Bob Iger has stepped down as CEO of the Walt Disney Company (DIS), effective immediately. The Walt Disney Co. named as his replacement Bob Chapek, most recently chairman of Disney’s parks, experiences and products business.
Iger has assumed the role of executive chairman and will direct the company’s creative endeavors, the company said. Iger will stay on at Disney through the end of this contract on December 31, 2021.
“With the successful launch of Disney’s direct-to-consumer businesses and the integration of Twenty-First Century Fox well underway, I believe this is the optimal time to transition to a new CEO,” Iger said in a statement.
Iger said he has the “utmost confidence” in Chapek and looks forward to “working closely with him over the next 22 months as he assumes this new role.” “I am incredibly honored and humbled to assume the role of CEO of what I truly believe is the greatest company in the world,” Chapek said in a statement. “Bob Iger has built Disney into the most admired and successful media and entertainment company, and I have been lucky to enjoy a front-row seat as a member of his leadership team.” According to AP, Since Iger became CEO, CEO stock price has risen fivefold.
Its stock fell more than 2% in extended trading following the announcement, on top of a broader market selloff on virus fears during regular trading. Iger, 69, was the second-highest-paid CEO in 2018, as calculated by The Associated Press and Equilar, an executive data firm. He earned $65.6 million. The top earner was Discovery’s David Zaslav who earned $129.5 million.