The story of Disney (DIS) has been far from a fairytale of late. Tesla CEO Elon Musk recently called for CEO Bob Iger to be "fired immediately." And now, South Carolina is pulling its state funds out of the entertainment conglomerate.

According to South Carolina State Treasurer Curtis Loftis, the decision to divest has to do with the company's management abandoning their fiduciary responsibilities.

"I think it's clear to anybody paying attention that there's a structural rot inside of Disney. It's deep, it's pervasive, and I suspect Bob Iger, since his return as the CEO, now realizes it can't be fixed," he told Fox Business Digital, adding that it "does not bode well" for the future of the company.