WSMH FOX 66 on Facebook WSMH FOX 66 Twitter WSMH FOX 66 RSS Feed WSMH FOX 66 Mailing List

FOX 66 News at Ten

WSMH FOX 66 :: News - News at Ten - Disney layoffs begin with its struggling interactive departments
Disney layoffs begin with its struggling interactive departments

Disney Interactive, the
struggling video game and digital media subsidiary of the Walt Disney Co., is
expected to begin a round of layoffs, according to a source with knowledge of
the matter.

The cuts could come as soon as this week.

Disney Interactive, which lost more than $200 million a year between 2008 and
2012, is in a period of transition. The division parted ways with its
Co-president John Pleasants in November, just months after the successful
launch of its "Disney Infinity" video game.

The Wall Street Journal, which first reported news of the layoffs, said Disney
Interactive would lay off "several hundred people."

The layoffs would follow other recent cuts. In January 2013, Disney Interactive
cut 50 jobs and closed Austin, Texas-based Junction Point Studios, the
developer responsible for the "Epic Mickey" titles. In January 2011,
the company shut down Propaganda Games, the development studio responsible for
the "Tron: Evolution" video game, and laid off about 200 people.

An official at the California Employment Development Department said that
Disney Interactive has not given notice of any layoffs in 2014. (The Worker
Adjustment and Retraining Notification Act requires companies with 75 workers
or more to notify the state, within 60 days of the layoffs, of forthcoming
reductions that eliminate 50 or more jobs.)

A spokeswoman for Disney Interactive declined to comment.

Robert A. Iger, chairman and chief executive of Disney, said on a conference
call with analysts in February 2013 that "profitability at Disney
Interactive has been a goal of ours in 2013." But the division lost $87
million for its fiscal 2013, which ended Sept. 28.

However, the unit swung to a profit in the fourth quarter, posting operating
income of $16 million, an improvement from a $76-million loss from the same quarter
a year earlier.

Burbank-based Disney will report its quarterly financial results on Wednesday.

"Disney Infinity," released in August after a years-long development
process that cost Disney about $100 million, has been a hit for the company.
More than 3 million copies of the action-adventure game have been sold.

The game, available on multiple platforms including PlayStation 3 and Xbox 360,
incorporates physical toys into the game-play. It is sold in a $75 bundle that
includes the game, three figurines and the base that connects the physical toys
to the onscreen action.

The game includes popular characters from the company's films, including Buzz
Lightyear and Woody from Pixar's "Toy Story" franchise and Capt. Jack
Sparrow and Barbossa from the "Pirates of the Caribbean" movie

Though Pleasants was responsible for the launch of "Disney Infinity,"
his departure from the company was announced three months after the game
debuted. Disney Interactive is now run by Pleasants' former co-president, Jimmy

Before joining the company, Pleasants had served as chief executive of social
media gaming company Playdom Inc., which Disney acquired in 2010 for $563

Shares of Disney closed down $2.62 to $69.99 on Monday.



Source: Los Angeles Times

Disney layoffs begin with its struggling interactive departments

Wednesday, February 5 2014, 02:12 PM EST

National News Headlines

City to pay $6.5M settlement to family of man shot by cop
A city in South Carolina approved a $6.5 million settlement Thursday with the family of an unarmed black man shot to death earlier this year by a white police officer.

Delta flight turns back, lands safely after striking bird
A Delta Air Lines flight headed from Seattle to Hong Kong on Thursday afternoon has turned back and landed safely after striking a bird, officials with the Seattle-Tacoma International Airport said.

Why There's Nothing Outrageous About Urban Outfitters' Request for 'Free Work'
The retailer sent an email asking employees to work on the weekend with no overtime. But before you jump to conclusions, read this.

Officials: La. gas facility explosion leaves 3 workers dead
State police say three workers have died from an explosion and fire at a natural gas facility along a small highway near the oil and gas city of Houma.


The 5 Sections to Pay Close Attention to in a Franchise Disclosure Document
A great deal of your time and money is on the line, so you need to know everything there is to know about the franchise you want to purchase.

A New Dating App for Divorcees Aims to Make the Second (or Third or Fourth) Time Around Smoother
Dating is complicated, especially after a divorce. Vikki Ziegler, star of Bravo's 'Untying the Knot,' says her iOS app helps divorcees 'remember that feeling again,' without the all the drama.

Make Friends With Your Fear, and It Will Do Great Things for You
Master it before it masters you.

'Black Lives' leader defends looting in Yale lecture
The “Black Lives Matter” leader who landed a teaching gig at Yale University delivered a lecture this week on the historical merits of looting as a form of protest, backing up his lesson with required reading that puts modern-day marauders on par with the patriots behind the Boston Tea Party.

3 Ways to Keep Company Morale Up During High Turnover
Here are a few budget-friendly ways to keep your employees happy and engaged even when the tides are tough.

Former Chicago Public Schools leader charged with corruption
The former CEO of Chicago Public Schools was indicted on corruption charges Thursday in an alleged scheme to steer $20 million worth of no-bid contracts to education companies in exchange for bribes and kickbacks.

News at Ten Stories

Advertise with us!
IE6 Float Fix