Disney will record a $1.5 billion "impairment charge" next quarter after removing dozens of shows and films from Disney+ and Hulu. In an SEC filing, the company indicated that it plans to remove even more content from its streaming platforms throughout the third fiscal quarter. Disney is apparently looking to remove enough content to incur an additional $400 million in impairment charges. - An "impairment charge" is an accounting term that refers to an asset that has suddenly lost value due to unforeseen circumstances; in its filing, Disney claims it is adjusting "the carrying value of these content assets to fair value."
- Removed titles include "Willow," "The Mysterious Benedict Society," "Y: The Last Man," "Earth to Ned," "Dollface," and the film "The One and Only Ivan."
- On an earnings call, CEO Bob Iger told investors that the company plans to raise the price of an ad-free Disney+ subscription later this year, and continued promoting plans to merge Disney+ and Hulu into a single app.
|
