Disney selling stake in E!...

[sediment]

...to Comcast.

http://biz.yahoo.com/bizj/060314/1259079.html?.v=3

Probably first of many divestments to cable companies.

$1 billion could be helpful to DCA.

[cellarhound]

Re: Disney selling stake in E!...

It isn't a done deal yet...

I would use that billion to buy out CBN's interest in the ABC Family.

[zach1]

Re: Disney selling stake in E!...

I love the idea. E! and Disney doesn't make any sense to me.

[sediment]

Re: Disney selling stake in E!...

I love the idea. E! and Disney doesn't make any sense to me.

Only as a promoter for Disney products. Buy up enough interest in "news" networks, and you can push them around.

[Speedway]

Re: Disney selling stake in E!...

$1 billion sounds worth it. Would E! bring much revenue in for Disney? Well, for its worth?

[cellarhound]

Re: Disney selling stake in E!...

I would say that this is moving toward divesting in live action films... Which may be a good idea...

Shaggy Dog didn't do so well at the box office... Many investors where expecting $30 million opening of the Tim Allen star vehicle... but it only made about 15... The Studeo is getting hammered, beaten into submission by other films...

Selling E! and some of the other cable network properties make sense...

[Doopey1]

Re: Disney selling stake in E!...

Shaggy Dog didn't do so well at the box office... Many investors where expecting $30 million opening of the Tim Allen star vehicle... but it only made about 15... The Studeo is getting hammered, beaten into submission by other films...

With the exception of "Eight Below", which was humming along quite nicely until (as I believe) "Shaggy Dog" came and cannibalized its audience.

[cellarhound]

Re: Disney selling stake in E!...

Both films aren't exactly qualified hits, but they aren't losing money... Shaggy Dog isn't going to lose money...

[sediment]

Re: Disney selling stake in E!...

I would say that this is moving toward divesting in live action films... Which may be a good idea...

Shaggy Dog didn't do so well at the box office... Many investors where expecting $30 million opening of the Tim Allen star vehicle... but it only made about 15... The Studeo is getting hammered, beaten into submission by other films...

How about divesting in remakes -- live, animated, animated-to live, live-to-animated,...
It smacks of Eisnerism: "Get me some product! Go through the 60's film vault and update them!, Yeah, that's it! Minimal creativity and maximum dollars! No, they won't be home runs! That's too risky! Get me some singles and doubles, so my bonus comes through!!"

[sediment]

Re: Disney selling stake in E!...

Both films aren't exactly qualified hits, but they aren't losing money... Shaggy Dog isn't going to lose money...

Meh, it's a single. I'll wait for the homer from Pixar's group.

[Cmash95]

Re: Disney selling stake in E!...

I think they should divest themselves of all of their " stakes" they got when they bought abc. They own part of lifetime, E and I think A&E, ( not sure about the last one though) if they don't have controlling interest, then sell it. that would leave them with espn,abc family, disney, toondisney, and soapnet and lots of money to either start another channel( maybe a vault disney type aimed at babyboomers.) or reinvest in the parks or the studios. Live action will always be a part of the disney culture, the studios can't exist on animation alone. the shaggy dog opened against " failure to launch." and owen williams is a big hit right now. 15 million is a good start. let's see what it does this week and the weeks during spring break before a decision is made on whether or not it's a hit.

[Jessicalover]

Re: Disney selling stake in E!...

Truthfully I feel it maybe for the best if they did this. I have always felt that Disney was overextending themself and watering down the brand by getting involved with these other companys like E. I really believe they need do divest in the majority of them and refocous on making Disney a strong company again.

[cellarhound]

Re: Disney selling stake in E!...

One of the interesting trends in cable and in media that I find interesting is we have reached a new phase... The last phase of mass media was specialization... So we have a plithera of channels out there selling content, and diluting viewer base which means less advertising sales...

I think perhaps we have reached the next phase: consolidation.

[MickeyMania]

Re: Disney selling stake in E!...

Both films aren't exactly qualified hits, but they aren't losing money... Shaggy Dog isn't going to lose money...

It's VERY difficult to lose money making a movie these days, the way the studios have it set up. For instance, King Kong will make money, but it was a bomb.

Furthermore, nobody I talked to wanted a Shaggy Dog remake. It was hard to find anyone who could speak fondly of the original.

[cellarhound]

Re: Disney selling stake in E!...

Furthermore, nobody I talked to wanted a Shaggy Dog remake. It was hard to find anyone who could speak fondly of the original.

Considering that this is the third manifestation of Shaggy Dog franchise...

I think that this manifestation had the least going for it...

[Cmash95]

Re: Disney selling stake in E!...

i loved the shaggy dog with fred macmurray. i remember that one but I dont remember the second manifestation... and i look forward to seeing the third this weekend

[Doopey1]

Re: Disney selling stake in E!...

For instance, King Kong will make money, but it was a bomb.

C'mon now, "King Kong" wasn't a bomb. It's made $217 million domestic plus another $327 million overseas (so far). Now given it's budget was $207 million it would be a "disappointment in relation to cost", but in no way can you call it a "bomb".

However, movies can lose money. "Treasure Planet" lost money. "The Alamo" lost money.

[MickeyMania]

Re: Disney selling stake in E!...

C'mon now, "King Kong" wasn't a bomb. It's made $217 million domestic plus another $327 million overseas (so far). Now given it's budget was $207 million it would be a "disappointment in relation to cost", but in no way can you call it a "bomb".

Except that it would need about twice that much in sales to be where it was supposed to be months ago. Which goes to prove my point. Executives were expecting $110 million domestic from the first weekend alone.

[Doopey1]

Re: Disney selling stake in E!...

Well, I think the expected $100 million opening weekend was more media hype than anything else. I certainly don't have access to any internal Universal stuff, but I would think their cautiously optimistic expectation would be that "Kong" would make somewhere between $300-350 domestic. That would have put it in line with the Lord of the Rings films. So yeah, it fell about a $100 million short of that. So you are right that it was a disappointment, but I just think calling it a "bomb" is a stretch.

Of course, Universal's loss was Disney's gain, as I think Narnia surpassed most people's expectations.

[pancakesaregood]

Re: Disney selling stake in E!...

Disney selling E!, it seems strange, as it has stakes in the some of biggest channels on cable: ESPN, Lifetime, A&E, E!, and so, it seems strange as it would give away part of their share of the cable market.

I always thought it would have been funny to see E! on Hollywood Pictures Backlot at DCA, heck if they filmed one of the shows that are worth watching...well basically it's The Soup and the rest is countdowns of why celebrities have more than you..