 Disney is expected to make cuts to its studio and consumer products division in the next two weeks. |
The
Cuts to both Disney's film studio and consumer products division could come as early as two weeks.
Employees from animation and marketing and home video are expected to be laid off.
It's not how many positions will be cut, but the
Numbers wise, Disney had record earnings in November.
Its stock continues to hit all-time highs reaching $53.53 in January and $57.76 last month.
In February, the company revealed lower first-quarter results, attributing them in part to "rising costs of acquiring TV sports rights for its ESPN division," something Iger previously predicted would occur at the end of 2012.
Right now, Disney doesn't need as much manpower as it once did at its studio.
The studio is now heavily relying on brands Pixar,
Marvel has six films set to release through 2015, Pixar just announced a highly-anticipated sequel to its 2003 hit "Finding Nemo," and the new "Star Wars" trilogy is set to begin in two years.
These aren't the first layoffs to be announced this week.
Earlier this week, Disney shut down video game company LucasArts, laying off 150 people.
The Mouse House acquired Lucasfilm back in December after initial word of a $4 billion purchase was revealed in October.
Work on future "Star Wars" related games will most likely come from its own troubled game segment, Interactive, which is hoping for a massive success when its new gaming initiative, Infinity, launches later this summer.
Last September, Disney Interactive laid off more than 50 employees.
A year earlier, the company laid off a reported 200 employees from its interactive unit.
In December, The Walt Disney Company was ordered to pay $319 million to Celador, the creator of game show "Who Wants to be a Millionaire?", after losing an appeal for a new trial.