BURBANK, Calif. – The Walt Disney Company announced today that it will write-off its $114 million investment in aircraft leveraged leases with United Airlines, resulting in an after-tax charge of $83 million, or $0.04 in its first quarter ended December 31, 2002. Based on United’s recent bankruptcy filing, the Company believes it is unlikely that it will recover this investment.
After the charge, the Company has a remaining investment in aircraft leveraged leases totaling approximately $175 million with Delta Airlines and FedEx.
The Company’s aircraft leveraged lease investments are described in the Company’s Annual Report on Form 10-K for its fiscal year ended September 30, 2002.