Walt Disney Co.'s "possible sale of its Anaheim sports
operations is only one option that the company is
considering as it struggles to cut costs and focus on
businesses with growth and potential," according to
observers and company execs cited by E. Scott Reckard of the
L.A. TIMES. Disney Dir Raymond Watson: "The company is
looking at lots of things -- as it should be -- but has made
no decisions about any of them." According to "senior"
Disney execs, company CEO Michael Eisner "has been asking
managers to look at numerous scenarios that would cut
costs," and the sale of the Angels "is one of several
possible scenarios being discussed hypothetically." In a
"cost-cutting mode," the Angels "could suddenly be viewed as
dispensable by Eisner." One source at Fox TV said, "Teams
are content and they represent great brands, but Disney has
lost its leverage in regional sports. It has no regional
sports network, and the second-ranked (baseball) team in the
region." Sources speculate that the Mighty Ducks "could
also be viewed as disposable, except that they are probably
a better investment for Disney because of the favorable
contract the team has" at The Pond. Also, if an NBA team
moved into The Pond, Disney would "share in revenues" from
suites, club seats and advertising (L.A. TIMES, 8/11).
