Disney's Iger Gettin' the Band Back Together

Staggs, Iger and Mayer

Walt Disney Co. Chief Executive Bob Iger has hired two former lieutenants — Tom Staggs and Kevin Mayer — as consultants to help the company analyze strategic options for ESPN, according to two people familiar with the plans who were not authorized to comment.

The L-A Times reports the former Disney colleagues, who now run Los Angeles-based Candle Media, will work with ESPN Chief Jimmy Pitaro to evaluate strategic partners for the cable sports operation, the knowledgeable sources said.

Both executives have deep ties in investment circles. Candle Media is backed by private equity firm Blackstone.

Disney intends to keep ESPN, which has rights to the most popular sports leagues in America, according to Iger. The sports behemoth is still hugely popular and profitable, but it faces significant headwinds because its primary revenue stream is under threat as more and more consumers ditch their cable and satellite TV subscriptions in favor of streaming apps.

The sports juggernaut last month laid off roughly 20 high-profile commentators, including former New York Knicks coach Jeff Van Gundy, former NBA player Jalen Rose and popular NFL broadcaster Suzy Kolber.