The Walt Disney Co. said Wednesday it is reorganizing into four business segments as part of a strategic overhaul aimed at boosting growth. The entertainment giant said the new structure comprises a new direct-to-consumer and international segment, a combined parks, experiences and consumer products segment, a media networks segment and a studio entertainment segment. The reorganization is effective immediately. “We are strategically positioning our businesses for the future, creating a more effective, global framework to serve consumers worldwide, increase growth, and maximize shareholder value,” Chief Executive Robert Iger said in a statement. The company has named Kevin Mayer, currently chief strategy officer, as head of the new direct-to-consumer and international business. That business will house the international media businesses, as well as the coming streaming service, the company’s stake in Hulu and its soon to-be-launched ESPN-plus streaming service. The company expects to transition to financial reporting under the new structure by the beginning of fiscal 2019. Shares were slightly lower Wednesday, and are down 8% in the last 12 months, while the Dow Jones Industrial Average has gained about 19% and the S&P 500 has gained about 16%.
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