LPWire: Eisner, Staggs and Iger's Presentation at the 2003 Shareholders Meeting
Disney Shareholders Return 13 Directors to Office, Soundly Reject Four Shareholder Proposals
Chairman and CEO Michael D. Eisner assures shareholders that Disney is focused on right priorities and is managing company for the long term
Shareholders of The Walt Disney Company today displayed strong support for the company's Board of Directors and received assurances from senior management that the long-term growth prospects for Disney remain bright.
Chairman and CEO Michael Eisner assured investors that the Disney management team is focused on the right priorities to drive growth over the long term.
"The international situation is having a direct effect on a number of our businesses, nevertheless we continue to manage your company for the long-term," Eisner told shareholders. "Disney has been through turbulent times before. As long as we consistently provide the best in entertainment and manage our businesses effectively, our company will prosper."
Shareholders voted as recommended by the Board of Directors on all seven proposals presented, including election of 13 existing directors to one-year terms, ratification of PricewaterhouseCoopers LLP as the company's independent accountants for the current fiscal year, and approval of an amendment to the 1997 Non-Employee Directors Stock and Deferred Compensation Plan.
Shareholders overwhelmingly rejected four proposals offered by individual shareholders.
CFO Tom Staggs told shareholders that, as the company has cautioned before, continued uncertainty due to the potential for war and threats of terrorism has had a negative impact on travel and tourism to Disney's theme parks in Florida, although the company continues to see improved visitation to the Disneyland Resort in California. Overall declines in U.S. retail sales are also affecting results at the Disney Stores, although Staggs expressed confidence in the positioning and momentum of the company's merchandise licensing business.
"We are addressing current performance issues and managing through a difficult environment," Staggs told shareholders. "At the beginning of the year we set earnings targets predicated on a continued improvement in the economy and the travel industry, but that improvement has stalled, which will likely result in more moderate growth for this year. Even so, it is important to recognize that despite near term issues, the tremendous strength of Disney's unrivaled brands, characters and entertainment franchises is undiminished."