The Walt Disney Co.’s board of directors elected former Nike CEO Mark Parker as chairman, effective after the company’s annual meeting of shareholders.
Parker succeeds Susan Arnold, who invited former CEO Bob Iger to return to the company and abruptly replace Bob Chapek, who had followed Iger as CEO two years earlier.
Disney’s board has a 15-year term limit. Having served for 15 years, Arnold will not be standing for reelection. That will leave the size of the Disney board at 11 members.
Parker has been an independent director at Disney since 2016 and was CEO of Nike until 2020.
“Mark Parker’s vision, incredible depth of experience and wise counsel have been invaluable to Disney, and I look forward to continuing working with him in his new role, along with our other directors, as we chart the future course for this amazing company,” Iger said. “On behalf of my fellow Board members and the entire Disney management team, I also want to thank Susan for her superb leadership as Chairman and for her tireless work over the past 15 years as an exemplary steward of the Disney brand.”
Separately, Disney said it was recommending shareholders not vote for Nelson Peltz as a director or for the bylaw changes proposed by Peltz’s investment company, Trian Partners. Trian reportedly bought $800 million worth of Disney stock last year.
“The Walt Disney Company remains open to constructive engagement and ideas that help drive shareholder value,” the company said in a statement. “While senior leadership of The Walt Disney Company and its board of directors have engaged with Mr. Peltz numerous times over the last few months, the board does not endorse the Trian Group nominee, and recommends that shareholders not support its nominee and instead vote FOR all the company’s nominees.”
Disney said that Parker will chair a newly created Succession Planning Committee of the board. The committee will advise the board on CEO succession planning.
One of Iger’s key responsibilities upon returning to Disney was to identify a successor.
“I am honored to have the opportunity to serve as Disney’s chairman, and I look forward to working closely with Bob and his management team on a strategy of growth that balances investment with profitability, while preserving Disney’s core mission of creative excellence, to deliver shareholder volume,” Parker said. “At the same time, it is the top priority of mine and the Board’s to identify and prepare a successful CEO successor, and that process has already begun.” ■
