Heads Up Hollywood

For listed companies, negative news is bad news, and the financial market will definitely react.

As the Hollywood mystery was exposed by the media, not only Hollywood companies such as Disney, Time Warner, and 20th Century Fox, but also global media stocks all saw their stock prices plummet.

Among them, the biggest drop was 20th Century Fox, with a single-day drop of 8.4%! Because of the hostility with New Universal, it may involve the suspension of the "X-Men" series of comics.

Even asset-rich Time Warner fell 2.5 percent.

The ratings board scandal is far from over.

Although the media failed to find Twain, they have already contacted New Universal's Film and Television Entertainment Department.

The newly appointed Fernando Baden and Moritz Eckhart changed their low profile and followed Dunn's style completely, accepting interviews from the media.

Fernando Baden said: "This is a barbaric plunder! It is hard to believe that this will be an act under the market economy. Warner lacks good project themes and wants to restart "Lord of the Rings" and create three "Hobbit" movies." Qu. If they are easy to discuss and solve the problem through negotiation, we will definitely welcome it. However, they are trying to make us submit in this way of jointly controlling the MPAA and threatening, which is impossible!"

This is typical bullshit.

The reason why Warner took the lead in provoking trouble was because the communication was fruitless, and New Universal refused to agree to cooperate with Warner to create the movie "The Hobbit". Warner even offered the ultimate agreement of 50% copyright. Impressed.

You know, what Warner owns is the production copyright, and what New Universal owns is the distribution copyright. For a movie, the ratio of production rights to distribution rights is usually 4:1!

It can be said that Warner has shown great sincerity, but New Universal just disagrees.

There is no other way, Tang En is still thinking about creating a huge-funded TV series of "The Hobbit", waiting to eat alone. I don't want to share benefits with Warner at all.

In contrast, Moritz Eckhart's speech is much more real, and he is aimed at Disney.

"Since the 9.11 incident, Disney's life has been difficult. New Universal and Disney have always maintained a good relationship. In order to help Disney tide over the difficulties, we sold our valuable animation assets Sillywood Animation to Disney. Seeing that Disney lacks excellent movies, Rose Films also cooperated with Disney to develop live-action movies of the princess series. However, now that the live-action series has been successfully developed, Disney has regretted it and is unwilling to share copyright with us. Is it not ungrateful to jointly develop and want to eat alone? We want to stick to the contract and refuse to give up the copyright, so they make trouble in the rating committee, this behavior is disgusting!"

This is a fact.

In the past six months, Disney's life has been very difficult!

The market value has evaporated by 35%!

The media giant, whose market capitalization was close to 60 billion U.S. dollars, has now shrunk to 37.5 billion U.S. dollars.

Why has the relationship between Michael Eisner and Tang En become more and more bleak during this period of time?

It's because Michael Eisner's life during this period is too sad, internal conflicts have become acute again, and another force is pushing him to step down.

The market value has shrunk so badly that he, as the CEO, cannot escape the blame!

What happened to Disney?

First, the market for consumer goods has been eroded.

With the advent of the experiential Universal store, life is getting tougher for the Disney store. In particular, New Universal is focusing on building a consumer product department, which has really eroded Disney's dominance in the consumer product market.

Second, cartoons.

In order to restore its position in the animation market, Disney spent more than 2 billion US dollars to acquire Sillywood Animation Studio from New Universal. Just in May of this year, the animated film "The Adventures of Bone Treasure 2" was released. As a result, the film ran into DreamWorks' "Madagascar."

After some collisions, "Madagascar" has a global box office of 510 million US dollars. The North American box office of "Bone Treasure 2" is 54 million US dollars, and the global box office is only 140 million US dollars.

The Disney animation industry, which had been highly anticipated by the market, was suddenly pre-cooled and encountered a wave of selling.

Third, movies.

Disney released a blockbuster, "The Man with the Iron Fist" this summer. The film brings together big-name actors such as Russell Crowe and Renee Zellweger, and the production budget is 90 million US dollars.

After the film was released, word-of-mouth exploded and was well received by film critics. It can be called the best film at the box office this summer. It's a pity that they bumped into Tang En Pictures' masterpiece "The Da Vinci Code". In the end, the film was well-received, with a North American box office of 60 million US dollars, an overseas box office of 40 million US dollars, and a global box office of barely over 100 million.

Over the years, Disney still has not been able to make a breakthrough in the film and animation market.

It is quite normal for the market value to plummet.

The last point is the tourism and vacation project.

New Universal and the Magic City government reached an agreement to spend 6.5 billion US dollars to build the world's largest theme park Magic City Universal Studios in Pudong. This is undoubtedly the most threatening blow to Disney.

Michael Eisner had no choice but to accept the invitation of other giants to join the crusade against New Universal.

Trying to drink poison to quench thirst.

...

Disney's largest shareholder family is the Bass family, the old man Perry Bass, four sons Lee Bass, Robert Bass, Edward Bass, Sid Bass, a total of nearly 6.7% of Disney's shares . At today's market capitalization, the stakes are worth more than $2.5 billion.

More shares means more voting rights.

The Bass family is Michael Eisner's biggest backer at Disney. With the support of the Bass family, Michael Eisner does not have to care about the attitudes of other shareholders, money managers, pension fund consultants, and even company directors, because directors also serve major shareholders.

However, as the Big Five alliance and New Global became serious, the direct result was that the stock prices of the Big Five companies collectively plummeted.

On the first day the news came to light, Disney’s stock price plummeted 4.7% in response!

The Bass family can't hold it anymore!

"Mike, Disney's stock has plummeted all the way, and we have to make a decision." Edward Bass called Michael Eisner.

"What's wrong?" Michael Eisner instinctively sensed that something was wrong.

Edward Bass said: "My father, my brothers, and I have no choice. We must sell 135 million shares of stock to return funds and get through the immediate debt crisis."

"Debt crisis? Did you use Disney's stock to pledge the loan?" Michael Eisner was really going to die of anger.

Edward Bass said: "Yes, I'm sorry. We used the loan and Disney stock as collateral to buy a large number of technology stocks. But now Disney's stock price has plummeted, and securities margin financiers are urging us to repay the loan."

Michael Eisner didn't know whether his statement was true or false, or he really saw that Disney was hopeless and wanted to give up Disney.

Because 1.35 shares of stock... is precisely all the shares of Disney held by the Bass family!

This is for liquidation!

"Edward, we have known each other for twenty years. You should understand that Disney is in a period of low prices. It is not worthwhile to sell stocks at this time." Michael Eisner took a deep breath and tried to persuade him.

Edward Bass was able to make this call, obviously because he was determined, "I'm sorry, our debt crisis is very big, we must solve the problem as soon as possible, otherwise we will go bankrupt!"

Michael Eisner was trembling with anger, "The 135 million shares must not be sold in the market!"

This is a stock that accounts for 6.7% of Disney's total share capital. The amount of this stock is too large to be sold publicly, which will cause stock market turmoil. Especially now that investors have little confidence in Disney.

The liquidation of major shareholders, doesn't this drive all retail investors to smash together?

"The sooner the better, I need to get rid of this batch of stocks as soon as possible." Edward Bass seemed very eager.

Michael Eisner was even more impatient: "Give me three days!"

He is really going to explode!

The year is not good!