Tokyo Disneyland will open April 15, its operator Oriental Land Co. said, after the amusement park was shut by Japan’s March 11 earthquake, which damaged power plants and caused disruptions to electricity supply.
The theme park will run on shortened hours until 6 p.m. daily, Oriental Land said in a statement to Tokyo’s stock exchange today. It's "aiming toward the earliest reopening" of the Tokyo DisneySea theme park, Oriental Land said, without providing a date.
The monthlong closure of the two parks may have cut the company’s revenue by about 21 billion yen ($249 million), according to Bloomberg calculations using data from the company. Sales at the theme parks, which generate 82 percent of Oriental Land’s revenue, may suffer during summer as power supply is regulated to avoid a large-scale blackout.
“The reopening of the Disney Resort would symbolize the start of reconstruction in Japan, as it must be a big power consumer,” said Toshihiro Nagahama, chief economist at Dai-ichi Life Research Institute Inc. in Tokyo. “The disaster is a big blow to Japan’s tourism.”
Oriental Land rose 0.2 percent to close at 6,630 yen in Tokyo trading today. The stock has dropped 19 percent since March 10, compared with the broader Topix index’s 9.9 percent decline.
The Japanese government said it plans to urge companies to reduce power use by as much as 25 percent this summer during peak usage months in order to help prevent rolling blackouts.
Oriental Land estimated sales of 375 billion yen including 305.8 billion yen from the theme parks for the year ended March 31, the company said in February.
Visitors to the two parks slipped 1.8 percent to 25.4 million in the 12 months ended March 31 because of the closure, Oriental Land, based in Urayasu, east of Tokyo, said April 1. The average customer spent about 10,000 yen, according to Hiroshi Kitamura, a spokesman for the company.
Tokyo and eight nearby prefectures, which account for about 40 percent of the country’s gross domestic product, may have a shortage of 15,000 megawatts should temperatures approach last year’s record heat level. The March 11 earthquake and aftershocks prompted Tokyo Electric Power Co. to shut power plants, according to the government.
The closures, which included Tokyo Electric’s crippled Fukushima Dai-Ichi nuclear facility and oil and coal-fired generators on the Pacific coast, reduced capacity by 8 percent, according to Bloomberg calculations based on data provided by the Federation of Electric Power Companies in December.
Both Disneyland and DisneySea didn’t suffer major damage when the 9-magnitude earthquake hit northeastern Japan, the company has said. The area was fortified 15 meters (49 feet) deep during construction so it wouldn’t be at risk during tremors, according to Hiroshi Kitamura, a spokesman. The company repaired car parks, as some areas suffered damage following the temblor.
Oriental pays royalties to Walt Disney Co. (DIS) Shutting the park for three months may cost Disney about $50 million in lost royalty revenue, according to a report by Bank of America Corp.’s Merrill Lynch published last month
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