Walt Disney Company fired its senior TV content executive in a move that has left many Hollywood watchers scratching their heads and speculating about a power struggle at the film and theme park group.
Peter Rice, chairman of Disney General Entertainment Content, left after a brief meeting with Disney’s chief executive Bob Chapek, according to reports in the US last night.
Rice’s division produces more than 300 shows a year shown across ABC, the Disney Channel, Disney+, Hulu and FX and he was very highly regarded within the industry said commentators.
He signed a new contract in August that runs until 2024 and Disney said it would pay this out in full.
Rice will be replaced by Dana Walden, chairwoman for entertainment for Walt Disney Television, who worked with him at 21st Century Fox (NASDAQ:FOXA) when it was acquired by Disney in 2019.
Chapek’s own contract is up for renewal next year and he has come under pressure following a share price slide of more than 40% over the past year.
Concerns over streaming service Disney+ and a damaging political row in Florida have been major reasons for the weak performance.
Disney chair Susan Arnold later said that Chapek has the full support of the board.
“In this important time of business growth and transformation, we are committed to keeping Disney on the successful path it is on today, and Bob and his leadership team have the support and confidence of the Board,” she said in an emailed statement after the Rice news broke.
Shares in Disney fell 3.7% to US$103.30 overnight.