In a significant move, South Carolina’s State Treasurer, Curtis Loftis, has decided to exclude The Walt Disney Company from the state’s approved investment portfolio.
He cites concerns that Disney is prioritizing left-leaning activism over their responsibility to shareholders.
Loftis, a Republican responsible for overseeing South Carolina’s $70 billion annual budget, has criticized what he perceives as a fundamental problem within Disney.
He suggests that even the return of CEO Bob Iger may not be enough to remedy what he terms “structural rot.”
As part of this shift, the state will let its existing $105 million in Disney debt mature without reinvesting.
Central to Loftis’s criticism is his disapproval of ESG (environmental, social, and governance) strategies.
He views ESG as less about investment and more about a liberal agenda, saying, “People sometimes forget that ESG has nothing to do with investing. ESG is a speech and behavior code that was created by the left and delivered to everybody else under these virtuous circumstances, or presumed circumstances.”
He links Disney’s adoption of ESG to their declining film success and market value.
Adding to Loftis’s concerns is Disney’s recent acknowledgment in an SEC report that its political stance might be harming its shareholders.
Furthermore, Disney’s cessation of advertising on Elon Musk’s social media platform X, after pressure from a left-leaning group, was a significant factor in Loftis’s decision.
He views this as an attack on a platform promoting free speech, affecting primarily the middle and working classes.
Loftis strongly criticizes Disney and other companies for what he describes as a pseudo-advertising boycott, accusing them of trying to silence free speech.
His decision to not reinvest in Disney debt reflects his stance, as he explains, “I decided to let the debt roll off in this natural fashion — that way it didn’t cost the state anything. We just won’t be buying any more of their debt.”
In summary, Loftis’s decision underscores a broader debate among conservatives regarding the role of big corporations like Disney in social and political matters.
His actions represent a clear position against what he sees as corporate overreach into politics at the expense of their primary business obligations.
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