Southern California theme parks announced temporary closures Thursday after California Gov. Gavin Newsom advised residents of the Golden State to cancel or postpone events involving more than 250 people.
Universal Studios Hollywood, Disneyland and Disney’s (NYSE:DIS) California Adventure plan to close starting Saturday, March 14.
Initially, Newsom had said that large parks like Disneyland would not be included in the ban on large gatherings. Talks with the companies resulted in the announcements.
These are the fourth and fifth Disney parks to close amid the coronavirus pandemic. Previously, Disney parks in Tokyo, Hong Kong and Shanghai have shuttered temporarily.
The hotels at Disneyland Resort will remain open until Monday, so that current guests can make travel arrangements. Downtown Disney, a local shopping area, will remain open.
Disney will continue to pay cast members while the park is closed. It anticipates keeping the parks closed until April. Universal Studios expects to reopen on March 28.
In February, Disney had said the closure of its Hong Kong and Shanghai parks would likely deal a $175 million blow to the company’s operating income, if the parks remained closed for two months. It is likely that loss will be much greater now that Tokyo Disneyland and the two California parks have closed.
Disneyland in Paris has temporarily suspended its parades and adjusted the capacity of two of its restaurants and its queue line capacity to follow local government guidelines. That began Thursday and will be implemented through April 15.
Disney shares jumped $4.17, or 4.5%, to $95.98
