In First Public Comments Since Firing, Chapek Hints At Disney Being Cash Strapped

It’s been nearly 18 months since Disney CEO Bob Chapek was relieved of his duties, only to be replaced as the head of the Walt Disney Company by his predecessor, Bob Iger. Since that time, Bob Chapek has maintained a relatively low profile.

However, for the first time since his firing as Disney CEO, Bob Chapek sat down for an interview with CNBC for their documentary on ESPN’s digital strategy and switched to a streaming-only platform. Chapke was critical of Bob Iger’s decision to seek a “strategic partner” and questioned if the Walt Disney Company was only making this move for the “money.”

Chapek said: 

Strategically, I don’t really see a benefit in bringing on yet another minority partner into ESPN. There’s already one minority strategic partner in Hearst. So this would be bringing on a second minority strategic partner. Obviously, the benefit of doing that is that you make available some cash. And given some of the conversation that’s been happening between Comcast and Disney in terms of needing to buy the final share of Hulu to make it wholly owned by the Disney company, it’s possible that maybe that cash itself is what they’re after.

CEO Bob Iger announced last summer that Disney sought a “strategic partner” for ESPN as the company contemplates the network’s future. Iger also announced that ESPN would switch to a streaming-only platform by 2025. The NFL has emerged as a possible strategic partner for the Worldwide Leader in Sports, but other sports leagues have also shown interest in teaming up with ESPN.

The Walt Disney Company only owns 80 percent of ESPN, while Hearst Media owns 20 percent of the company.

But Bob Chapek’s comments that Disney is after the “cash” may be on the mark. CEO Bob Iger finds himself in the middle of a proxy battle against activist investor Nelson Peltz, as Disney films have been struggling at the box office and Disney Park, including Walt Disney World, have not been the cash cows that they usually are.

Related: Hey Iger, Want to Win Your Proxy Battle, Bring Back The Old Fast Pass System

In his attempts to stave off the proxy battle, Iger has announced new film projects and new experiences coming to Disney Parks. And Wall Street has responded to Bob Iger’s announcements. Disney Stock has increased nearly 20 percent since Nelson Peltz launched his proxy battle.

As for Chapek, he walked away with more than $20 million when he was fired by the Walt Disney Co. Iger has since dismantled nearly all of Chapek’s moves as CEO.

Iger has agreed to stay at Disney until 2026; however, there is no clear successor in place, and the Disney Board hopes to have someone so that Iger can train them before leaving. They are hoping not to see a repeat of the disastrous reign of Bob Chapek as Disney CEO.

What do you think of Bob Chapek speaking out against Iger’s moves? Let us know in the comments.