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Disney Spent $34.7 Million On Cancelled Pixar Spinoff

1. Disney canceled 'Planes 3' after spending $35 million on it. 2. Disney's production costs are often hidden but can reach substantial amounts. 3. The 'Cars' franchise generates significant merchandising revenue, exceeding $10 billion. 4. Streaming rise caused closure of DisneyToon Studios and halted production plans. 5. UK tax incentives helped mitigate costs for productions, including 'Planes 3.'

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FAQ

Why Very Bearish?

The cancellation indicates rising costs and strategic missteps, similar to Warner Bros.' recent losses.

How important is it?

Cancelling high-cost projects can affect investor confidence in Disney's management strategy.

Why Short Term?

Immediate financial impacts from cancellation and studio shutdowns will reflect in stock prices.

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