Jay Rasulo Disney CFO leaving effective June 30th

rteetz

DIS Veteran
Joined
Feb 20, 2013
The writing has certainly been on the wall for some time but Disney CFO Jay Rasulo is stepping down from the position June 30th according to CNBC. He has been working without a contract for several months. He also recently sold a bunch of his stock.

http://www.cnbc.com/id/102413694
 
For the record: most of those "lieutenants" from that initiative have been horrible executives

Luckily the product sells itself as an opiate to the masses.

I never really thought about that analogy. It doesn't matter how badly drug dealers treat their customers (in movies. I have no real life experience) they keep coming back for more.
 
I never really thought about that analogy. It doesn't matter how badly drug dealers treat their customers (in movies. I have no real life experience) they keep coming back for more.

The psychology of Disney parks has always been on another plane/level...

But what has happened these last couple years in the swamp is beyond Freud...

The dining plan was sold as a complete bill of goods to shield massive changes in the experience...nobody blinked
"oh, thank you!!!"

And when the housing bubble popped - they needed us far more Than we needed them...
But what happened? People climbing like pigs at the trough over each other to get discounts...albeit steep ones...but discounts as the base prices were systematically increased. A consumer price bet hedging almost unseen. Only cable and cellphones increase their prices at will and trust that the product will sell...

But that's what has/is happening - and now i see ALOT more complaints around here (see: Disney dropped the ball on free dining) since the screws have been turned down and we're starting to see the forest instead of the tree.

You don't need to be an economist, consumer analyst, or disneyphile to even pick up/see these things...they were always hidden in plain view.

It's a combination of willful indifference and the Samantha brown version of Stockholm syndrome
 
I'll miss him. Operations wise he was far from the most prudent, strategic planning anyone? However, his contributions to DPR are large. The Cruise Ships, HKDL, Cars Land, and Aulani were all started under him.

They've had an a profound impact on the way DPR were operated. He also looked at expansion beyond the berm as critical to the longterm success of DPR. He launched MyMagic+ which is another unique take on expansion in the theme parks beyond just building more.

That's perhaps his legacy. For him, traditional WDW was looked at as a burning platform. Attempts to fix it were all about keeping guests on property in the WDW ecosystem. This strategy has found great success, while also irritating the heck out of certain fans. Much of the major DVC expansion happened under his watch too. He reshaped WDW as a Resort destination with theme parks instead of theme parks with resorts.


He was radical in his thinking on building urban entertainment centers, DVC away from the parks, hotels in major cities, and apparently even character dining establishments were explored in major urban areas. Sadly most of those radical projects never played out.

That's not to say he didn't have issues. While I personally believe that he eventually would've seen the light, his New Fantasyland plans were less than stellar omitting even the mine train. Pathetic really. He was incredibly slow to build new rides in the parks (besides HKDL and DCA) because of his pursuit of construction outside the parks. To cap it all off, DVC by many is looked at as a negative and the hotel/resort focus is seen as a distraction from what really matters. Theme park operations. Let's also not overlook the fact that WDW quality got progressivly worse through his tenure, and have gotten better under Staggs.

So while many of his projects eventually got WDW back on track, he also missed opportunities. His focus on outside the parks led to some of the finest Cruise Ships in the world, while also stealing focus from the bread and butter of the business. His focus on MyMagic+ and keeping guests on property have changed the way many vacation for the better, and many of the biggest fans for the worse. He wasn't the best, but he was willing to take risks.

Though Staggs has won the day, I just hope he stays focused on the parks.
 
He also looked at expansion beyond the berm as critical to the longterm success of DPR.

I don't disagree with much of what you said...

But my laptop thanks you for the coffee shower it just received when I read the above line..

Rasulo was a bag man - plain and simple. First under the mad king - Eisner...now
Under Joffrey barratheon Iger...

Only one guy has had any influence there for a long time. One king sits upon the throne. Staggs has been a puppet as well to this point.

It was bad before...now with an even more weak board, no up and coming subbordunates, their prime foil partners - Pixar and Lucas - now bought, and nobody on this asteroid left with a couple billion shares and the name "Disney" left to defend the wall.
 
I don't disagree with much of what you said...

But my laptop thanks you for the coffee shower it just received when I read the above line..

Rasulo was a bag man - plain and simple. First under the mad king - Eisner...now
Under Joffrey barratheon Iger...

Only one guy has had any influence there for a long time. One king sits upon the throne. Staggs has been a puppet as well to this point.

It was bad before...now with an even more weak board, no up and coming subbordunates, their prime foil partners - Pixar and Lucas - now bought, and nobody on this asteroid left with a couple billion shares and the name "Disney" left to defend the wall.
See this is where I disagree @lockedoutlogic. Let's think about his projects.
Of the major projects:

Inside the berm: *
MyMagic+ 1 Billion
DCA 1.3 billion
HKDL 500 million

Outside the berm
Disney Dream 950 million
Disney Fantasy 950 million
Aulani 800 million

Let us also not forget that he was working on Urban entertainment centers with OLC, and I've seen some people mention something based on HP too. Then there's also National Harbor.

This guy was someone who loved expansion outside the berm. How many projects are in the pipeline like Aulani? Not very many. (I've seen talk of Cruise Ships from Spirit) Primarly DHS, Avatarland, Star Wars, work at DLP, etc. The days of Aulani style projects are over.

That's not to say he was the final word. You accuratly point out that Iger is the ultimate decision maker. That doesn't mean that the underlings don't have power though. If Rasulo is the main person Iger is hearing his theme park information from, he'll start making decisions and thinking like Rasulo. Especially because Iger doesn't have much practical experience in the parks. I see how the strategy has shifted since Staggs as evidence of this truth.

Though you're right about one thing, do I expect Bob Chapek to be a strong voice? In my dreams...

*all numbers are based on the leaked press info.

I hit post too soon. Lol
 
So while many of his projects eventually got WDW back on track, he also missed opportunities. His focus on outside the parks led to some of the finest Cruise Ships in the world, while also stealing focus from the bread and butter of the business. His focus on MyMagic+ and keeping guests on property have changed the way many vacation for the better, and many of the biggest fans for the worse. He wasn't the best, but he was willing to take risks.

Though Staggs has won the day, I just hope he stays focused on the parks.

Maybe he was focusing on what the balance sheet looked at right now, or for only the last fiscal year or two, and then extrapolating those short-term results forward in a straight line for the next 5-10 years in a simple-minded manner. Without bothering to dig deeper into the company history and its deeper resonance (or 'mindspace' to use a cliché) among its current and potential customers.

The parks may not look like bread and butter now, but will you still drive people toward DVCs and cruises if the parks have become a joke in their minds? Places full of old headline attractions where even the best among them have been experienced many, many, many times ... and new attractions appear about once every 5 years and they're so crowded that they're literally rationed to visitors. Where even the stores look more and more not like something unique worth traveling 1000 miles to check out, but more or less the same as your local strip mall.

Then again it doesn't matter one tiny iota if that downside scenario happens 5 or 10 years from now if you're the bottom-line hero of the hour and you've long ago moved on to work your magic on some other company that's happy to hire someone unsentimental enough to cut through all that "vision" junk and hurry up and give a goose to the forward-looking earnings for the next FY.
 
Please don't give me the list...I keep seeing the list show up in every Disney management defense

What the list doesn't include is the context...time, situation, cash on hand, etc.

We're gonna disagree here...there is no real judge qualified to score a winner.

The one thing I'll say is this...the contention that Disney has to build parks in china to survive is ridiculous.

Disney has had no constraints/ limitations since about 1990. They can do exactly as they want...which they have.

These aren't "wall street mavericks" or "visionaries" for gods sake...
 
I equate this "outside the berm" talk to the emperor conquering Europe while Rome is burning. While these pet projects were being undertaken, Buena Vista - Rasulo's largest and most important asset - literally sat idle for more than a decade. If two of Rasulo's biggest accomplishments were expanding an already successful cruise line, then that isn't much to laud. It really was a no-brainer to continue the cruise line's expansion, and I'm 99.9% confident that both of these ships would have been built regardless of the name on the suit of the then-current Parks & Resorts chair. With regard to Aulani, was that even Rasulo's bag? Even if so, the success of Aulani is "meh" at best. IMHO, it was simply built as a DVC marketing tool to help sell timeshares in the swamp. "Look sweetie, if we buy in at WDW, we can take still take an occasional trip to Hawaii. Deal???...". Aulani is by no means a crown jewel, but rather, a byproduct of the marching orders to sell as many timeshares in Orlando as humanly possible.
 
1) I do not believe I am saying this.
2) It boggles my mind.
3) I actually wish Eisner was at the helm, and not Ogre (I mean Iger).
I agree with all of your points. It is mind-boggling but I suppose the old saying to be careful what you wish for applies big time.
 

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