PepsiCo’s long-time Chief Financial Officer (CFO), Hugh Johnston, will be taking on the role of CFO at Disney, as the entertainment giant grapples with declining share prices and losses from its streaming service. Johnston, who has been with PepsiCo for 34 years and served as CFO since 2010, will report directly to Disney CEO Bob Iger. In a statement, Johnston expressed his admiration for Disney’s history and strong financial foundation, stating that the company is as rare as it is special. This appointment comes after the resignation of Disney’s previous CFO, Christine McCarthy, earlier this year, during a period of significant restructuring and job cuts at the entertainment company.
Disney is currently facing pressure from activist investor Nelson Peltz, whose firm Trian Fund Management has increased its stake in Disney to about 30 million shares. With the company’s streaming business suffering losses and its stock falling approximately 2% this year, Peltz’s firm plans to push for multiple seats on Disney’s board, including one for Peltz himself. These developments come ahead of Disney’s upcoming quarterly earnings report, which is scheduled to be released after the closing bell on Wednesday.
Overall, this news highlights the significant changes happening at Disney, with a long-time CFO from PepsiCo stepping in to navigate the company’s financial challenges, including declining share prices and streaming losses. The appointment follows the resignation of Disney’s previous CFO, Christine McCarthy, as well as the company’s recent restructuring and job cuts. Additionally, Disney is facing pressure from activist investor Nelson Peltz, who aims to secure multiple seats on the company’s board. The upcoming quarterly earnings report will provide further insight into the company’s financial performance.
