from the 2009 expo. Whereas the first one was over four days, this year there is only a three day event. The rooms used for panels was lowered as well. Disney is trying to be somewhat conservative after their first expo and not over plan for some of the events. I believe they intended to tighten their belt a bit this time and see how things go with the fans. The one area where I think they made a mistake is by not renting out the entire Arena for the big events. Sure, the line going around is that they wanted to make it more intimate, but that's not the case. The first expo had events using all 6000 seats in the Arena, while this year they're only using 4000 seats. Disney expected to save some money by not renting out many of the top tier seats (hence the propaganda about "intimate."). But truthfully, all that did was leave hundreds of fans unhappy and angry that they were left waiting outside in a line that had no hope of seeing events. If they're going to do this again next time, I suggest they at least put some screens along the queue area to allow those not inside to at least view Tom's announcements.

Now, as far as what was announced? Not much new as I expected. I know that a couple of things that were on the list got cut off for a later announcement (the program was reduced from an hour and a half to just an hour). But all present got to see a lot more of the progress on the current projects. If anyone expected a lot of new info to be released, all you had to do was look at the description of the keynote to make you lower your expectations. No new projects were going to announced for Disneyland as that will upstage all the stuff surrounding DCA. You can expect that we won't hear much about the next phase for that park till after next summer.

As for Shanghai, if you were visiting the Carousel of Projects then you'd see that vague model and those rotating pictures behind it. But that's all you'll see for a while. This park is about five years away. So they are in deep blue sky right now. it'll be another two years before the plans start to finalize and closer to three before you see any tangible progress. Even the projects that we announced here could evolve. This is "Blue Sky" Disney, of course. Nothing is set in stone just yet. Plans are made, shown to execs and then they're sent back to the drawing board. Tom himself has had them go back and change plans a couple times already. Disney spent a lot of time wooing the Chinese over the last decade with many samples of artwork that showed extravagant designs of beautiful things that would be possible in this park. Now, the hard part will be actually turning that paint into something buildable for a budget. Kind of like what they have to do with this year's expo.

Then it's all about managing expectations...

Blue Sky Buzz: Shanghai Hopes...

He's got high hopes...



With only a couple days to go before the Mini-Con, I thought it was time to address a few things...

I know that several sites have reported on several rumors about Shanghai Disneyland. Blue Sky has been relatively quite on the subject lately. Part of that is having to deal with the real world and the limits of time I have. The other part is that I promised my Bothans not to speak about certain thing until the fall. I've also only spoke to them a few times in the past several months. Tom Staggs is a very good leader, that apparently understands the workings of Imagineering better than Jay Rasulo ever could. And he's also good at stopping leaks. But from what I've heard, I'm slowly becoming a fan of the direction he is headed. Staggs is a business man first, but he's someone that seems to get what most bean counters don't. And having him in charge of the parks could offer great opportunities ahead. Time will tell, but I think the Walt Disney Company is a world away from where it was a decade ago. And I clearly think he is the obvious candidate to replace Bob Iger when he decides to step down. Which I hope he realizes in his tenure before Eisner did.

That said, lets move on to Asia:

First off, the rumors that you've heard about a TRON attraction are true. It will take the place of Space Mountain in this sixth Magic Kingdom styled park. It is the giant white dome you see in that overview artwork piece the company released when they officially announced the resort a while back. It will be enclosed in darkness so that you won't see the exposed beams that shoot the lightcycle-type vehicles through the world of Tron (And yes, like the websites are saying, it is based on the Vekoma Motobike System designs).

As we were the first to break this, yes the water attraction that we mentioned is called the "Lost World River Rapids" and it is the mountain that you see in that artwork that was released (you did click on the link to "The Lost World" novel right?). I was able to tease what it was, but I wasn't able to reveal the name. Now that it's out, I can say that the stories are correct and there is more. Remember when Bob Iger mentioned that this park will be uniquely Chinese? Well, that's one of the reasons this attraction was approved. China is home to the largest collection of dinosaur finds in the world and the Mouse wants to play this up. The ride itself will be influenced by the GRR attraction that we have here in California, but it will be different. First off, it will have dinosaur audio-animatronics on it. Unless they make budget cuts, like happened on GRR, which have twice ended the inclusion of AA's, then you can expect a prehistoric experience. Also, the rockwork is very beautiful and extravagant. It is also expensive and over budget in design. Let's hope that the project isn't downscaled because the design is quite lovely and will become an instant classic. Please don't cut the beauty simply because of the cost overruns, Mr. Staggs.

Some people have noticed that Mayan temple over in the Adventureland area and have supposed that it is a Indiana Jones attraction. I can confirm that it is not. As of now, there are no plans to include the Man in the Hat on opening day. Things could change, but the designs of this attraction are not based on the Lucasfilm property. What it is, I can't say at this time, but wanted to tell you what it's not.

I know that sites are starting to report that the area will include a new "Pirates of the Caribbean" attraction with elements based on the designs of the attraction that was proposed for Hong Kong Disneyland. I can't confirm this, but there was/will be a POTC stunt show similar to the Indiana Jones one at Disney's Hollywood Studios. Whether this to be done in conjunction with or in place of the attraction, I'm not sure. As always, time will tell, and maybe we'll find out in not too much time.

There will be no Frontierland as of my last talks with the Bothans. Not that it hasn't been mentioned, but the plans for anything related to something that would go in such an area, would be placed in another land. While Japanese don't have any conception of what a "frontier" is, the Chinese experience with that term is known and considered far more negative. Hence the decision to not have a land named for it. In truth, Shanghai itself is the true Frontierland; wild, untamed and full of energy.

Just like HKDL has a variation of the Haunted Mansion, the Shanghai park will have variations on classic Disney attractions. In this case, the "Jungle Cruise" will be part of the park when it opens up in 2015/16, albeit with the same kind of variations that you see between the original Haunted Mansion and Mystic Manor. But it will be classic WDI from the designs I know of.

Over in Fantasyland, the "Seven Dwarfs Mine Coaster" is a go. This appears to be a clone of the one being built in the Extreme Expansion of WDW's Fantasyland. Another attraction that will be found in this land that is not in China's other Disney park is "Peter Pan" and a variation of the classic "Winnie the Pooh" ride. Plans are evolving and discussions are ongoing as to which other attractions are to be included. Expect at least one, possibly two more to join these on opening day.

That slow flume ride beneath the castle is also true as well. But, while some sites have reported that it will go throughout the entire park, it will actually only travel around Fantasyland. But it will be a beautiful ride through that popular land. The experience you get will be one of an enveloping fairytale, but done with the Imagineer's golden touch.

Disney and it's Imagineers have had a difficult time adjusting to Chinese culture and their way of doing things. It is a learning experience and a frustrating one at times. The way that things are constructed and the guidelines that China uses are not what WDI expects and it has been a challenge dealing with the way things are done in the Middle Kingdom, and Shanghai in particular. Let's just say the tools they use, figuratively and literally are different than what Glendale is used to working with.

There will be plans and models shown at the D23 Expo, but I wouldn't expect everything or most of what has been revealed here to debut. Unless Staggs changes the initial plans then we can really expect an overview with some minor surprises. But we'll have to wait for that big, beautiful tomorrow to find out.

Because tomorrow is only a tomorrow away...

August Projected...

A world filled with imagination...




One of the great things about the first D23 Expo was the Imagineer Display that everyone gravitated toward...

It was great to see the plans that WDI had for the upcoming future. At least what they were willing to reveal. Next month's D23 Expo will have another area that will display work throughout all 11 Disney Parks called the "Carousel of Projects."

It'll have much of what we've seen already, but several sections will have more detailed views of what to expect from the Fantasyland Expansion in the Magic Kingdom, the further progress of Hong Kong Disneyland and more elaboration on what to expect from Shanghai. Hopefully they'll show some of the incredible models for that River Run project we mentioned a while back, or perhaps what is to be expected in the very different Tomorrowland.

But what I'm looking forward to is the presentation by Tom Staggs who I'm greatly happy is in charge of the parks instead of the soulless Jay Rasulo. I always thought he was a creativeless, bean counter and it's good to see he is in the proper position now. The management team of Burbank is quite better than it was a decade ago, but the WDW management team seems more of an enigma to me. I wish they seemed to care about the parks as much as Anaheim. I expect that Staggs knows the problems and will slowly over the next few years make the moves that will put people in power in Florida that can advance that resort to its full potential.

Until August...

Tom's Text...

Make us proud, Tom...




For those of you that weren't able to attend the Walt Disney Company's 2011 Investor Conference, I have a gift...

For those that are curious and those that like to read. For your perusal, here in full is Tom Staggs' speech to investors earlier yesterday:

I was reflecting, actually when I was, when I knew I was coming here, that one of thing things that I really liked about my old job was that all of you when you had issues you wanted to discuss, would call and talk about them. So shouldn’t there be a few more billion that you’re putting into share purchase or, you know, digital media that ultimately good or bad for the business. The answer is still good, by the way. And now I’m glad to see that that hasn’t changed. I got two questions last night about what time the gym opens, and another person wanted to know if I could give them FASTPASS assets, access for their kids. So, it’s good to know you still come to me for the big stuff.

It has been a fantastic year. It was weird to go sort of cold turkey, though on the regular cadence of investor meetings and quarterly conference calls. As you’d imagine, I’ve listened in to a number of the calls, and I can tell you this… I haven’t missed me a bit. In all seriousness, Jay has done a great job, as you’ve seen firsthand, of jumping into the role. And I’ve had a bit of jumping in to do myself as I’ve tried to travel through all of our locations and immerse myself as much as possible into the world of Disney Parks And Resorts.

Now, this day and age, there’s always someone around with a video camera, which allowed us to pull together a few clips to show you a little bit about what my last year has been about. Take a look.

So right after we shot that video, Gary Marsh marched me straight over to Bob Cavallo’s office at Hollywood Records. That meeting didn’t go so well. Really, though, it has been a really fun and fascinating year, and fulfilling as well. And it’s a great time to be in this job. As a number of you have pointed out, the parks are really well-positioned to take advantage of the economic recovery, which should help fuel strong growth for the segment over the next couple of years.

We will capitalize on that economic recovery as it solidifies, but at the same time, we have a significant number of long term initiatives underway in our business, and that’s really what I want to talk to you

So now having spent considerable time with you over the years, I know that when I say “initiatives” in the parks business, your thoughts immediately turn to capital requirements. And, to be sure, we are putting substantial capital to work – especially this year and in 2012. But let me say up front that I am very confident in our ability to create value with these investments.

Our principal financial objectives, for Parks and Resorts, are to deliver attractive double-digit returns on investment capital along with continued profit growth over the long term. As we look out over the next decade, we fully expect to deliver on those objectives. That confidence is bolstered by our tremendous competitive strengths and sources of differentiation in this business.

At Disney Parks, we are known for the iconic assets that we build -- our castles, hotels, cruise ships… but at the end of the day, these aren’t our core products. We aren’t in the attraction business, the hotel business, the cruise ship business… we are in the guest experience business. The great shared memories that guests cherish and create every day at our parks help keep people coming back year after year. Understanding that is essential to understanding how Disney’s unique assets and competitive strengths set Parks and Resorts apart. So let me briefly touch on four of these key strengths.

The first is, of course, the Disney brand. In the Family Travel and Leisure business, the Disney name truly stands apart. It’s uniquely powerful, is synonymous with quality, it evokes trust and it generates loyalty. It allows us to establish a connection with our consumers unlike any other company. We have the extraordinary benefit of having customers who actively seek a relationship with us, a relationship that is based on emotion and trust. And we understand that we must be relentlessly consumer-focused to sustain and grow those relationships. Our second major differentiator is the incredible wealth of fantastic intellectual property and creative talents available to us. At Parks and Resorts, we bring the company’s creative content to life in an immersive and tangible way. Many of our properties are evergreen, as Jay pointed out. They provide an ongoing source of strength and relevance for us. At the same time, the constant flow of stories, characters and music generated across the Disney company allows us to infuse our parks, resorts, cruise ships, etc. with vibrant new content on an ongoing basis.

The third competitive strength I want to touch on is our long-standing focus on leveraging technology and innovation throughout our business. While it may be chic to talk about innovation these days, it’s been a key focus at Disney since Walt famously said, “It’s kind of fun to do the impossible.” Trust me, if you spend time with our Imagineers, you’ll see that the drive for innovation is still inherent in everything that we do. And it’s inspiring because our opportunities to leverage technology and innovation are greater now than they’ve ever been.

The fourth strength I’ll highlight is one that I’m not sure we talk about enough, and that is our incomparable cast. It might surprise you, but in our research, people cite interactions they have with our cast as the single biggest factor in their satisfaction and intent to return. The excellence of our cast members is borne out of a deeply-rooted cultural commitment to quality and service that has been part of the organization for over half a century. What I’ve really come to appreciate this past year is that our cast’s commitment to guest experience is holistic – from designing our parks, attractions and resorts, to creating our entertainment offerings, and even down to the food that we serve - we want to wow our guests with every interaction.

Maintaining this culture of excellence across all the various disciplines required in our business is extraordinarily difficult, if not impossible, for others to replicate. The guest service orientation of our business does require a significant labor commitment, and operating labor comprises about a third of the segment’s cost base. But when so many of our guests single out interaction with our cast as the most important part of their visit, we know this continued investment is worth it.

So capitalizing and building on the key sets of competitive advantage that I’ve just listed is central to our investment decisions, and it’s an essential part of the initiatives we now have underway. Our current initiatives fall into three areas: Growing our established assets; Building out our new businesses; And expanding in geographic markets.

So looking first at our established assets, here at the Disneyland Resort we’re well under way with our expansion of Disney’s California Adventure. Since its inception, Disney’s California Adventure has featured some of Disneyland’s most popular attractions… But from the standpoint of delivering on the fundamental Disney differentiation and immersive storytelling, we missed the mark. So now, we are bringing more beloved characters, more atmosphere and more Disney DNA into it.

Last night you all saw World of Color, which opened just last summer. I hope you really enjoyed it. But I hope you also noticed that it’s not only astounding on a creative and technical level… it’s also firmly anchored by classic Disney characters, stories and music that people love. It’s been a huge hit with guests, and so far it’s been seen by over two million people. Since opening World of Color, through the end of our first quarter, attendance is up nearly 20% at Disney’s California Adventure. And that increase gives us even greater confidence in our ability to grow our attendance and better distribute it between the two parks.

This spring, we’ll open Little Mermaid – Ariel’s Undersea Adventure, and construction has already begun on Buena Vista Street, the re-imagined entry to the park that will transport guests into a romantic, idealized Hollywood of the 1920’s. In the summer we’ll open, of 2012, sorry, summer of 2012, we’ll open CARS LAND - a new 12-acre land that will transport guests to Radiator Springs and immerse them in the world of CARS.

Later this afternoon, Bob Weis, our lead Imagineer on this expansion, will give you a deeper look at our plans, and I think you’ll see that we’re transforming DCA into a park that is truly differentiated and truly Disney.

Meanwhile, we’re also investing for growth at Walt Disney World… which is, of course, our biggest and most profitable asset. For most of our guests, the centerpiece of a Walt Disney World vacation is a visit to the Magic Kingdom. And the most popular land in the Magic Kingdom is Fantasyland, with its iconic characters and popular characters. But Fantasyland has seen relatively little expansion since the park opened in 1971. Consequently, it can be extremely congested and difficult to
navigate on busier days. That decreases the number of experiences guests can enjoy, which in turn directly impacts guest satisfaction. With this in mind, we are well into the expansion that is the largest in the Magic Kingdom’s history, and it will double the size of Fantasyland once complete. By expanding the offerings of our most popular land, we have a real opportunity to drive guest satisfaction even higher.

And we know that when we increase guest satisfaction, guests spend more time and more of their vacation dollars with us… and intent to return and positive word of mouth increase as well. We also have an opportunity to better utilize some of our most beloved stories and characters in new attractions, dining experiences and immersive environments to create a differentiated experience that no one else can match, like Under the Sea: Journey of The Little Mermaid, which will take guests into the world of Ariel, Sebastian, Flounder and all their friends.

Not far from Ariel’s new home, guests will be able to relive their favorite moments from Beauty and the Beast in Belle’s Village and Beast’s Castle. One of the most popular attractions of the Magic Kingdom, Dumbo the Flying Elephant, will double in guest capacity, and will also feature a circus-themed interactive queue that will delight guests of all ages as they enter the Big Top.

Finally, we’re adding an innovative new mine coaster based on one of our most iconic and enduring films, Snow White and the Seven Dwarfs. This attraction will feature a new ride vehicle that we patented, which twists and turns on its track… adding atmosphere, kinetics and adventure to Fantasyland.

We have additional opportunities at our resorts as well. In 2013, we’ll open our new Art of Animation Resort at Walt Disney World. This new property celebrates some of our most popular animated stories, including The Little Mermaid, Lion King, Finding Nemo, and Cars. The resort will have nearly 2,000 rooms, including 1,200 family suites, giving us significant boost in our attractive value-priced room inventory. Now our value resorts, and especially our family suites, play an important part in providing our guests with a broad range of hotel and pricing options. They’ve been extremely successful and have generated some of the highest occupancy rates on our property.

We believe these initiatives in Florida and California will allow us to deliver attendance growth that outpaces population growth by several percentage points. By delivering better value, we also feel we can generate real increases in per capita spending. For example, we’re already seeing a pricing benefit from World of Color. While previously, crossing between Disneyland and Disney California Adventure was essentially free for people on a two-day passes, there is now a $10 premium to park hop.

In addition to focusing on expanding and enhancing our physical assets, we’re also spending considerable time and energy to fundamentally change the way our guests experience our properties. As we’ve discussed in the past, consumers are changing: they have increasing access to information, an increasing array of choices, and an increasing desire and expectation for recognition and personalization and recognition. So we need to transform the guest experience to reflect that.

We know that our guests love creating great Disney memories with their friends and their families. We also know that they don't exactly relish waiting in line, checking at the resort, worrying about missing their favorite attractions or feeling uncertain how to best navigate and access our properties. In the coming years, we’ll introduce a broad, integrated set of systems and tools that will help us create a more seamless, personalized experience, and help guests to get more out of their visit with us. That’s our ultimate goal – to welcome more and more people, while making their experience more satisfying, more personal and more immersive.

We’ve launched a number of initiatives over the years, including FASTPASS and Magical Express, and they’ve been incredibly popular with our guests. But we plan to take these kinds of enhancements even further. Giving our guests faster and better access to the fun is the centerpieces of our investment in technology. As a result, we are currently developing an innovative system that will, in essence, create a version of FASTPASS for their entire Disney vacations. Now we define the guest experience as beginning from the time a potential guest sits down at a computer or picks up a phone to make a reservation. Our new tools will help them better understand all that we have to offer and better plan their time with us. They’ll be able to create a personalized itinerary that gives them the exact Disney vacation they want.

Guests will be able to reserve times for their favorite attractions and character interactions… secure seats at our shows and spectaculars… make dining reservations… and pre-book many other favorite guest experiences – all before even leaving their house. We also plan to simplify the check-in process so that guests will arrive at the resort with room key in hand. They will be able to go straight to their room or a theme park – again, allowing them to get to the fun faster.

We are also creating innovative new ways to pull guests into our stories. A picture with a Disney princess is a quintessential part of a Disney experience for many of our guests. So, in Fantasyland at the Magic Kingdom, our Disney princesses will soon have dedicated homes complete with Disney magic. And the tools that we’re creating will allow them to greet and interact with our guests in an immersive and highly personalized way.

We are rethinking the queue lines at many of our attractions, and are enhancing them in ways that make them part of the show, essentially creating a new “Scene One” for the attractions, if you will. For example, the Winnie the Pooh attraction in Florida we just opened has a new hands-on area where our younger guests can explore and play in the Hundred Acre Wood. It’s been so successful that we’ve heard kids asking their parents NOT to use FASTPASS in order to enjoy the new first scene that much longer. You know we are doing something right if kids are asking to wait in line.

We’re also developing the means to better assess and manage guest traffic throughout our theme parks so that we can use entertainment experiences, characters, and other forms of Disney magic to help improve the flow of guests during peak periods… and drive increased utilization as a result for our parks. Through this work, we will put better information into the hands of our cast, so they can deliver even better and more personalized service for our guests. Now, it will be some time before we roll out the bulk of these initiatives, but we are well into development, and in fact have a number of patents pending on our approach. So it’s too early for me to say much more than that… but our vision here is clear, and we see a real opportunity to further enhance and differentiate the Disney vacation experience.

We’re excited about our growth prospects at our existing sites, but at the same time, we have a real potential at our new and expanding businesses, with the most important of these being Disney Cruise Line. Cruise is a great example of Disney’s competitive strengths giving us the opportunity to successfully enter a new area of the vacation industry. In so doing, we created the blueprint for family cruising. In fact, over a third of our passengers say they would not have chosen a cruise vacation if it hadn’t been for Disney. From stem to stern, our ships have been designed to deliver a great Disney cruise vacation for every member of the family.

We’ve carved out a very attractive niche in this business, generated strong returns, and created a new avenue for growth. But the most gratifying aspect is the response of our guests. Virtually everyone who sails with us says they will recommend the product to others. And over 80 percent say they will come back to cruise with us again within five years.

I was just on the maiden voyage of our new ship, and I met a couple who was on their 80th Disney cruise. No, not 8th, not 18th – 80th! Their 80th Disney cruise. I love them.

At the breakout session later, Bruce Vaughn, head of creative for Walt Disney Imagineering, is going to give you an overview of our two new ships - the just-launched Disney Dream and the Disney Fantasy, which arrives next spring. I think you’ll be impressed with how beautiful these new ships are and how innovative we’ve been in their design and development. There’s literally a surprise around every corner – from the magic artwork to the virtual portholes.

Expanding in cruise allows us to take more guests to more parts of the world and test new markets, as well. We have repositioned the Disney Wonder to the West Coast, which will allow us to take, to sail to Mexican destinations, and for the first time ever… to Alaska this summer. Now while we’ve incurred significant costs to launch the Disney Dream this quarter, we expect our new ship to start contributing nicely to our profits beginning in Q3. Our cruise business has generated double-digit returns, and we anticipate having a similar return for the business after the two new cruiseships come fully online. Given our capacity increase, I am particularly pleased that our booked occupancy across the fleet is 12 percentage points above where it was at this time last year.

Now just as we were able to create a unique Disney vacation experience with Disney Cruise Line, our aim is to do the same in Hawaii with Aulani… our first stand-alone family destination resort, which is scheduled to open in late August. We are creating a stunning vacation destination in one of the most beautiful places on earth that will allow us to deliver an incredible Disney experience that captures the very best of Hawaii. The project will feature 359 hotel rooms and 481 of our popular Disney Vacation Club villas. Like our cruise vacations, Aulani will offer something for everyone. It will feature: a family friendly lagoon; a pool and water play area that literally needs to be seen to be believed; dedicated clubs and activities for kids and teens; an 18,000 square foot spa; and access to special Disney-created guided tours and adventures on Oahu.

We know the Disney Parks brand is already powerful in Japan, but we’ve been pleasantly surprised by the interest in Aulani and Disney Vacation Club in the Japanese market. As such, we fully expect this to be both a domestic and international tourist destination.

The experiences we create translate extremely well across geographic and cultural boundaries. And in the longer term, we expect expansion outside the United States to be our most important growth opportunity. And in building great guest experiences and destinations and around the world, we also are laying important foundations for the Disney brand. As you know, our current principal focus in new markets is China, and we think our timing here is right. Roughly 30 million Chinese enter the middle class each year, which will lead to significant growth in leisure travel. In fact, spending on domestic leisure travel in China is expected to more than double to over $200 billion by 2015.

Our first entry into China is, of course, Hong Kong Disneyland, where we are celebrating our 5th anniversary. Last year, Hong Kong generated record attendance, hotel occupancy and guest spending… and that momentum has continued this year. We opened Hong Kong with an eye towards expansion, so I’m pleased to say that construction is currently underway in Hong Kong on three themed lands: Toy Story Land opens this fall and will take guests into the world of Buzz, Woody and all the toys from Andy’s room. We opened a similar version in Paris last summer and it’s been a huge hit with guests there. In 2012, we’ll open Grizzly Gulch, Hong Kong’s take on Frontierland, but this time we have an Old West mining town built on erupting hot springs. Mystic Point, opening in 2013, is reminiscent of the Haunted Mansion and features a Disney take on a widely-known Chinese character called the Monkey King.

With the addition of these three new lands, we expect the upward momentum we’re seeing at Hong Kong resort to continue. Bear in mind that more than 40% of visitors to Hong Kong Disneyland come from Mainland China. Given that our penetration rate in Southern China is currently just 1% per year, we certainly have room to grow.

As we announced this fall, we’ve signed an agreement with the Shanghai government to build a new theme park there, and are awaiting final approval from the central government in Beijing. Again, we think there is huge potential for a Disney property in Shanghai, and I couldn’t be more excited about our prospects there.

We are well into our blue sky development, and once Shanghai opens in about five years, we know we will have a park that is distinctly Disney, yet authentically Chinese.

Taken as a whole, we believe China is the most exciting opportunity we’ve had since Walt first bought land in Florida in 1964. Walt Disney Parks and Resorts is a dynamic business - one that will continue to be enjoyed by guest around the world for generations. It’s a business with high barriers to entry and sustainable competitive advantage that provides attractive opportunities for us to profitably invest our capital.

The current investments we’re making in our existing assets, new businesses and new geographic markets leverage and expand our competitive advantages, and they enhance our growth prospects over the near, medium and longer term. They are right for our brand and for our business, and they will help us create value for our shareholders for many, many years to come.

Thanks very much, great to see you all again.

I can't tell you how much I respect Staggs, and what a great improvement he is over Jay Rasulo. In fact, most of the management in charge right now is the best they've had in decades. The only caveat are some of the questionable management at Walt Disney World. The jury is still out with a few of them.

But Tom gives me the feeling that there could be a great big, beautiful tomorrow...

A Very Different Magic...

When you wish upon a nation with over a billion people...







So Tom Staggs gave us a peek at what Shanghai Disneyland will look like yesterday...

At a Walt Disney Company Investor's Conference yesterday, he released the first piece official artwork of the next Magic Kingdom styled park/resort. And the Net seems to be abuzz about it. Disney and More has a post talking about something Alain and I have had conversations about over the past few months.

It will be a very different kind of a Disney Park, breaking the mold that we are used to when entering that fabled Main Street. In fact, I've stated from my contacts, there won't be a traditional Main Street like what we're used to. Alain, has gone further and states that there won't even be a Main Street. The front entrance will be a very different experience when walking into this new, magical place.

But as you see in the artwork, it's very hard to make out details. Mainly that is by design. Disney has been burned before by cheap knockoffs of things that cost great resources to design and create. So when they make that official announcement during the groundbreaking in a few months, don't expect to see a great deal of detail. The Mouse doesn't want to release a lot of artwork to only have it have a carbon copy out before their park even opens.

Now back to that park. It certainly looks like a beautiful and unusual place, doesn't it? And that castle in the background doesn't look like any we've seen before. As well, as that, there is an extremely large amount of water around and within the park. And there's a large mountain over to the right that could be an Expedition Everest, re envisioned Matterhorn or as Alain says, a version of that elaborate Pirates of the Caribbean that Hong Kong Disneyland was supposed to get. Perhaps even some of the attractions from Tokyo DisneySEA will make it over in some form.

I know a lot of people bemoan Disney Suits for not thinking out of the box and continually copying the original style that Walt created, so in this instance you might get your way with a park that looks nothing like what you expect when you go into something called Disneyland.

Developing...

Stagg Party...

Creating a magical moment...



So a big event is being held tonight for the Fantasyland expansion of the Magic Kingdom...

Later this evening (7:00 pm Eastern) there will be a press event that further expands on the details of this expansion. Part of this is a result of leadership change. With Jay Rasulo moving over to the cold, hard numbers department where he belongs, Tom Staggs control of the project has resulted in some alterations. Tom has young boys, not girls and he listens to what they like and one of the things males don't like is princesses. At least not till they reach puberty.

So we can expect a little less focus on that matter. The inclusion of a Seven Dwarf's Mine Coaster which we broke here a long, long time ago and a mixture of some of the projects already approved and a few surprises. I haven't talked to Bothans about this project much, as most I deal with are more focused on West Coast comings and goings. That said, I've heard that the budget (approximately $300 million) has stayed relatively the same while the projects has shifted to be less girl-centric.

Come tonight, we'll get a better view of the road map that Tom has in store for Walt Disney World and the world of Disney Imagineering as well. This is a holdover project that Jay was working on that he's had to tinker with. It'll be interesting to see the next project he announces as it will likely be his own, and likely show the direction he (and Iger) are planning on going. But I trust him far than I do or did Rasulo. In my opinion, having Staggs there is a vast improvement and this is the best management that Disney Parks have had since the late 90's.

Now, if he can just do something about that WDW management...

From Postcards To The Past...

As many of you know, this week prep begins for the hubcap and bathroom tiles to come down...

We have to wait a little while before the alphabet joins it as most construction on the front takes place in the new year, but progress abounds. Once the metallic sun goes down, prep work will begin for the new weenie; the replica of the Carthay Circle Theater. The mosaic tiles will be slowly disappearing behind the California letters. The design, meant to appear as a postcard looking into the wacky world of the Golden State, never really connected with anyone. The artwork looked far better than the actual result, and the result didn't look that good. If you make theming that has to be explained then it's not good theming. A major problem is the fact that the real world the park was to represent, can be gotten outside for free. No need to pay almost $80 bucks for it.

The entire mark of the entrance (and park) were off. When you walk down the entrance, it doesn't take you out of the real world, it just tells you you're in a cheap replacement for it. Contrast this with Main Street U.S.A., which with each step you take, sends you into an idealised version of turn-of-the-century America. By the time you get to the hub, you've left reality and moved on to another world. One created by Walt and his dreams.

It's not the same over experience across the Esplanade. After moving that short distance from the gates to Sunshine Plaza, you're left wandering why you paid for something you can get outside. And usually better themed. That's a major mistake and one that made many a person not go through the turnstiles. I know a lot of people e-mailed me to say that I was saying the new theming is as good as DisneySEA. Anyone who says that hasn't been reading this blog for very long. No theme is as as strong as TDS, save for Disneyland itself. And both of those aren't perfect either. There are cases and places where things have been put that don't belong. That said, I accept the new layout and explanation for Anaheim's Second Gate. It works a great deal better than the original plan ever did. I like how the new plan is a compliment and be a flip on the whole concept of Main Street.

While Main Street U.S.A. is a romantic, idealized version of Marceline, Missouri that Walt saw in is days as a young boy and Disneyland is a reflection of his imagination. Buena Vista Street will be a romantic, idealized version of Los Angeles, California that Walt saw in his first years starting his company and California Adventure will be a reflection of the adventures created by his company. I like that. It's not perfect, but then again, the Arabian Coast in Tokyo DisneySEA is an attempt to wedge something from the desert, where there was no water anywhere to be seen, into an aquatic environment. And it works. You have to suspend your belief and reasoning when looking at it and also forget that the film makes no mention related to the ocean or water. But the Imagineers made it believable. DCA will have a connection to the magic of the Disney Brothers company that started in L.A. so long ago. The entire park will be transformed into the Disney experiences viewed through the times and themes of the state where Walt made it all happen.

And when it's all done in 2012, it won't be really done. There will still be work to be done. There always will be. But a kid coming into that new entrance is going to have a much better experience than the tykes that walked past those letters in February almost a decade ago. As time goes by, the theming and detail will get better and slowly we will forget the mess this park was in the beginning. Let's just make sure we never let the Suits forget.

The second decade of this park is going to shine like Sunshine Plaza never did...

Tomorrow Buy Two...

The tickets for the second D23 Expo will go on sell tomorrow...

If you are a Disney fan and didn't attend last years event, you really missed a great show. The Mouse really pulled off a great show, especially since it was their first one. There was great surprises, guests and an amazing show room with a great deal of beautiful WDI models.

I'm hearing that the goal of not having this in 2010 was to work on improving the quality even more for the next expo. As we get closer to the end of the year expect some exciting updates about the schedule.

Plus, at the coming Walt Disney Parks and Resorts, I can look forward to hearing from Tom Staggs instead of Jay speaking about the future of Disney Parks.

That's a big improvement right there...

Globe Trotting...

The head of Walt Disney Parks and Resorts, Tom Staggs, has been on a world tour of all the Disney Parks...

I wonder what he thought when he showed up at Tokyo DisneySEA? An amazing contrast to what he saw at the construction pit that has become DCA. I'll let you write the captions. But I must say, I'm quite impressed with Tom from the last few months. I've met him, informally last year and he's far more approachable than Jay. I also think he will/could bring a better perspective on the park(s) with those boys of his. Let's cross our fingers that he brings a positive perspective to world building (WDI style) and the future additions.

And let's be happy that Rasulo is focusing on cold, hard and soulless number crunching which seem to be right up his alley...

There Is A God, Um Maybe...

Wow, what to say, what to say...

A blessing, but a mixed blessing. If you haven't heard the news reported in the article at the New York Times, Jay Rasulo and Tom Staggs have switched rolls kind of like Lindsey Lohan did in that movie a few years back. Well, not exactly, but Staggs will take over Rasulo's job and Rasulo will take over Staggs.

While I'm immensely happy that Jay will no longer be screwing up the parks, it doesn't give me any comfort that he'll now be in charge of financial aspects of the Mouse. But then, maybe a bean counter like himself will fit far more in that role than as the head of a very creative part of the parks.

As for Staggs, I don't know him extremely well, but he has handled the Walt Disney Company quite well over the last few years. Having met him, he comes off as a far more likable guy than Jay, but that doesn't say much about him. His biggest problem for me was his use of a Blackberry instead of an iPhone. Found out some interesting opinions on Steve Jobs that day... but I digress.

I'll try and have more commentary to follow, but until then, here's the press release:

THE WALT DISNEY COMPANY ANNOUNCES EXECUTIVE CHANGES

THOMAS O. TOM STAGGS TO BECOME CHAIRMAN, DISNEY PARKS AND RESORTS

JAMES A. JAY RASULO TO BECOME SENIOR EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL OFFICER


BURBANK , Calif., November 12—In line with The Walt Disney Company’s goals of advancing its global businesses and brands while providing new opportunities and challenges to executives, Disney President and Chief Executive Officer Robert A. Iger announced today that two of the company’s most senior leaders would assume new roles at the end of the year.

Thomas O. Tom Staggs, Senior Executive Vice President and Disney’s Chief Financial Officer and 20 year Disney veteran, will become Chairman, Walt Disney Parks and Resorts. In his new position, Staggs will preside over the company’s vacation businesses, which span three continents and include five-world class destinations, a top rated cruise line and the most popular resort locations in North America, Europe and Asia.

James A. Jay Rasulo, Chairman of Disney Parks and Resorts and a 23-year Disney veteran, will become Senior Executive Vice President and Disney’s Chief Financial Officer. In his new role, Rasulo will oversee the company’s worldwide finance organization, corporate strategy and development, brand management, corporate alliances, investor relations, treasury and risk management activities, controller functions, information systems, corporate responsibility, real estate and taxes.

Both will remain members of the senior management group reporting to Iger.

“Jay and Tom are both dynamic and versatile executives, who have done a great job over the last several years and have helped me to shape Disney’s strategic direction,” Iger said. “By giving them exciting new challenges that build on both their strengths at a time when each of their respective areas are on the right strategic track, the change is good for them and good for the company.”

As CFO, Staggs has helped guide Disney through one of its most important periods of expansion and financial success while steering it effectively through two sudden global economic downturns in 2001 and 2008. Throughout, he’s been praised by Wall Street for his financial and communication skills and has consistently been voted the country’s top entertainment industry CFO by analysts polled by Institutional Investor magazine.

Working closely with Iger, Staggs has played a critical role in a wide variety of Disney’s strategic and operating initiatives, including the acquisitions of Capital Cities/ABC, Pixar and the pending acquisition of Marvel Entertainment. As CFO, he spearheaded Disney’s realignment of its performance goals toward a combination of profit growth and strong long term capital returns and free cash flow. He has also led company efforts to drive greater cost and capital efficiency throughout the organization and to put in place well-received company-wide environmental and healthy food policies.

“For over a decade, I’ve had a unique opportunity to build our business by collaborating with a group of great executives running a wide range of media and travel businesses,” said Staggs. “Taking the operational reins of one of our biggest and most complex businesses during the period of rapid global expansion launched by Jay is tremendously exciting and a challenge I’m really looking forward to.”

Under Rasulo’s leadership, Parks and Resorts has built on its traditional strengths as the world’s preeminent theme park operator to create a range of businesses that have made Disney a global leader in the family vacation industry.

As part of this growth strategy, Rasulo has overseen a major expansion of Disney’s California Adventure at Disneyland Resort, which culminates with the opening of Cars Land in 2012, and of Hong Kong Disneyland, where work is underway on the creation of three original new lands. He has also led negotiations with the Chinese government to begin development of a new theme park in Shanghai.

In addition to park expansion, Rasulo has been the principal architect of the growth of the award-winning Disney Cruise Line, which is currently adding two new ships, Disney Vacation Club and Adventures by Disney. Prior to becoming head of Disney Parks and Resorts in 2002, Rasulo greatly improved the operating performance of Disneyland Paris, now the number one tourist destination in Europe.

By emphasizing innovative marketing, strategic investment and financial discipline, Rasulo has also deftly managed the Parks and Resorts businesses through difficult periods, first as the unit’s President after tourism plummeted globally in the wake of 9/11 and later as Chairman during the 2008-09 economic downturn. Throughout, he’s been an important advocate for the tourism industry, serving as Chairman of the Travel Industry Association of America in 2006 and 2007. Rasulo was inducted into the Travel Industry Hall of Leaders in 2008.

“It’s been a tremendous honor to lead the almost 100,000 Cast Members, Crew Members and Imagineers during a period of unprecedented investment at Disney Parks and Resorts ,” said Rasulo. “I look forward to building on Tom’s success as CFO by working with Bob to advance Disney’s growth strategy, while continuing to strengthen our balance sheet and create shareholder value.”

Both Rasulo and Staggs are longtime Disney executives and both serve on the board of Euro Disney S.C.A., the French parent company of Disneyland Paris.

Rasulo joined Disney in 1986 as Director, Strategic Planning and Development, advancing to more senior positions there, and later became Senior Vice President, Corporate Alliances. He then led Disney Regional Entertainment before moving to Paris as President, Euro Disney before eventually becoming its Chairman and CEO in 2000. A native New Yorker, Rasulo has a degree in economics from Columbia University and both an MA in economics and an MBA from the University of Chicago. Before joining Disney, he held positions with Chase Manhattan Bank and the Marriott Corp.

Staggs joined Disney in 1990 as Manager of Strategic Planning and soon advanced through a series of positions of increased responsibility, becoming Senior Vice President of Strategic Planning and Development in 1995 before becoming CFO and Executive Vice President in 1998. Born in Illinois, Staggs received a BS in business from University of Minnesota and an MBA from Stanford University. He worked in investment banking at Morgan Stanley & Co. before joining Disney.

About The Walt Disney Company
The Walt Disney Company, together with its subsidiaries and affiliates, is a leading diversified family entertainment and media enterprise with five business segments: media networks, parks and resorts, studio entertainment, consumer products and interactive media. Disney is a Dow 30 company with annual revenues of approximately $36 billion in its most recent fiscal year.