The question was poised in a different thread – asking where Disney would come up with the funding for a 5th gate to complete against Universal’s 3rd and 4th gate in Orlando.
Since I didn’t want to hijack that conversation, we are opening a new conversation to thoroughly answer the question.
To start off, we need to fund the expansion at Hong Kong Disneyland – which I remember being 800 million (I can’t re-find the source, so let’s just go with that for now).
Then we need to fund the Epcot makeover – again, I can’t find the source, but I think it was somewhere around 2.5 billion.
Then we will be able to fund the 5th gate – let’s call it 5 billion, roughly the cost for Shanghai Disneyland.
So what is that? 8.3 billion dollars that need funding.
Let’s knock off 1 billion right off the bat for merchandising profits. Star Wars alone does this in a year.
Then let’s talk about what is in the movie pipeline.
Rogue One – 1 billion
Guardians of the Galaxy 2 – 1 billion in its sleep
Cars 3 – 800 million
Incredibles 2 – 500 million
Toy Story 4 – 1 billion
Star Wars 8 – 1.5 billion
Han Solo movie – 800 million
Indiana Jones movie – 500 million
Thor: Ragnarok – 500 million
Avengers: Infinity War Pt1 – 1.2 billion
Avengers: Infinity War Pt2 – 1.2 billion
And there you have more than your budget. This doesn’t even include properties that are new like Black Panther and originals from Disney Animation and Pixar….these are just movies with track records. And I low balled the returns on these to cover production costs.
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