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Disney CEO On Disneyland's April 30 Reopening: 'No Shortage Of Demand'

Walt Disney Co (NYSE: DIS) confirmed Wednesday it will reopen its Disneyland theme park in California on April 30 and the company is excited to "bring the magic back to everybody involved," Disney CEO Bob Chapek

· 03/17/2021 13:24

Walt Disney Co (NYSE:DIS) confirmed Wednesday it will reopen its Disneyland theme park in California on April 30 and the company is excited to "bring the magic back to everybody involved," Disney CEO Bob Chapek told CNBC's Julia Boorstin.

What Happened: Disney's capacity guidelines will be set by California laws at 15% of fire-code capacity. The company believes it has earned the trust of customers who are looking to Disney to "do the right thing" and keep everyone safe and healthy in its property.

"We've certainly proven that we can [open] responsibly," Chapek said, "whether it's temperature checks, masks, social distancing, [or] improved hygiene around the parks."

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Why It's Important: Disney's reopening plans for California will also be accretive for shareholders. Management's reopening strategy from the beginning of the pandemic called for a reopening only if the company can recoup at the very least the variable costs associated with running the parks.

"Certainly, Disneyland fits that, just like Disney World has and all of our parks around the world," the CEO said.

What's Next: There is "no shortage of demand" as people are becoming more confident in the fact they can travel again, Chapek said. The outlook for the parks in California is expected to follow the "tremendous" success that was seen in Florida since Walt Disney World's reopening nine months ago.

Disney's stock traded around $194.15 at publication time.