Rule 424(b)(3)
                                                       Registration No. 33-62777

PRICING SUPPLEMENT NO.      1         dated      May 7, 1996
                      ---------------       ----------------------


                           THE WALT DISNEY COMPANY


                              MEDIUM-TERM NOTES

This Pricing Supplement accompanies and supplements the Prospectus dated 
March 7, 1996, as supplemented by the Prospectus Supplement, dated March 7, 
1996 (the "Prospectus Supplement").

The Notes have the following terms (as applicable):

Rate:  / / Fixed Rate      /X/ Floating Rate   / / Zero Coupon   / / Discount

Form:  /X/ Book-Entry      / / Definitive

Principal Amount: $50,000,000
                 ------------

Original Issue Price: 100%  CUSIP No: 25468PAA4
                     ------           ----------

Proceeds to the Company: $49,875,000
                        ------------

Commission to Agents: $125,000
                     ---------

Original Issue Discount:   N/A    
                        ----------

Original Issue Date: May 10, 1996
                    -------------

Stated Maturity: May 11, 1998
                -------------

Yield to Maturity:   N/A    
                  ----------

Initial Maturity (for Renewable Notes):
                                       --------

Final Maturity (for Renewable Notes):
                                     ---------

Earliest Redemption Date:    N/A    
                         -----------

Redemption Price:    N/A    
                 -----------

Interest Rate Per Annum (for Fixed Rate Notes):         %
                                               ---------

Interest Rate Provisions (for Floating Rate Notes):

    Initial Interest Rate: 5.875% per annum from May 10, 1996 to but 
                           -----
                           excluding May 12, 1997

    Base Rate or Rates:
     / / Commercial Paper Rate
     /X/ LIBOR:
          / / Reuters Monitor Money Rates Service
          /X/ Dow Jones Telerate Service (Telerate Page 3750)
          / / Index Currency
     / / Treasury Rate
     / / Prime Rate
     / / Federal Funds Rate


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     / / CD Rate
     / / CMT Rate
          / / Dow Jones Telerate Page 7055
          / / Dow Jones Telerate Page 7052
               / / Week
               / / Month
          / / CMT Maturity Index: 
                                  -----------------
     / / Other: 
                -----------------------------------

Spread: plus 0.125%
       ------------
Spread Multiplier:       %
                  --------
Index Maturity:
     /X/ 1 Month
     / / 3 Months
     / / 6 Months
     / / 1 Year
     / / Other (specify)            
                        ------------

Maximum Interest Rate: 6.675% per annum
                      -------

Minimum Interest Rate:      % per annum
                      -------

Interest Payment Dates:
     / / Third Wednesday of each month
     / / Third Wednesday of each March, June, September and December
     / / Third Wednesday of each
                                ------------
         and
            --------------
     / / Third Wednesday of each
                                ------------
     /X/ Other (specify): The first interest payment date shall be May 12, 
         1997 and thereafter the interest payment dates shall be the 10th 
         day of each calendar month commencing on June 10, 1997.

Regular Record Dates:
     /X/ Fifteenth day (whether or not a Business Day)
         immediately preceding the related Interest Payment Date
     / / Other (specify) 
                         --------------------------

Interest Payment Period:
     / / Monthly
     / / Quarterly
     / / Semiannually
     / / Annually
     /X/ Other: Annual for the period up to but excluding May 12, 1997 and 
         thereafter monthly.

Interest Reset Period:
     / / Daily
     / / Weekly
     /X/ Monthly (commencing on May 12, 1997)
     / / Quarterly
     / / Semiannually
     / / Annually


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Interest Reset Dates:
     / / As specified in Prospectus Supplement
     /X/ Other (specify): The first Interest Reset Date shall be May 12, 1997
         and thereafter the Interest Reset Dates shall be the 10th day of each
         calendar month.

Interest Determination Date:
     /X/ As specified in Prospectus Supplement
     / / Other (specify): 
                          ------------------------------

Purchase of Notes at Option of Holder
- -------------------------------------
Purchase                   Purchase
Date(s):                   Price(s):

Calculation Agent:      Citibank, N.A.
                   --------------------------

Plan of Distribution:

     Merrill Lynch, Pierce, Fenner & Smith Incorporated ("Merrill Lynch") 
has acted as agent for the Company in connection with the sale of the Note.

























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