Ousted Disney exec told DeSantis 'you're right' in fight with media giant

Alexandra Canal
·Senior Reporter
Wed, April 5, 2023 

Ousted Disney (DIS) executive Ike Perlmutter, who was let go as the company began its first round of mass layoffs last week, told Florida Governor Ron DeSantis he was "right" in his ongoing battle with the media giant.

In a new interview with The Wall Street Journal, 80-year-old Perlmutter, who served as chairman of Marvel Entertainment, said he told the governor last year: "Ron, you’re right. Disney doesn’t have the right to get involved with politics, and you know, I’m the largest individual shareholder."

Perlmutter, who owns a reported 30 million shares of the company, equating to roughly $3 billion, said he warned executives, "Don’t get involved in politics. You’re going to get hurt. It’s a no-win situation."

Isaac "Ike" Perlmutter, an Israeli-American billionaire, and the CEO of Marvel, walks down the steps of Air Force One at Andrews Air Force Base in Md., Monday, Feb. 6, 2017. (AP Photo/Susan Walsh)

Perlmutter's comments come after CEO Bob Iger defended the company's actions during its annual meeting of shareholders on Monday.

"A company has a right to freedom of speech just like individuals do," Iger said, adding DeSantis' policies are "anti-business" and "anti-Florida" as the politician looks to strip Disney of its self-governing powers.

The fight stems from what has largely been seen as a politically-targeted response over the Disney's reaction to the so-called "Don't Say Gay" law, which forbids instruction on sexual orientation and gender identity from kindergarten through third grade. In 2022, then-CEO Bob Chapek denounced it at the company's annual shareholder meeting after initially deciding not to speak publicly on the matter.

In response, DeSantis signed a bill into law that allows him to take control of the company's long-standing special tax district, formerly known as Reedy Creek.

Earlier on Monday, DeSantis asked Florida's inspector general to look into a last minute agreement signed by the previous Reedy Creek board that essentially renders the new oversight committee, appointed by DeSantis, powerless.

Walt Disney CEO Bob Iger attends the European premiere of "The Lion King" in London, Britain July 14, 2019. REUTERS/Henry Nicholls

The company is looking to slash $5.5 billion in costs. More job cuts will hit the media giant later this month and right before the summer to reach the previously announced 7,000-job target, Iger said in an internal memo obtained by Yahoo Finance.

In addition to the layoffs announced in February, Disney also disclosed plans to restructure the organization into three core business segments: Disney Entertainment, ESPN, and Disney Parks, Experiences and Products.

At the time, Iger said the new strategic organization, "will result in a more cost-effective coordinated and streamlined approach to our operations."

Perlmutter told The Journal he's convinced he was fired because he pushed for more aggressive cost-cutting: "I have no doubt that my termination was based on fundamental differences in business between my thinking and Disney leadership, because I care about return on investment."

Perlmutter said he repeatedly expressed concerns over the company's excessive spending, particularly around its Marvel film productions.

"All they talk about is box office, box office," Perlmutter said. "I care about the bottom line. I don’t care how big the box office is. Only people in Hollywood talk about box office."

Overall, Perlmutter said his firing was "merely a convenient excuse to get rid of a longtime executive who dared to challenge the company’s way of doing business."

The former executive's concerns echoed those of activist Nelson Peltz, who staged a highly publicized proxy battle with Disney in an effort to push for additional cost cuts, operational adjustments, a post-Iger successor, and a reinstatement of the company's dividend.

Peltz officially ended his fight in February after the company announced its restructuring plans.

"My experience with any major corporation, when they’re having problems and they don’t have the free cash or whatever it is, usually people like Nelson Peltz know how to put it back on track," Perlmutter said.

"I learned one thing about creative people my whole life: You cannot give them an open credit card.…They’re doing this for 30 years, why would they change?"