The Coronavirus pandemic and the peak of cases registered in Florida is having a very hard impact on the Walt Disney Company, one of the most powerful corporations in this state,
In late January, the pandemic began to hit companies in Disney’s global portfolio when the firm closed Shanghai Disney Resort and Hong Kong Disneyland.
In March, the company closed Walt Disney World in Orlando, their largest theme park. Its reopening was scheduled for July 11, but the date is in doubt -- and there is even a petition circulating in which thousands of signatories are pressing to delay the opening due to the increasing number of COVID-19 cases in the state.
Last month, the company estimated its profits have been cut by $1.4 billion due to the closure of parks, done to help control the virus spread.
In a June 11 report, Sanford C. Bernstein analyst Todd Juenger said Disney is losing about $ 1 billion a month while parks are closed.
The company's shares have plummeted more than 22% this year.
The shares of Walt Disney stock actually dropped when the company announced it would postpone the reopening of theme parks and resorts in California. The stock took a dip but has rebounded since.
The reopening of Disneyland Park and Disney California Adventure Park, which was scheduled for July 17, will be delayed until the company gets state approval, the company said.
The US economy, devastated by the Coronavirus, has begun to reopen, but there is little clarity about the pace and durability of the recovery, with new cases increasing in the country.
Disney also came in for criticism, as unions representing 17,000 workers voiced concerns that they were not convinced that theme parks were safe enough to reopen on company dates.