[1/2] A screen displays the logo and a ticker symbol for The Walt Disney Company on the floor of the New York Stock Exchange (NYSE) in New York, U.S., December 14, 2017. REUTERS/Brendan McDermid
June 3 (Reuters) – Walt Disney’s (DIS.N) Pixar Animation Studios has eliminated 75 positions, including that of two executives behind box office disappointment “Lightyear,” sources said on Saturday, the studio’s first significant job loss in a decade.
The cuts include “Lightyear” director Angus MacLane, a 26-year-old animator who was part of the senior creative team on critically acclaimed films like “Toy Story 4” and “Coco.” Galyn Susman, producer of “Lightyear”, also left. Susman has been with Pixar since the release of the original film ‘Toy Story’ in 1995.
MacLane and Susman could not be reached for comment. Michael Agulnek, Pixar’s vice president of global publicity since 2015, was also fired, the sources said. He did not call back for comment.
The cuts, which took place May 23, are part of Walt Disney Chief Executive Bob Iger’s previously announced plan to cut 7,000 jobs and cut $5.5 billion in costs. That restructuring combined the film and television groups into a single Disney Entertainment unit and eliminated a division in charge of distribution.
While small compared to Pixar’s workforce of about 1,200, the layoffs are notable because the studio is a creative force generating franchises and characters that are driving sales across Disney.
Pixar is famous for movie franchises including ‘Toy Story’, ‘The Incredibles’ and ‘Cars’. But “Lightyear,” released a year ago on a reported budget of $200 million, grossed a modest $226.7 million in worldwide ticket sales and received mixed critical reception.
In contrast, Pixar’s “Incredibles 2” in 2018, which reportedly had a similar production budget, had $1.2 billion worldwide box office sales.
“Lightyear” could not be shown in 14 countries in the Middle East and Asia due to its depiction of a same-sex relationship. This had an impact on box office performance.
Disney has made layoffs in every division, including film and television, streaming services and theme parks.
The last time Pixar cut jobs was in 2013, after the studio delayed the release of the 2015 movie “The Good Dinosaur” and fired its director, Bob Peterson. About 30 positions were eliminated.
Disney acquired Pixar in 2006 to revive its struggling Disney animation.
Reporting by Dawn Chmielewski; Edited by Cynthia Osterman