Hugh Johnston, PepsiCo
David A. Grogan | CNBC
Disney said Monday that Hugh Johnston, longtime Chief Financial Officer of PepsiCowill join the company as its new CFO as the entertainment giant struggles with a falling stock price and streaming losses.
Johnston has spent the past 34 years at PepsiCo, serving in various roles at the food and beverage giant before becoming CFO in 2010.
Johnston, who starts at Disney on December 4, will report directly to CEO Bob Iger.
“Disney is such a legendary company, with the world’s most beloved brands and a strong financial foundation to support the company of the future that Bob and his team are building,” Johnston said in a statement. “Very few companies have stood the test of time like Disney, making the company as rare as it is special.”
Disney’s previous CFO, Christine McCarthy, resigned earlier this year. Her resignation came amid the entertainment company’s massive restructuring during Iger’s second term as CEO, which began about a year ago. The company has cut 7,000 jobs this year during several rounds of layoffs.
The entertainment giant is also under new pressure from activist investor Nelson Peltz as it struggles with losses in its streaming business and shares down about 2% this year. Peltz’s company, Trian Fund Management, has increased its stake in Disney to about 30 million shares. CNBC previously reported that the company plans to seek multiple seats on the board, including one for Peltz himself.
Disney will announce its quarterly results after the closing bell on Wednesday.
Disclosure: Hugh Johnston is a member of CNBC’s CFO Council.