Disney extends CEO Bob Chuck’s contract for three years

Disney she has extends CEO Bob Chapek’s contract for three years, The company announced Tuesday.

Tangled’s contract was due to expire in February of next year, three years after he unexpectedly took over from Bob Iger. The board of directors, which met Tuesday in Florida, voted unanimously to extend Chapek’s term through July 2025.

“The Disney pandemic has been dealt hard, but with Bob at its helm, our business – from parks to streams – has not only weathered the storm, but has emerged in a position of strength,” said Susan Arnold, CEO. In a statement Tuesday.

She added, “At this important time of growth and transformation, the Board of Directors is committed to keeping Disney on the successful path it is on today, and Bob’s leadership is key to achieving this goal. Bob is the right leader at the right time for The Walt Disney Company, and the Board is fully confident. him and his leadership team.

Tangle has faced his share of difficulties during his short tenure thus far. Disney’s stock, unchanged after trading hours, is down about 38% this year as of Tuesday’s close.

Chapek was also at the center of a dispute between Disney and Florida Governor Ron DeSantis over comments made about state law HB 1557, called the Don’t Say Like Me Act. The dispute prompted DeSantis to rally Republican lawmakers to repeal Disney’s Reedy Creek Special District, which has been going on for decades.

Earlier this month, Chapek made headlines for the shooting Peter RiceDisney’s largest television content executive. The board of directors said at the time that Chappal had its full support.

The timing of Disney’s transition from Iger to Tangled came just weeks before the coronavirus pandemic forced the closure of various aspects of the entertainment industry, including movie theaters and theme parks.

Without revenue from these divisions, Chapek rallied around the company’s streaming service Disney+. The success of shows like “The Mandalorian” made the platform popular with consumers, and Chapek quickly stuck to the company’s goal of reaching 230 million to 260 million Disney+ subscribers by 2024.

As of the end of Disney’s fiscal second quarter, the service had more than 137.7 million subscribers.

Chapek, 63, has worked for The Walt Disney Company for nearly 30 years and is its seventh CEO. Previously, he was head of Disney’s Parks, Experiences, and Products division.

CNBC’s Alex Sherman contributed to this report.