Nothing Enchanted about it

hambone:

Well, that’s 10%+ of their debt, and 10%+ less interest expense, which frees up more cash to pay more debt, and gets the snowball rolling downhill. You gotta start somewhere.

The concept of the debt snowball and creating momentum that makes it easier to pay off the next 10% works because you assume you'll have the same income. Yeah, they'll pay off 10% of their debt, but they're selling off income generating assets to do it. Tell me if I'm missing something.

Possible spin-off?

I thought this name on an earlier post was funny. Enchanted Parks Michigan’s Adventure sounds like a Craig's Cruisers type of place.

I think this is all to distract from the Epstein files. I mean, who’s talking about that now?

It depends on whether the profit from those parks exceeds the reduction in interest expense. Your point is fair. But I don’t agree that 10 percent of the debt is trivial, as you seemed to imply.

I haven't been in a Six Flags park in a long time. Is there anything "Enchanting" about them? I say that seriously. Maybe a different descriptor would have been better. (To be fair, I don't even think Epcot or Disney Studios qualify as "enchanting").

There’s a corner of Dollywood that would qualify as “enchanted”, and I can name a couple of European parks that are so “enchanted” it’s ridiculous. (Looking at you, my beautiful Efteling).

Is enchanting the same as charming or is it a slider perhaps?

Oooh...can't wait for the opening of Enchantland and its mascot, Benchy the park bench!

MDOmnis:

If they were actually losing money, I think they would have been jettisoned a long time ago.

This reminds me of the "If Great Adventure needed a hotel, they would have built one already" fallacy.

At some point in the past decade, Six Flags America stopped turning a profit (I would guess 2019 was the last profitable year). It's not like 2024 was the first bad year and they called it a wrap. There has been a history of underperformance going back years. My assertion is that there are more "SFA's" still in the portfolio. For now.

It’s entirely possible that SFA was still profitable but the lump sum payment for the land was far more attractive to Six Flags.

When are they going to open Disenchantmentland?