Shanghai Disneyland set to open on May 11 but in a phased manner, says CEO Bob Chapek

The outbreak of coronavirus hit Walt Disney Co hard. The company has suffered a whopping $1.4bn hit on its profits


                            Shanghai Disneyland set to open on May 11 but in a phased manner, says CEO Bob Chapek
(Getty Images)
ADVERTISEMENT

Disney plans to reopen Shanghai Disneyland on May 11.

The outbreak of coronavirus hit Walt Disney Co hard. The company has suffered a whopping $1.4bn hit on its profits. According to BBC, the first three months of the year brought in the losses since the parks were shut and the movie releases were canceled. In addition, advertising sales were brought down as well.

ADVERTISEMENT

Now, according to Bob Iger, Disney Chairman, the firm was facing some unprecedented challenges, but he was optimistic about its recovery. "We are seeing encouraging signs of a gradual return to some semblance of normalcy in China," he opined.

Much of the business was dented after the parks were shut in Shanghai, Hong Kong, Tokyo, the US, and France. The cruise lines have seen a halt in operations as well. Both the parks and the cruise have been vital elements of Disney's profits.

ADVERTISEMENT

Talking about the reopening, Bob Chapek, the Chief Executive said they would be employing a phased approach. He also added there was pent-up demand that people would eventually come in when the parks would open. 

"We know how much our guests have been looking forward to returning to Shanghai Disneyland, and our cast is excited to begin welcoming them back,” said Chapek. “As the park reopens with significantly enhanced health and safety measures, our guests will find Shanghai Disneyland as magical and memorable as ever."

ADVERTISEMENT

On a note of caution, he added, "While it's too early to predict when we'll be able to begin resuming all of our operations, we are evaluating a number of different scenarios to ensure a cautious, sensible and deliberate approach to the eventual reopening of our parks."

According to Variety, Disney's measures include:

ADVERTISEMENT

" (i) Limited and pulsed attendance with an advanced reservation and entry system (ii) Controlled guest density (iii) Implementing required government health and prevention procedures. (iv) Increased sanitization and disinfection measures. and (v) Training for cast members. 

The site also added that the revenue of the parks and products fell by 10% in the second quarter. Of the $1.4bn losses, $1 billion was related to the theme parks section. Last month, the company also stopped paying nearly half of its workforce, furloughing more than 100,000 employees, many of them park and hotel workers.

ADVERTISEMENT