Disney rejects Comcast bid

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Walt Disney's board has unanimously rejected cable operator Comcast's takeover bid as too low and endorsed CEO and Chairman Michael Eisner and his strategy for the company, trusting that the company's current structure and strategy would maximise shareholder value. The company said it would consider any "legitimate proposal" that created shareholder value. Comcast, which vowed it would be a disciplined bidder, almost immediately shot back that its proposal was "compelling" and "sound". Eisner has said Disney is doing well as a stand-alone content provider.

However several industry analysts and consultants commented that Comcast could improve the Disney television group - not by creating better shows but by selling, distributing and managing the assets better than the executives running them now. Rivals like Time Warner and News Corp have already struck deals to merge content and distribution