Posted on: Tuesday, December 2, 2003

Dispute over Disney leadership deepens

Los Angeles Times

BURBANK, Calif. — Walt Disney Co. Chairman Michael Eisner's feud with dissident directors widened yesterday as Stanley P. Gold joined his boss, investor Roy E. Disney, in quitting the board while vowing to press for the ouster of Eisner, who they say has dragged down the company.

In an hourlong interview, Gold and Disney, the 73-year-old nephew of Walt Disney, stopped short of saying they would call for a shareholder vote to remove Eisner. Instead, they said they would "educate the owners of the company" about its deteriorating performance under Eisner.

Eisner, who enjoys the board's support, appears in no imminent danger of losing his job. The company's financial picture has improved during the past year, largely because of a string of successful movies.

Nonetheless, the breach represents one of the nastiest battles in Eisner's 19 years at the helm and an extraordinary public airing of a behind-the-scenes feud.

Eisner was unavailable for comment. But a statement released by Disney's independent directors, they said they "categorically reject Mr. Gold's untrue and unwarranted allegations about the Company and the Board."