The incident happened suddenly! Disney announced a change of leadership and the former CEO returned

Disney has just suddenly announced that current CEO Bob Chapek has resigned from his current position and former CEO Bob Iger will return to replace Chapek to lead the company.

Bob Iger

“We are grateful to Bob Chapek for his service to Disney over his long career, including guiding the company through the unprecedented challenges of the pandemic,” said Susan Arnold, chairwoman of the board. “The board believes that Bob Iger is uniquely positioned to lead the company through this critical period as Disney begins an increasingly complex period of industry transformation.”

The dramatic upheaval comes 11 months after Bob Iger left Disney and just days after Chapek said he planned to cut costs at the company.

The move comes after the company was weighed down by rising costs for its streaming service, Disney+, and reported earnings earlier this month that fell well short of Wall Street expectations. Even Disney's theme park business fell short of analysts' expectations, despite a sharp increase in revenue.

Chapek, whose CEO contract was up for renewal earlier this year, plans to freeze hiring, cut costs and lay off employees across the company.