Disney parks to consolidate some operations
Originally reported on Reuters
Walt Disney Co said on Wednesday it will consolidate some “back of house” operations, including menu planning and ride design, at its two U.S. theme parks to try to offset the effects of the global economic downturn.
The reorganization is effective immediately and will result in new job cuts, but the company would not specify how many.
Disney Parks Chairman Jay Rasulo said “economic realities” required the company to focus and streamline its operations in a way that “eliminates redundancies.”
Earlier this month, Disney’s parks division reported a 24 percent drop in quarterly operating income and a 4 percent revenue decline in part due to slowing consumer spending.
The new organization calls for Walt Disney Imagineering, the parks’ engineering and design teams, to be consolidated into a single group that handles attractions for all parks.