The New York Post reports that AOL Time Warner execs may be exploring the possibility of merging with Disney. The article quotes Dick Parsons, who says that internal reviews are being conducted but any such merger would be a long way off.
Also cited are AOL Time Warner’s chief spokesman, Ed Adler, who denies that such discussions have taken place, and an unnamed source who confirmed the existence of the exploratory talks.
The article notes that before pursuing a pact with Disney, Parsons would have to gain control over a divided board and get the company’s slumping stock price back up.
A joint news venture between AOL Time Warner’s CNN unit and Disney’s ABC network, a 50/50 proposition according to Michael Eisner, is on the table and could lay the groundwork for something bigger.