Economic Downturn Hits Disney

The global economic downturn hit Walt Disney Co's quarterly results harder and faster than Wall Street expected, with the company on Thursday reporting a sharp decline in hotel bookings and softness in advertising revenue at its networks.

Disney's shares slid 9 percent in extended trade but recovered a bit after executives announced plans to discount stays at Walt Disney World to stimulate bookings in the first half of 2009.

Read the whole story here.

Comments

[harriettubman]

Disney World was always too expensive for the average family anyway. We went a few years ago and I couldn't believe the costs. We spent over $50 for lunch in the parks. The admission cost is too exorbitant too. Why should it cost almost $70.00 for a child's admission?

Even Six Flags charges Disney World prices. I stopped going there.

[Zingaro Zorro]

More blank checks for big businesses that cared nothing about the middle class who buy their goods and services--accompanying the death of Reaganomics.

[vippy]

And they are still lying to us, saying the HOUSING MESS caused this problem when it is in fact the
gas prices that broke America's back! Everyone needs to get to work and it affected everyone.
Housing only affected the few that had a problem but for some reason the politicians needed to blow
that up in order to get the bailout money. Don't you see, they protected their investments and their
money while they said no to the car companies, those who would save millions of job. What does that tell you - they don't care about us! And they still don't control the gas prices, we are still being over-
charged as gas should sell for $ 1.40 as the trading shows yet they are asking $ 2.09 for it. And still
every little fluctuation causes the oil to rise or to go down. Congress/Senate need not have oil
investments and we see their lack of trying to stabilize it again.

[SirJamezhill]

Finally, the bottomless pit of money that Disney thought the world had has caught up with them. All I can remember is Disney will raise prices again. Family of four now $375?? Disney owes us something for putting up with their crap all these years.

[Chaucea]

Well gee. It's not exactly like Disney is a friggin' necessity! :-P

[jerrypl]

No kidding, Disney. You folks just realized it would hit you? Your costs are enormous and people just cannot afford your parks like they used to. They need their income to pay for gas and heat this winter, and auto repairs, debt and mortgage payments to reduce their debt. Disney, you just figured it out? Las Vegas has been feeling the hit for months!

http://eye-on-washington.blogspot.com

[totalliberal]

What part of the business model of cutting wages, destroying unions and cutting health and retirement funds did the business community not get. Um..... No money, no purchases.

Small thinking people have controlled the business community to their own demise.

[vandegrasse]

No more Zach and Cody? No more teenie rock crap! What a pity.

[strangerinthenight]

Another bad news. Stores are cutting down hours, lay off notices etc. Not a good sign.

[jcd8822]

They need to contact Nancy Pelosi for a blank check like Detroit is doing.