Ads, pay TV transmission fees expected to help Disney's second quarter earnings

Market analysts are predicting that Walt Disney Co. (NYSE: DIS) executives will be smiling this afternoon when they announce second quarter earnings results.

That's because the ad market has strengthened for Disney's ESPN and ABC networks and the fees charged to pay TV providers to televise those networks are correspondingly going up. On top of that, Disney's deal with Netflix (Nasdaq: NFLX) to stream older ABC and Disney Channel shows could also contribute.

On the down side, Disney--like Comcast (Nasdaq: CMCSA), it might be noted--owns theme parks, and business was hurt in Japan when DisneySea Park in Tokyo closed from March 12 to April 28 due to the earthquake and tsunami.

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