When Disney and the world’s largest hotel chain agree on one thing, it’s ‘a good night’

Disney has agreed to pay $1bn (£770m) in compensation to the families of four who were killed in an explosion at a Disney-owned hotel in the Philippines, the company has confirmed.

The victims were a mother and her six children, the eldest of whom was 13.

The families are expected to receive a total of $5.3bn (£3.8bn) in damages, the Disney statement said.

Disney said in a statement it was “deeply saddened” by the deaths of the four victims.

The statement added: “The families of the deceased will receive an unprecedented award to help them rebuild their lives and careers.”

The statement said Disney has paid the families’ compensation “to honor the victims and their families”.

It said Disney “will not be making any further comments” on the incident.

The family of the three others who were injured in the explosion at the Disney Resort Manila in the capital, Manila, told reporters that they were “very happy” with the deal.

They said they hoped to receive the money “in the coming days”.

The families had been living in the hotel for a decade.

The hotel was the scene of an explosion on July 25 which killed the mother and three children and injured several others.

The explosion occurred after a security guard at the hotel noticed a suspicious bag in the carpark.

The guard alerted police, who quickly took the suspect into custody.

A police report has not been released yet.

A US official who is part of the investigation said the explosives were “designed to explode as part of a controlled demolition” and the incident was likely the work of the Philippine National Police, a former security force.

The explosions occurred just a few blocks from the main entrance of the hotel, and were likely to have been triggered by a combination of negligence and inexperience, said the official, who was not authorised to speak publicly.

The Associated Press contributed to this report.