By Daybreak Chmielewski
(Reuters) -Walt Disney named Morgan Stanley veteran James Gorman as chair on Monday and stated it might announce a alternative for CEO Bob Iger in early 2026, saying for the primary time a timetable for succession on the storied media and leisure firm.
Gorman will step down as government chair of Morgan Stanley on the finish of 2024 and tackle the place at Disney in January. He had served as CEO of the Wall Road financial institution for 14 years and is credited with reworking it right into a wealth administration powerhouse.
Gorman had orchestrated a CEO succession plan wherein Ted Choose took the reins at Morgan Stanley, even because it retained the 2 different candidates, executives Andy Saperstein and Dan Simkowitz, a rarity on Wall Road.
That have will come in useful at Disney, which was criticized by activist investor Nelson Peltz for its mishandling of succession. In August, Gorman was named head of the committee charged with discovering a alternative for Iger, who returned as the corporate’s CEO in November 2022 to exchange his hand-picked successor, Bob Chapek.
Iger, who’s credited with constructing Disney’s media empire together with by way of the high-profile acquisitions of Pixar, Marvel and the Star Wars franchise, has seen his retirement date prolonged 5 instances.
He initially deliberate to remain for 2 years after popping out of retirement, however agreed to increase his tenure by way of 2026. His contract concludes in December 2026.
“A crucial precedence earlier than us is to nominate a brand new CEO, which we now count on to announce in early 2026,” Gorman stated in an announcement, including that the timing would “enable ample time for profitable transition earlier than the conclusion of Bob Iger’s contract in 2026.”
Gorman will succeed Mark Parker, who’s leaving the Disney board after 9 years. Parker, who additionally serves as government chair of struggling sports activities retailer Nike (NYSE:), stated he plans “to give attention to different areas of my work.”
Disney stated its board mentioned succession planning at every of its frequently scheduled conferences in fiscal 2024 and continues to assessment each inner and exterior candidates.
“James Gorman’s appointment ticks an terrible lot of packing containers and bringing in contemporary blood to the chairman’s position paves the way in which for the appointment of a brand new CEO,” stated analyst Danni Hewson of AJ Bell.
“Bob Iger’s return was at all times short-term, and he’s definitely needed to work arduous to steer the leisure juggernaut by way of some fairly uneven waters. It is sensible that he’ll be capable to shepherd his successor to the highest job, giving these working alongside him the possibility to study and impress,” Hewson stated.
CEO CANDIDATES
Reuters reported final 12 months that 4 Disney executives have been seen as contenders for the position of CEO. High amongst them is Disney Leisure co-Chair Dana Walden, who’s a inventive TV government within the mould of Iger, with a string of economic and significant successes and robust expertise relationships.
Different inner candidates embody Disney Experiences Chairman Josh D’Amaro – an government with Iger-like charisma whose portfolio contains the corporate’s most important income engine, its theme parks – and ESPN Chairman Jimmy Pitaro, the likable government who’s guiding the sports activities community’s digital transition.
Disney Leisure Co-Chairman Alan Bergman, a Disney veteran who oversees the movie studio that has launched a pair of blockbuster movies this 12 months, is also within the working.
