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The Walt Disney Co. installed Josh D\u2019Amaro as chief executive Wednesday, beginning a new chapter for the storied Burbank entertainment giant.<\/p>\n
Bob Iger passed the reins during Disney\u2019s virtual annual meeting of shareholders, completing the company\u2019s high-stakes and tightly choreographed<\/a> changing of the guard. After spending two decades molding Disney into a media colossus, Iger segued into a senior advisory role, which will run through December when he officially retires.<\/p>\n The leadership shift comes amid an upheaval in Hollywood as traditional companies wage a desperate battle for survival.<\/p>\n \u201cWhile others in our industry are consolidating just to compete, or struggling to be relevant in a fragmented and disrupted world, Disney is in a category of one,\u201d D\u2019Amaro said during a recorded segment broadcast at the meeting. \u201cThis next chapter will be driven by staying focused on world-class creativity, enhanced by technology, bringing unforgettable stories to audiences wherever they are.\u201d<\/p>\n D\u2019Amaro, 55, becomes the ninth leader in Disney\u2019s 102-year history. He was selected last month by Disney board members after a more than two-year internal bakeoff among high-ranking division leaders. Board members were impressed with his business acumen, charisma and his deep love for Disney and its storied history. <\/p>\n D\u2019Amaro inherits a company that is beloved by millions, generates $94-billion-a-year in revenue and employs 230,000 people.<\/p>\n He faces enormous challenges as he steers the company through a turbulent media environment and tense geopolitics. The war in Iran prompted a sharp increase in fuel costs, which could become a drag on Disney\u2019s critically important tourism business. Executives already already have signaled \u201cheadwinds\u201d in international visitation at theme parks this year. <\/p>\n Lingering Middle East tensions also could weigh on Disney\u2019s plans for a new Persian Gulf waterfront theme park and resort near Abu Dhabi.<\/p>\n D\u2019Amaro, who served as parks and experiences chief until Wednesday, got his corporate start at Disneyland 28 years ago. <\/p>\n \u201cLike so many of you, my connection to Disney goes back to my childhood, long before I began my career here,\u201d D\u2019Amaro told shareholders. \u201cI grew up in a \u2018Disney family.\u2019 We watched \u2018The Wonderful World of Disney\u2019 on Sunday nights. I was 10 years old when my family visited Disneyland for the first time. … Disney has always been a place of imagination, innovation, and infinite potential.\u201d<\/p>\n Disney previously announced a $60-billion, 10-year expansion program, but it must strike a balance by keeping attractions true to their nostalgic core. In Anaheim, the expansion could result in at least $1.9 billion of development.<\/p>\n Disney also must turbocharge the animation business, manage revenue declines from its traditional linear television channels, including ESPN and ABC, and fortify its streaming services to remain among the leaders in the field. <\/p>\n \u201cDisney+ will continue to evolve beyond a traditional streaming service to become the digital centerpiece of our company,\u201d D\u2019Amaro said, calling the service \u201ca portal that connects our stories, experiences, games, films, and more in entirely new ways.\u201d<\/p>\n He mentioned the company\u2019s efforts to unify Disney+ and Hulu later this year.<\/p>\n Disney also must learn how to exploit new technologies while safeguarding its characters and franchises.<\/p>\n \u201cWe will continue to develop and embrace new technologies to empower our storytellers \u2013 but never at the expense of our characters and worlds, our creative partners, or the trust people place in us,\u201d D\u2019Amaro said. \u201cBecause Disney at its core is a company that celebrates human creativity.\u201d<\/p>\n Board members recognized that D\u2019Amaro lacks deep connections among Hollywood\u2019s writers and producers so it created a new management structure that elevates longtime television executive, Dana Walden, to chief creative officer and the company\u2019s first woman president. <\/p>\n ESPN will continue to be managed by Jimmy Pitaro and Disney Entertainment, Studios chairman Alan Bergman will remain in his influential role overseeing film studios including production, marketing and distribution, and sharing oversight for streaming programming with Walden.<\/p>\n D\u2019Amaro\u2019s total compensation package is valued at about $40 million a year, including a $2.5 million annual base salary, $26.2 million in annual long-term stock incentives, a cash bonus and a one-time promotion award of $9.7 million.<\/p>\n Iger first stepped into the CEO role in 2005; his first 15 years were almost magical. <\/p>\n