Euro Disney Creditors Weigh Restructure; Stock Plunges

Creditors of Euro Disney, the troubled theme park in which Walt Disney Co. has a major stake, discussed a restructuring Wednesday as the company’s shares lost nearly 19% of their value.

On the Paris market, Euro Disney stock fell to a record low of $4.61. But on the New York Stock Exchange, Walt Disney’s shares were unaffected, edging up 12.5 cents to close at $39.

Disney has a 49% stake in Euro Disney as part of the original agreement with the French government, which limited Disney’s holdings to less than 50%. Disney receives fees for operating the park, and its liability for covering losses is limited under its agreement with Euro Disney. The park opened in April, 1992.

A bank official in Paris said Euro Disney creditors are discussing whether to set up a group to oversee a restructuring of the firm’s debt of $3.56 billion.

The official said one of Euro Disney’s main bankers, Banque Indosuez, would probably manage the restructuring.

A spokesman at Banque Nationale de Paris, another key Euro Disney bank, confirmed that talks were taking place among banks but declined to comment further.

Euro Disney and Indosuez officials were not available for comment.

Disney has said it is seeking to restructure the park’s heavy debt as part of its efforts to stanch the flow of red ink.