The Walt Disney Company, incorporated on July 28, 1995, together with its subsidiaries, is a diversified worldwide entertainment company. The Company operates in five business segments: Media Networks, Parks and Resorts, Studio Entertainment, Consumer Products and Interactive. The Company has a 51% effective ownership interest in Disneyland Paris, a 5,510-acre development located in Marne-la-Vallee, approximately 20 miles east of Paris, France. The Company manages and has a 40% equity interest in Euro Disney S.C.A. The Company owns a 48% interest in Hong Kong Disneyland Resort through Hongkong International Theme Parks Limited. On November 7, 2012, the Company sold its 50% interest in ESPN STAR Sports (ESS). On November 7, 2012, the Company sold its 50% equity interest in ESPN STAR Sports (ESS). On December 21, 2012, the Company acquired Lucasfilm Ltd. LLC.
Media Networks
The Media Networks segment includes international and domestic cable television networks, a domestic broadcast television network, television production operations, domestic and international television distribution, domestic television stations, domestic broadcast radio networks and stations, and publishing and digital operations. The Company’s cable networks include ESPN, Disney Channels Worldwide, ABC Family, and SOAPnet. The Company also operates the UTV/Bindass networks in India. The cable networks group produces its own programs or acquires rights from third-parties to air programs on its networks.
ESPN is a multimedia, multinational sports entertainment company that operates eight 24-hour domestic television sports networks: ESPN, ESPN2, ESPNEWS, ESPN Classic, ESPN Deportes (a Spanish language network), ESPNU (a network devoted to college sports), ESPN 3D, and the regionally focused Longhorn Network (a network dedicated to The University of Texas athletics). Disney Channels Worldwide is a portfolio of over 100 entertainment channels and/or channel feeds available in 35 languages and 167 countries/territories and includes Disney Channel, Disney Junior, Disney XD, Disney Cinemagic, Hungama and Radio Disney. ABC Family is a United States television programming service that targets viewers in the 14-34 demographic. ABC Family produces original live-action programming including the returning series The Secret Life of the American Teenager, Switched at Birth, Melissa & Joey, as well as new original series Bunheads, Baby Daddy and the reality series Beverly Hills Nannies. SOAPnet offers same-day episodes of daytime dramas and classic episodes of daytime dramas and primetime series. Programming includes daytime dramas such as Days of its Lives, General Hospital and The Young and the Restless and classic episodes from series such as All My Children, One Life to Live, The O.C., One Tree Hill, Beverly Hills 90210, The Gilmore Girls, Veronica Mars and Brothers & Sisters.
Parks and Resorts
The Company owns and operates the Walt Disney World Resort in Florida, the Disneyland Resort in California, Aulani, a Disney Resort & Spa in Hawaii, the Disney Vacation Club, the Disney Cruise Line and Adventures by Disney. The Company manages and has effective ownership interests of 51% in Disneyland Paris, 48% in Hong Kong Disneyland Resort and 43% in Shanghai Disney Resort. The Company also licenses the operations of the Tokyo Disney Resort in Japan. The Company’s Walt Disney Imagineering unit designs and develops new theme park concepts and attractions as well as resort properties.
The Walt Disney World Resort is located 22 miles southwest of Orlando, Florida, on approximately 25,000 acres of owned land. The resort includes theme parks (the Magic Kingdom, Epcot, Disney’s Hollywood Studios and Disney’s Animal Kingdom); hotels; vacation club properties; a retail, dining and entertainment complex; a sports complex; conference centers; campgrounds; golf courses; water parks; and other recreational facilities designed to attract visitors for an extended stay. The Company owns 461 acres and has the rights under long-term lease for use of an additional 49 acres of land in Anaheim, California. The Disneyland Resort includes two theme parks (Disneyland and Disney California Adventure), three hotels and Downtown Disney, a retail, dining and entertainment complex designed to attract visitors for an extended stay. Tokyo Disney Resort is located on approximately 494 acres of land, six miles east of downtown Tokyo, Japan. The resort includes two theme parks (Tokyo Disneyland and Tokyo DisneySea); three Disney-branded hotels; six independently operated hotels; and a retail, dining and entertainment complex.
The Disney Vacation Club offers ownership interests in 11 resort facilities located at the Walt Disney World Resort; Disneyland Resort; Vero Beach, Florida; Hilton Head Island, South Carolina; and Oahu, Hawaii. Disney Cruise Line, which operates out of ports in North America and Europe, is a vacation cruise line that includes four ships: the Disney Magic, the Disney Wonder, the Disney Dream, and the Disney Fantasy. Adventures by Disney offers all-inclusive guided vacation tour packages predominantly at non-Disney sites around the world. Walt Disney Imagineering provides master planning, real estate development, attraction, entertainment and show design, engineering support, production support, project management and other development services, including research and development for the Company’s operations.
Studio Entertainment
The Studio Entertainment segment produces and acquires live-action and animated motion pictures, direct-to-video content, musical recordings and live stage plays. The Company distributes produced and acquired films (including its film and television library) in the theatrical, home entertainment and television markets primarily under the Walt Disney Pictures, Pixar and Marvel banners. The Company produces and distributes Indian movies worldwide through its UTV banner. The Company holds a 99% interest in UTV, film production studios and film distributors in India, which produces and co-produces live-action and animated content. During fiscal year ended September 29, 2012 (fiscal 2012), UTV releases included Rowdy Rathore and Barfi. The Company produces and distributes both live-action films and full-length animated films. In the domestic market, the Company distributes home entertainment releases directly under each of its motion picture banners.
The Disney Music Group includes Walt Disney Records, Hollywood Records (including the Mammoth Records and Buena Vista Records labels), Lyric Street Records, Buena Vista Concerts and Disney Music Publishing. Disney Theatrical Productions develops produces and licenses live entertainment events. The Company has produced and licensed Broadway musicals around the world, including Beauty and the Beast, The Lion King, Elton John & Tim Rice’s Aida, Mary Poppins (a coproduction with Cameron Mackintosh Ltd), Little Mermaid, Newsies, and TARZAN.
Consumer Products
The Consumer Products segment engages with among others licensees, publishers and retailers throughout the world who design, develop, publish, promote and sell a range of products based on existing and new characters and other Company intellectual property through its Merchandise Licensing, Publishing and Retail businesses. The Company’s merchandise licensing operations cover a diverse range of product categories, which include toys, apparel, home decor and furnishings, stationery, health and beauty, accessories, food, footwear, and consumer electronics. Disney Publishing Worldwide (DPW) creates, distributes, licenses and publishes children’s books, magazines and digital products in multiple countries and languages based on the Company’s Disney-, Pixar- and Marvel-branded franchises. The Company markets Disney- and Marvel-themed products through retail stores operated under the Disney Store name and through Internet sites in North America (DisneyStore.com and Marvelstore.com), Western Europe, and Japan. The Company owns and operates 216 stores in North America, 106 stores in Europe, and 47 stores in Japan.
Interactive
The Interactive Games business creates, develops, markets and distributes console and handheld, games worldwide, including 2012 titles, such as Disney Universe and Brave. The Interactive Games business also produces online games, such as Disney’s Club Penguin and Disney Fairies Pixie Hollow, interactive games for social networking websites such as Gardens of Time and Marvel Avengers Alliance, and games for smartphone platforms, such as Where’s My Water and Where’s My Perry. Certain properties are also licensed to third-party video game publishers. Interactive Media develops, publishes and distributes content for branded online services intended for kids and family entertainment through a portfolio of websites including Disney.com and the Disney Family Network. Interactive Media also provides Website maintenance and design for other Company businesses.
