Board Criticized for Lack of Action
30, 2004 - NEWSdial.com)
Roy E. Disney and Stanley P. Gold are accusing the Walt Disney
of complete indifference to the will and interests of its shareholders
by reaffirming its unconditional support for Michael Eisner and
its commitment to the status quo.
a statement, Disney and Gold said the following:
Board this week has demonstrated that this is truly a 'Do Nothing
Eisner Board. It continues to march blindly and loyally behind
Mr. Eisner, ignoring a staggering 45% no confidence vote against
Mr. Eisner by the shareholders at the Company's Annual Meeting
and a 72% no confidence vote from the Company's 401k Plan participants.
are disappointed, but not surprised, that the Disney Board did
not deal with the question of Mr. Eisner's succession, even though
the company repeatedly stated in advance of the Board meeting
that succession would be a central focus of the two-day board
retreat. It appears that the only 'succession plan' is to keep
Mr. Eisner as CEO for as long as he wants. Merely reviewing and
supporting the existing in-house executive team is too little,
and too late. The real solution to the Company's leadership problems
must be sought elsewhere.
appears that the Board remains untroubled about the chaos at
its ABC Television Network, the poor performance of the ABC Family
Channel, the recent disappointing performance of its film division,
the loss of critical relationships such as Pixar and sagging
employee morale. Additionally, a major national magazine recently
named Mr. Eisner one of the worst CEOs in the nation, giving
him a grade of 'F'.
these facts, this board has participated in Michael Eisner's
costly lobbying campaign to preserve his job. It really makes
you wonder, what it will take for this Board to act independently
and responsibly on behalf of the Company's shareholders.
the Board continue to remain unresponsive to its shareholders,
we are confident we can put together a Board that will act in
the shareholders' interests. The sad reality for Disney shareholders
is that they have a 'lame duck CEO' and a 'Do Nothing Board'
-- both oblivious to the serious decline in long-term performance.
Once again, we ask, 'what will it take to get this Board to do
the right thing?'"
Disney Related Articles:
70% of Voting Disney 401k Holders Cast "No Confidence" on
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