Robert Iger turns Disney's entertainment business upside down

Hammer at Disney: Disney Media & Entertainment Distribution, which was set up to be the clearinghouse for all content distribution decisions at Disney Studios, has been eliminated as part of the restructuring announced Thursday.

Three executives will be in charge of the company's major entertainment and sports operations as part of Iger's restructuring. Dana Walden and Alan Bergman, the heads of the film studios and Pixar, Marvel and LucasFilm, respectively, will serve as co-chairs of the newly formed Disney Entertainment division. Dana Walden previously led Disney's general entertainment division, which includes content creation for ABC, Disney+, Hulu and other cable channels.

Jimmy Pitaro, chairman of ESPN, will expand his responsibilities by taking over management of technology, distribution and ad sales for ESPN and its sister channels, as well as the ESPN+ streaming service. Iger said Wednesday that he has no intention of selling or spinning off the sports media business, although rumors have circulated that Disney may consider splitting up ESPN.

Going forward, ad sales, distribution and technical operations will be led by Ms. Walden, Mr. Bergman and Mr. Pitaro.

Rebecca Campbell, the head of Disney's overseas operations and a longtime executive who held many key leadership positions during her tenure there, is one of the executives leaving as part of the restructuring. Direct reports to Disney Entertainment and ESPN will now be made by the management group she heads.

In a memo to employees, Iger wrote of Ms. Campbell, "Her talents and experience, as well as her warmth and sense of compassion, will be missed."

More cuts are expected in the coming weeks as DMED and foreign divisions consolidate. According to Mr. Iger, Wednesday, content promotion is one of the other areas likely to be examined.