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Law360 (April 1, 2020, 4:30 PM EDT) -- The Walt Disney Co.'s general counsel is among the latest in a growing list of top corporate lawyers who are forgoing at least part of their salaries as businesses deal with financial losses amid the ongoing COVID-19 pandemic.
Longtime general counsel Alan Braverman is one of four Disney executives set to give up 30% of their base salaries, starting with the payroll period beginning on Sunday, according to a Monday company filing with the U.S. Securities and Exchange Commission. The others named in the filing who are taking the same cut are the chief financial officer, chief human resources officer and chief communications officer.
Disney also said in the filing that Executive Chairman Robert Iger has agreed to forgo the majority of his pay, while CEO Bob Chapek — who assumed the role just over a month ago — will take a 50% pay cut.
The reductions among the executive officers come "as part of a series of measures to better enable the company to weather the extraordinary business challenges occasioned by the current national health crisis," Disney said in the filing.
The company did not comment on Wednesday beyond the SEC document.
In line with guidance from the Centers for Disease Control and Prevention and local and state health officials, the majority of consumer-facing businesses have either closed indefinitely or are open with limited operations, such as delivery or curbside services.
Disney has said the impact of the COVID-19 outbreak and measures to prevent its spread have affected the business, as the company has taken action including closing its theme parks, suspending its cruises and postponing the distribution of films, according to a March 19 SEC filing.
"We expect the ultimate significance of the impact of these disruptions ... will be dictated by the length of time that such disruptions continue which will, in turn, depend on the currently unknowable duration of the COVID-19 pandemic and the impact of governmental regulations that might be imposed in response to the pandemic," Disney said on March 19.
Braverman has served as executive vice president and general counsel at Disney for more than 17 years, according to his company profile. The Duquesne University School of Law alumnus earlier in his career worked at ABC Inc. and in private practice at what is now WilmerHale.
Other top lawyers who have recently given up all or some of their base salaries amid the COVID-19 outbreak include those at Marriott International, Macy's Inc., The Cheesecake Factory Inc. and video gambling giant Accel Entertainment Inc.
In the U.S., about 3,600 deaths have been linked to COVID-19, and there are more than 186,100 cases in all 50 states, Washington, D.C., and the American territories, according to the CDC as of Wednesday afternoon.
--Editing by Nicole Bleier.
For a reprint of this article, please contact reprints@law360.com.
