COMPANY TOWN : Eisners Donate $89 Million in Disney Stock

Walt Disney Co. Chairman Michael Eisner and his wife, Jane, donated 1 million shares of Disney stock worth $89 million last spring to a private family foundation, the company said Monday.

The contribution to Eisner Foundation Inc. came on April 23. In making the donation, the Eisners formed a new foundation, which is being combined with an existing family foundation, a company spokesman said.

The funds are earmarked for children who are underserved or have learning or other disabilities, and their families, Jane Eisner said in a statement.

“Monies from the grants will be used for education, medical care and other kinds of assistance, with special attention to the Southern California area,” she said.

The formation of charitable foundations has become an increasingly common practice among wealthy executives, both as a way to meet personal charitable goals and as a tax strategy.

The company’s last proxy statement filed in January shows that Eisner owned 2.9 million Disney shares, had exercisable options for 6.67 million more and options for 9.3 million that he can’t yet exercise.

Disney shares rose $2.31 to close at $89 amid expectations that the company will announce strong fourth-quarter earnings this week.