Disney Admits Woke Strategy Pivot Has "Adversely Impacted" The Company, SEC Filing Reveals
Authored by Patricia Tolson via The Epoch Times,
After years of unsuccessfully trying to force its woke agenda upon its customers, the world's largest family entertainment company is finally admitting there may be some truth to the saying coined by Florida Gov. Ron DeSantis: "Go Woke. Go Broke."
According to its latest filing with the United States Securities and Exchange Commission (SEC), the Walt Disney Company acknowledged that it faces "risks relating to misalignment with public and consumer tastes and preferences for entertainment, travel, and consumer products," and that "revenues and profitability are adversely impacted" when their "entertainment offerings and products" don't "achieve sufficient consumer acceptance."
Conversely, it describes itself as "a diversified worldwide entertainment company" with "Diversity, Equity and Inclusion" objectives that include "building teams that reflect the life experiences of our audiences, while employing and supporting a diverse array of voices in our creative and production teams."
According to the filing, the company's revenues for fiscal 2023 were $88.9 billion. While this was a seven percent increase over fiscal year 2022, The Hollywood Reporter noted that Disney was forced to cut spending on television and movie content from $29.8 billion to $27.2, and Business Insider reported in May that Disney entered its third round of layoffs, releasing around 7,000 employees, and scrapping plans to build $900 million corporate campus in Florida.
"The success of our businesses depends on our ability to consistently create compelling content," it said further in its filing, noting that, "Such distribution must meet the changing preferences of the broad consumer market."
"The success of our theme parks, resorts, cruise ships and experiences, as well as our theatrical releases, depends on demand for public or out-of-home entertainment experiences," it said, adding, "Demand for certain out-of-home entertainment experiences, such as theater-going to watch movies, has not returned to pre-pandemic levels.
But despite producing a string of 'woke' box office flops—Strange World, Lightyear, The Marvels, and the live-action remake of The Little Mermaid—The Daily Caller revealed that the company has launched a new “pronoun pins” program for its employees at the Epcot Center, which drew immediate backlash.
Overall, Disney says, "The price of our common stock has been, and may continue to be, volatile."
According to the New York Stock Exchange, Disney's stock is tanking rapidly.
Disney also admitted that "Damage to our reputation or brands may negatively impact our Company across businesses and regions," and "Potential credit ratings actions, increases in interest rates, or volatility in the U.S. and global financial markets could impede access to, or increase the cost of, financing our operations and investments."
Disney Versus DeSantis
As reported by The Epoch Times, Walt Disney Parks and Resorts filed a lawsuit against Florida Gov. Ron DeSantis and the hand-selected board that oversees Disney’s special taxing district on April 26.
According to the complaint, Disney accused Mr. DeSantis of engaging in “a targeted campaign of government retaliation” as “punishment for Disney’s protected speech.”
The Disney-DeSantis war began in 2021 when the family theme park issued a COVID-19 vaccination mandate for its employees in July 2021. Mr. DeSantis responded on Nov. 18, 2021, by banning vaccine mandates in the Sunshine State.
In March 2022, caving to pressure from activists in the LGBT community, Disney CEO Bob Chapek officially denounced the governor's Parental Rights in Education legislation, dubbed by critics as the "Don't Say Gay" bill. He also sent a message to all employees, “especially [the company's] LGBTQ+ community,” apologizing for not acting sooner and announcing that Disney would pause all political contributions in the state.
The following month, Mr. DeSantis retaliated with a threat to repeal the 1967 Reedy Creek Improvement Act (RCIA), which established a special jurisdiction and taxing district for Disney World.
On April 22, 2022, he followed through by signing Senate Bill 4C into law.
The escalation continued until Disney finally filed its lawsuit in April 2023.
On Nov. 17, the Orlando Sentinel reported that U.S. District Judge Allen Winsor will hear arguments on Dec. 12 regarding Disney's contention that retaliation by the Sunshine State is unconstitutional.