Trian Partners Activist Presentation Deck
Confidential-Not for Reproduction or Distribution
Fox Acquisition Increased Disney's Leverage Dramatically
• Investors are still paying for the Fox deal as Disney works to reduce its leverage
• Disney is also expected to buy Comcast's $9bn(¹) stake in Hulu in 2024, which will keep its
leverage profile well above historical levels for years
Disney Net Financial Leverage
$42 $41
$bn
That balance sheet is the balance
sheet from hell...doing nothing about it,
except for spending more than they
have."
Jim Cramer
Nov 17, 2022-Cramer's Investing Club
$13
0.8x
$16
0.9x
$21
1.3x
$17
0.9x
2.5x
4.2x
$38
4.0x
$37
2.7x
Estimates
$33
2.1x
$35
1.9x
FY15A FY16A FY17A FY18A FY19A FY20A FY21A FY22A FY23E FY24E
Net Debt-Net Debt / EBITDA
Source SEC sings, FactSet as of 1/1023
(1) Minimum foor valuation determined by PutCall agreement. (2) Estimated net debt calculated by adding ad consensus tee cash fow to prior year net debt net leverage ratio calculated off consensus
EBITDA, Assumes the purchases of the remaining CamTech stake in FY23 and the remaining Hulu stake for $2bn in FY24 are financed through debt incremental interest expense from these debt funded
acquisitions assumes a 5.5% interest rate (in line with current market conditions), tax adjusted at a 25% nomalized tax rate
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