WSMH FOX 66 on Facebook WSMH FOX 66 Twitter WSMH FOX 66 RSS Feed WSMH FOX 66 Mailing List
 

FOX 66 News at Ten

WSMH FOX 66 :: News - News at Ten - Disney layoffs begin with its struggling interactive departments
Disney layoffs begin with its struggling interactive departments



Disney Interactive, the
struggling video game and digital media subsidiary of the Walt Disney Co., is
expected to begin a round of layoffs, according to a source with knowledge of
the matter.



The cuts could come as soon as this week.



Disney Interactive, which lost more than $200 million a year between 2008 and
2012, is in a period of transition. The division parted ways with its
Co-president John Pleasants in November, just months after the successful
launch of its "Disney Infinity" video game.



The Wall Street Journal, which first reported news of the layoffs, said Disney
Interactive would lay off "several hundred people."



The layoffs would follow other recent cuts. In January 2013, Disney Interactive
cut 50 jobs and closed Austin, Texas-based Junction Point Studios, the
developer responsible for the "Epic Mickey" titles. In January 2011,
the company shut down Propaganda Games, the development studio responsible for
the "Tron: Evolution" video game, and laid off about 200 people.



An official at the California Employment Development Department said that
Disney Interactive has not given notice of any layoffs in 2014. (The Worker
Adjustment and Retraining Notification Act requires companies with 75 workers
or more to notify the state, within 60 days of the layoffs, of forthcoming
reductions that eliminate 50 or more jobs.)



A spokeswoman for Disney Interactive declined to comment.



Robert A. Iger, chairman and chief executive of Disney, said on a conference
call with analysts in February 2013 that "profitability at Disney
Interactive has been a goal of ours in 2013." But the division lost $87
million for its fiscal 2013, which ended Sept. 28.



However, the unit swung to a profit in the fourth quarter, posting operating
income of $16 million, an improvement from a $76-million loss from the same quarter
a year earlier.



Burbank-based Disney will report its quarterly financial results on Wednesday.



"Disney Infinity," released in August after a years-long development
process that cost Disney about $100 million, has been a hit for the company.
More than 3 million copies of the action-adventure game have been sold.



The game, available on multiple platforms including PlayStation 3 and Xbox 360,
incorporates physical toys into the game-play. It is sold in a $75 bundle that
includes the game, three figurines and the base that connects the physical toys
to the onscreen action.



The game includes popular characters from the company's films, including Buzz
Lightyear and Woody from Pixar's "Toy Story" franchise and Capt. Jack
Sparrow and Barbossa from the "Pirates of the Caribbean" movie
series.



Though Pleasants was responsible for the launch of "Disney Infinity,"
his departure from the company was announced three months after the game
debuted. Disney Interactive is now run by Pleasants' former co-president, Jimmy
Pitaro.



Before joining the company, Pleasants had served as chief executive of social
media gaming company Playdom Inc., which Disney acquired in 2010 for $563
million.



Shares of Disney closed down $2.62 to $69.99 on Monday.



 



 



Source: Los Angeles Times



Disney layoffs begin with its struggling interactive departments

Wednesday, February 5 2014, 02:12 PM EST

National News Headlines

2 deputies, suspect killed after shooting at Maryland Panera
A man shot a sheriff's deputy in the head inside a crowded restaurant at lunchtime Wednesday and wounded another deputy during a shootout, authorities and witnesses said.

Sirhan Sirhan, assassin of Robert Kennedy, denied parole for 15th time
For the 15th time, officials denied parole for Sirhan Sirhan, the assassin of Sen. Robert F. Kennedy, after hearing Wednesday from another person who was shot that night and called for Sirhan's release.

2 Indiana HVAC plants to close, costing 2,100 jobs
Two Indiana plants that make products for the heating, ventilating and air conditioning industry are shifting their manufacturing operations to Mexico in moves that will cost 2,100 workers their jobs, company officials announced Wednesday.

Federal government sues Ferguson, Missouri
The federal government sued the city of Ferguson on Wednesday, one day after the city council voted to revise an agreement aimed at improving the way police and courts treat poor people and minorities in the St. Louis suburb.

Slain teen's father says he found out about her death on TV
The father of a 13-year-old girl who police say was slain by a Virginia Tech student says he found out about his daughter's death on TV.

Ex-priest arrested in 1960 slaying of Texas beauty queen
For more than half a century, the unsolved killing of a young schoolteacher and beauty queen who was last seen at church haunted the Texas city of McAllen.

Woman, 2 daughters fatally stabbed at New York hotel
A man repeatedly stabbed his girlfriend and all three of her children Wednesday morning at a hotel that was being used for homeless housing, killing her and two of her daughters, authorities said.

Missouri boy, 3, found dead in van hours after going missing
A 3-year-old Missouri boy who reportedly went missing early Wednesday from his grandfather's home was found dead hours later, draped in a blanket in a neighbor's van about a mile away, authorities said.

Police: 2 wounded, officer hurt in shooting in Tennessee
The Tennessee Bureau of Investigation is looking into an officer-involved shooting in Ripley, where two people were wounded by police and an officer was injured.

Amid Gun Debate, Rifle Teams Soar
No one can take aim at this popular high school activity.

West Point cadets go online, undercover to fight ISIS
A group of 16 West Point cadets recently created a Facebook page, Twitter account and website dedicated to combating the message of extremism aimed at vulnerable Muslim youth.

Looming cold snap could break records for Valentine's Day weekend
The coldest temperatures of the winter are expected for much of the United States on Valentine’s Day Weekend, bringing possibly record-breaking temperatures to the Northeast and subzero temperatures in parts of the Midwest.

Clothing salesman convicted of killing New York shopkeepers
A clothing salesman on trial for the serial slayings of three New York City shopkeepers has been convicted of murder.

Why Sleeping in Separate Beds Will Kill Your Marriage
The new trend of snoozing solo is keeping couples apart, when they should be growing closer.

Prosecutors: Charges upgraded in airline gun smuggling case
Prosecutors have upgraded charges in a gun trafficking case in which they allege at least two Delta Air Lines employees helped take guns on commercial flights in carry-on luggage from Georgia to New York.

Former Los Angeles sheriff to plead guilty in corruption case
Former Los Angeles Sheriff Lee Baca has agreed to plead guilty to lying to investigators during a federal corruption probe that tainted his career, federal prosecutors said Wednesday.

Oklahoma man arrested in decapitation of his grandmother, her husband
Oklahoma City police say a man arrested in the shooting and decapitation of his grandmother and her husband spoke to a neighbor after the crime, leading the neighbor to ask police to check on the couple.

University of Rejection: College Decision Time
How to take down the pressure when everyone else is freaking out.

Puppy rescued, recovering from quarter-sized rubber band around neck
A six month old puppy is now in recovery from having a quarter-sized rubber band around its neck, announced the Rancho Coastal Humane Society on Tuesday.

The Latest: Ex-sheriff says he told deputies to threaten FBI
The Latest on former Los Angeles County Sheriff Lee Baca's agreement to plead guilty to lying during a federal probe of corruption at the jails he ran (all times local): 12:10 p.m.

News at Ten Stories

Advertise with us!
IE6 Float Fix