And according to Deadline.com, Disney has just taken out more loans totaling $11 billion dollars.
On a recent earnings call, Disney outlined with stockholders just how devastating just the first two weeks of the temporary park closures have been for the company, estimating its total loss of revenue generated from in-person guest experiences at almost $1 billion.
This figure also includes the operational losses which resulted from the Disney Cruise Line shutting down, but not Walt Disney Studios — which despite the recent closures, made a profit of $2.54 billion when compared to last year’s second quarter.
In fact, the Walt Disney Company turned a profit of $18.01 billion for its second fiscal quarter, but that doesn’t mean the company isn’t interested in reestablishing a better foothold for itself. Now Disney has just successfully raised an additional $11 billion dollars in loans to add the $38 billion in debt it’s was already carrying at the close of last year.
“We believe that the cash on hand and bank facilities will be more than adequate to meet all the company’s needs at this time and this transaction will only further bolster the company’s solid liquidity position which is important financial insurance since the crisis duration and economic knock-on effects are still unknown,” Moody’s analyst Neil Begley told Deadline.
Disney CEO, Bob Chapek, says it’s still too early to predict when Disney World and Disneyland would re-open, but as of last week, we do have confirmation from Disney that several third-party restaurants will start to re-open in Disney Springs on May 20th with more restaurants now accepting reservations starting June 1st.