Disney plans major cuts, report says
Walt Disney Co. will substantially reduce its work force and slash its annual output of films from 18 to eight — cutbacks greater than Hollywood had anticipated, it was reported Wednesday.
Additionally, Daily Variety said all the movies will be Disney-branded, suggesting diminished roles for its Touchstone label. The Hollywood trade paper said a Disney announcement was expected within 10 days.
Burbank-based Disney, basking in the glow of a record $135.6 million debut weekend box office for “Pirates of the Caribbean: Dead Man’s Chest,” wouldn’t discuss the report.
“We are constantly evaluating our business to make it better and more efficient,” Disney spokeswoman Heidi Trotta said in a prepared statement to The Associated Press.
Disney’s move reflects a trend in Hollywood to cut costs amid increasing overhead, production budgets and marketing bills.
Disney has said for some time it was going to cut its total number of films and concentrate on Disney-branded offerings, which make more money that those released by the studio’s Touchstone label.
The studio has already greatly reduced the number of films released under its Miramax banner.
•An Amazon.com Inc. subsidiary has started selling DVDs of CBS News programs, one of the latest examples of how television content is increasingly being made available in more convenient, on-demand formats.
CustomFlix Labs Inc. lets customers choose content from “60 Minutes”, the evening news and certain documentaries, which will then be sent to them on a DVD.
Amazon.com, the Seattle-based online retailer, began offering the service late Wednesday on its Web site.
The service costs $24.95 for up to 10 segments or 90 minutes of content, according to the Web site.
In April, CustomFlix started selling DVDs of other networks’ archived shows, such as NBC’s “Westminster Kennel Club Dog Show” and “Antiques Roadshow” from PBS.
•General Motors Corp., which spends more on health care than steel, is offering advice to Congress on ways to streamline health care costs and improve quality.
GM Chairman and Chief Executive Rick Wagoner planned to tell a Senate panel Thursday about programs the automaker has developed to manage massive health care costs by stressing disease prevention, reduced waste and the benefits of generic drugs and health information technology.