Two years after Bob Iger stepped down as CEO of The Walt Disney Company and almost a year after he left the company board, Disney announced late Sunday that Iger was back as CEO, replacing his successor Bob Chapek, who was fired.
According to Disney's release, Iger, 71, will serve as CEO for two years and has two main objectives: "to set the strategic direction for renewed growth and to work closely with the board in developing a successor to lead the company at the completion of his term."
"I am extremely optimistic for the future of this great company and thrilled to be asked by the Board to return as its CEO," Mr. Iger said in a written statement. "Disney and its incomparable brands and franchises hold a special place in the hearts of so many people around the globe—most especially in the hearts of our employees, whose dedication to this company and its mission is an inspiration. I am deeply honored to be asked to again lead this remarkable team, with a clear mission focused on creative excellence to inspire generations through unrivaled, bold storytelling."
So, how much will Iger make as CEO?
According to a recent filing with the U.S. Securities and Exchange Commission:
- Iger will receive a yearly base salary of $1 million
- Is entitled to a performance-based bonus of up to $1 million (could be less than, more than, or equal to)
- Up to $25 million in stock options (60% restricted stock units, 40% stock options)
If all awarded at 100% percent, Iger would receive at least $27 million a year, according to the figures in the filing.
That same filing also noted that The Walt Disney Company terminated Chapek as CEO, and that he then resigned from the company's Board in line with his contract. Chapek will receive separation benefits in his employment agreement, Disney said.
Prior to Chapek's firing, Disney confirmed in a memo to its employees that it was planning a hiring freeze and potential layoffs to help cut costs, according to FOX Business. The company also reportedly had a disappointing quarter, while noting that it saw record results at its theme parks and continued increases in Disney+ subscribers.
Disney also recently announced price increases for park tickets to its fourth Walt Disney World theme parks, increases to its Park Hopper add-ons, and increases for its annual passes, though new passes are still not being sold.