Disney CEO Bob Iger is officially signed on to spend an additional year running the show at the House of Mouse.
The company confirmed that Iger’s contract will now run until July 2, 2019.
“Given Bob Iger’s outstanding leadership, his record of success in a changing media landscape, and his clear strategic vision for Disney’s future, it is obvious that the Company and its shareholders will be best served by his continued leadership as the Board conducts the robust process of identifying a successor and ensuring a smooth transition,” said Orin C. Smith, independent lead director of the Disney Board, in a statement.
According to a filing today with the SEC, Iger is in line for a cash bonus of $5 million in addition to an award for fiscal 2019 as long as he stays on through the end of his renewed contract. After that, Disney intends to keep Iger on as a consultant for three years, for which Iger will receive a quarterly fee of $500,000 for each of the first 8 quarters during the Consulting Period and $250,000 for each of the last four quarters.
“Leading this great company is a tremendous privilege, and I am honored to have been asked to continue serving as CEO through July 2, 2019,” said Iger in a statement. “Even with the incredible success the Company has achieved, I am confident that Disney’s best days are still ahead, and I look forward to continuing to build on our proven strategy for growth while working with the Board to identify a successor as CEO and ensure a successful transition.”
Rumors that Iger would stay on longer as CEO have been circulating for some time now. Last month, the Wall Street Journal cited sources familiar with Disney’s plans who said progress finding a replacement for Iger has stalled since would-be heir COO Tom Staggs left last year.
Iger has said that he would be open to staying on longer if the board deemed it necessary for the good of the company. It’s unclear if Disney or Iger will announce anything about a contract extension when Disney holds its annual shareholders meeting on Wednesday.