Los Angeles - The gloomy economy has cast a financial evil spell even over Disney's magic kingdom.

The entertainment giant reported Thursday that fourth-quarter profit fell 13 per cent as tourists stayed away from its worldwide resorts and advertisers cut back on television spots.

The company, which includes the ABC network and ESPN sports channels, said that net income declined to 760 million dollars, or 40 cents a share, from 877 million dollars, or 44 cents, a year earlier. The results included a 92-million-dollar loss from the Lehman Brothers' bankruptcy.

Revenues rose to 9.45 billion dollars from 8.93 billion dollars a year ago.