Exclusive Report on Shareholders Meeting with DLP CEO Tom Wolber

[ThBa]

Here is a link for an English report of that meeting

http://disneyandmore.blogspot.de/2014/12/exclusive-report-on-disneyland-paris.html?m=1

A lot of questions but for us shareholders this might be an early Christmas present:

A shareholder wondered about the Shareholders Club after the recapitalization. Will it still exist and what will be the entry requirements?

Tom answered that the Shareholders Club will be the same after the recapitalization. It will not change, those who were members of the Club before will always be after. The access conditions will be reviewed for new investors.

A shareholders asked Tom about the access cards renewal conditions and the number of shares to get in.

Mark Stead answered that those who were members of the Shareholders Club with 100 shares before the recapitalization - and still have a minimum of 100 shares after - will still be Club members and will be able to renew their cards.
The conditions will be changed for the new shareholders. It is estimated that the threshold will be raised to 900 shares, for example. But this figure is not final and the new conditions will be communicated after the recapitalization.



Thorsten

 

[bpeacock]

That's good news for existing shareholders, glad I decided to upgrade to 100 shares in august

 

[bpeacock]

That's good news for existing shareholders, glad I decided to upgrade to 100 shares in august

 

[netimka]

thats really good news as I really dont want to sell my shares and dont think I want to buy another 900 in the next few months... later in future you never know but if we wont have too then good

 

[gavvy]

I hope it remains the same for me- im on the older rate and have 40 shares, but as I have been a member since 2004 I currently can still remain a member for free. Hope that continues.

 

[tennisfan]

That's great news if they stick to that, thanks for posting

 

[Danauk]

That does seem like good news. Thanks for sharing.

 

[torsie24]

That does sound pretty fair of them.

I sold mine as only had 20 new shares so sounds like I did the right thing for me. But glad to hear those who hold more won't be penalised.

 

[Jonjo]

How much will it cost us to buy these new 100 shares?

 

[squeaker]

How much will it cost us to buy these new 100 shares?

As off right now (08:30 am), the share sits at 3,00 Euros so 300 Euros plus whatever your stockbroker charges in commission.

 

[Ware Bears]

Thank you for posting, very interesting and it does seem encouraging for us existing shareholders.

I'm extremely reluctant to either purchase more shares or to sell my existing ones, it sounds now like I may be able to keep my membership with my existing holding.

 

[Jonjo]

We had a chat about this last night and I think I'll be selling my stock to TWDC at €3.50 and make a little bit of cash out of them, and DW is going to maintain her ownership percentage of 101 shares by buying the 99 she will need at €1.00 so she remains a member of the shareholders club.

From the recapitalization annoucement

Post transaction: 1 existing share: to be sold at €1.25 (i.e. TERP) to TWDC in mandatory tender offer + 9 new shares: subscribed at €1.00 per share through full participation in the rights offering. Then sell all nine new shares at €1.25 to TWDC in the mandatory tender and realize €2.25 net value
= €1.25 + €2.25 = €3.50 i.e. slightly above pre announcement value

 

[Ware Bears]

Very astute move don't blame you for making a bit out of the inconvenience!

 

[Jonjo]

I have a few concerns over this recapitalisation. One is that DLP really needs to pull something magical out of the hat to get the company back into profit. How it's going to do this is yet to be seen. The only two ways I can see is the rising prices and cutting staff. If the second is done it will damage the Guest Experience and if the prices go up it will effect the number of visitors.

The Prince has already announced that he is only backing the park for a further two years after the recapitalisation. If the resort does not make a profit in year three he is pulling out.

I fear will be in the same situation again in 2025 when TWDC expects the debts to be re-paid and we will have go through another recapitalisation.

This vote is going to be a very interesting and close one, as many French small shareholders have already said will be voting against this proposal. What they hope to gain by voting against it I do not know. The park is near bankruptcy and this is the only chance of saving it.

 

[Danauk]

I have to say I am not fully understanding the proposal. What do you need to do if you wish to remain a holder of 100 shares and still be a member of the shareholders club? Do you have to sell shares and then buy them back or can you just keep hold of your existing 100 shares and do nothing?