Euro Disney in No Position to Offer Dividend Soon, New Chairman Says
Euro Disney’s shareholders meeting, complete with music, strobe lights and dancers, proved unamusing to some investors who are demanding a dividend and a greater return on equity.
Shareholders gathered at company headquarters in a Paris suburb to hear the new chairman and chief executive, Gilles Pelisson, address them for the first time.
He made clear that even though the Disneyland Paris theme park had better-than-expected sales and attendance in the fiscal first quarter ended Dec. 31, Euro Disney, saddled with $2.6 billion in debt, is in no position to offer a dividend soon.
“1997 remains a difficult year, and we must prepare for the future,” said Pelisson. He said that in 1998 the company will have the “potential” to raise prices and reduce costs.
Pelisson said the amusement park company will benefit from investments in a new convention center and will see fewer financial charges next year.
The biggest entertainment stories
Get our big stories about Hollywood, film, television, music, arts, culture and more right in your inbox as soon as they publish.
You may occasionally receive promotional content from the Los Angeles Times.
