IGER SAYS THERE'S ‘FEELING OF EXHILARATION’ AT DISNEY AND ABC
BURBANK, Cal. -- Saying current economic slowdown “is just a speed bump” and new technology offers his company exceptional opportunities, Disney Pres.-COO Robert Iger told us “we have a feeling of exhilaration at the Disney Co. right now… as a company, we're extremely optimistic.” He said, “I think the economy is still sound [but] a feeling of pessimism” has set in among industry executives and national advertisers that’s causing concern. “It’s still too early to tell” about overall TV economic performance in 2002, Iger said.
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Asked about concerns among TV industry executives about impact of technology on traditional TV, Iger said “we look at it the other way. We think it will allow us to do 2 things": (1) Acquire more access into homes. (2) Create better products for consumers. Disney-ABC is satisfied with conditions FCC and FTC imposed on AOL acquisition of Time Warner, but “we're not boasting about winning anything,” he said in interview in his modest office at Disney complex here.
Iger was optimistic that Hollywood could avoid strike this spring by Writers Guild of America (WGA) and/or Screen Actors Guild (SAG), saying it’s “premature” to predict strike (CD Jan 17 p6). Negotiations with WGA were scheduled to start yesterday (Mon.) with heads of all major studios planning to attend -- “an unprecedented” move, said Iger -- and also unprecedented is fact negotiations will be held at WGA hq in L.A. WGA has set 2-week limit for talks to reach agreement, which Iger said was “impractical… impossible.” He called “preposterous” speculation that studios and networks covertly welcomed strike (CD Jan 11 p3). “I meet with my cohorts on this regularly,” he said, and problem is proposal put on table by WGA (CD Jan 11 p9).
In testimony before Senate Commerce Committee last fall, Iger called for universal rating system covering both TV and movies -- proposal strongly opposed by MPAA Pres. Jack Valenti. Iger said he hadn’t pushed idea because “I didn’t sense that I had any allies… As a start, I would have to get Jack to agree [and] I sensed that it wasn’t going anywhere, but I haven’t given up on the philosophy.” “Yes, it works,” he said when asked about synergy Disney had expected in moving most of ABC operations last year to Burbank in new building adjacent to Disney complex. He said only handful of executives left ABC rather than move to Cal. Iger predicted network’s heavy reliance on reality programming was “a trend” that won’t last “very long.”
On deregulatory front under new Bush Administration, Iger said: “I think we're going to see the cap [35% of coverage of TV homes by any one owner] fall,” along with deregulation in other areas. If cap is lifted, he said, ABC will be looking to acquire stations, but “we're not going to do it” if price isn’t right. Iger is longtime executive of ABC (network and all ABC operations report to him), joining in 1974 as a studio supervisor. He spent several years in ABC Sports before becoming exec. vp of TV Network in 1988 and pres. of Entertainment year later. In 1993, he moved up to pres. of TV network and was promoted to pres.-COO of ABC year later. He moved to his present job year ago. Asked where he spent most of his time, Iger said with “everything… in all of our businesses.” At least monthly trips to N.Y. are on his agenda to take care of ABC matters. He’s proud owner of 52-ft. sail boat “Aquarius” (built in 1998 to his specifications), which he said he rarely gets time to enjoy. Aquarius currently is in process of being moved to West Coast from East Coast.