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  "documentTitle": "The Walt Disney Company (DIS)",
  "authorId": "06_Trian_Partners",
  "authorName": "Nelson Peltz",
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  "presentationDate": "2024-03-01 00:00:00",
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  "notes": "Uses a waterfall bridge to visualize the 'missing' EBIT between pro forma expectations and actual FY23 results.",
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      "kind": "callout",
      "text": "How does Disney explain ~$8bn of missing EBIT?",
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      "text": "Disney ex-Experiences EBIT waterfall chart",
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      "text": "We are skeptical that Disney has delivered on its targeted synergies and EPS accretion given the deterioration of Disney's media earnings power following the acquisition. If Disney has fully delivered on target synergies, the benefits have likely been offset by the deteriorating earnings power of the acquired Fox assets. Furthermore, Fox continues to create new headaches for Disney, including the collapse of the India business over the last year and Charter’s recent decision to drop a portfolio of small but profitable cable networks (FXX, FXM, Nat Geo Wild)",
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      "text": "EBIT: -81%",
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      "text": "In our view, Fox represented an unnecessary and risky bet – the $71bn gross / $57bn net transaction value was over 3x larger than the cumulative value of the Pixar, Marvel and Lucasfilm acquisitions.",
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      "kind": "source-note",
      "text": "Source: SEC filings. Note: (1) Includes Disney's Entertainment and Sports segments as well as corporate expense allocations; FY 2023 Disney ex-Experiences EBIT adjusted for intersegment allocation of revenue from Consumer Products for comparability purposes post-Disney's recasting of financials. (2) Excludes $548mm equity in the loss of investees from Hulu. (3) Excludes Hulu earnings based on the Unaudited Pro Forma Condensed Combined Statements of Income of The Walt Disney Company found in Disney's Form 8-K filed on 08/29/19.",
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      "kind": "title",
      "text": "...And Has (Still) Not Delivered on Promises Financially",
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