Photo by John Schreiber.
Photo by John Schreiber.

The Walt Disney Co. Board of Directors is extending Robert A. Iger’s contract as chairman and chief executive officer for two years, through June 30, 2018, the company announced Thursday.

Orin C. Smith, independent lead director of the Disney board, called Iger, 63, “the architect of Disney’s current success, with a proven history of delivering record financial results for the company quarter after quarter and year after year.”

“Under his tenure, Disney has reached unprecedented creative and financial heights, driving the stock price to record levels and creating extraordinary value for shareholders,” Smith said. “He has transformed Disney’s culture and empowered its businesses to effectively capitalize on evolving markets and new technologies, making Disney a company that doesn’t merely embrace change, but leads it.”

Smith said that since Iger became CEO in 2005, “total shareholder return has increased to 311 percent, compared to just 92 percent for the S&P 500, and Disney’s market capitalization has risen to $150 billion from $48.4 billion.”

Smith credited Iger for Disney’s “acquisitions of Pixar, Marvel and Lucasfilm, the resurgence of Disney animation, and the dramatic expansion of its parks and resorts around the world, positioning the company for continued long-term growth.”

The annual compensation terms in Iger’s existing contract will not change. Hhe will have the opportunity to earn a performance-based retention bonus if certain financial performance goals — to be detailed in a filing tomorrow — are met over a five-year period ending with fiscal year 2018.

“I’ve had the privilege of being the CEO of this great company for nine years and am thrilled to have the opportunity to continue through June 2018,” Iger said. “I’m very excited about what lies ahead, including the release of our Star Wars films and the launch of Shanghai Disneyland, and I’m honored to continue working with our talented management team and the 175,000 dedicated people who make this company what it is today.”

City News Service

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