Travis Kelce assumes role of "brand ambassador" for Six Flags

Plus the only remaining Cedar Fair board member on the board, Jennifer Mason the CFO of Marriott, announced she will not stand for re-election at the annual board meeting this year.

There is not a single remaining Cedar Fair board member out of the 10 and 3 of the 10 are legacy SIX board members.

What a mess - 1) that there is no Cedar Fair board member left 2) 30% of the board is legacy Six Flags and 3) the vast, vast majority of the two boards that got the company into this mess 2.5 years ago are no longer with the company to see the disaster play out

Chicago07:

What a mess - 1) that there is no Cedar Fair board member left 2) 30% of the board is legacy Six Flags and 3) the vast, vast majority of the two boards that got the company into this mess 2.5 years ago are no longer with the company to see the disaster play out

Exactly what we all have discussed all along.

Interesting that Jana is taking this moment (after the successful refinancing and in the middle of a war that could send gas sky high) to make this move. The stock, while not back at where they purchased it, is certainly better than the dire situation they found themselves in previously.

And sell to WHOM? I think the recent sale of the smaller parks is a sign that there may not be any other buyers at any premium price. So, what's their plan other than to get board seats? To what end, to drive the divestment of the real estate? Either way, this won't be good for coaster nerds.

and then this:

The activist investor acquired a 9% stake in the amusement park operator in October in partnership with former Gap CEO Glenn Murphy and Kansas City Chiefs tight end Travis Kelce, both of whom were brought into the fold to revitalize the Six Flags’ (FUN) brand and are considered potential board nominees.

No offense to Mr. Kelce, but I'm not sure that he's quite the board nominee a distressed company that has multiple billions in debt needs just now.

Maybe they can sell to Taylor?

Its odd to push to sell. Six Flags is a public company that only owns amusement/water parks. Rather than sell, you can change management (a lot cheaper). It would be different if the parks were part of a larger, diversified conglomerate operating in a number of different industries. Issue, to the extent there is one, is with company management not ownership.

Don't think people should want a board filled with people hyper focused on debt. Travis is more than just a football player. On the business side, he is growing his portfolio.

https://www.prestigeonline....vestments/

GoBucks89:

Rather than sell, you can change management

Which ... they just did, in fact. Really seems like an odd statement.

the JANA statement made it sound like their is a hostile bidder and the board has been reluctant to sell. There is no such entity to my knowledge, so I don't know what the heck they're talking about.

I'm afraid we're entering the Sea World era of Cedar Flags with constant rotating board members and C-Suite members, with no one able to formulate a strategy and be given the time needed to execute it. If we thought the decision making has been erratic the last few years, we probably haven't seen anything yet. Wall Street is anything but patient and unfortunately, this is a terrible time to be a coaster/park fan.

But hey - most of the people responsible for this mess have already moved on with their pockets lined with the "value" they created.

The “sell” in this case is land- they have offers to buy land (California probably) and lease back operations, which they so far have declined. This is the heart of the disagreement. Given how little the 7 “underperforming” (generous description IMO) parks sold for, Jana may have a valid point.

Selling Knotts land or any of its antiquated overflow lots would doom the most profitable park in the chain… they could maybe sell the one lot to the North, the rest they need for Boysenberry and Scary Farm. Magic Mountain sits in the middle of fairly fire prone valley no where near central LA. Discovery Kingdoms land is heavily protected and has tight city control , and they obv already sold CGAs land, over similar issues.

Blackrock and other private equity already had its fun with Busch and Merlin, and look how that is going. lol

Enchanted just took the away all the slow and steady hanging fruit. They obviously could sell the last few non park attached waterparks, but I bet the ROI on the remaining is 2x and hence why not sold to EPR.

I worry that their lack of short term focus is bad enough where even a park like Knotts or Cedar Point isn't 100% safe from a decision made on a whim that would be the end of said park as we've known it.

"As the current board continues to display “an alarming pattern of dysfunction and disjointed decision-making,” Jana Partners now feels only a sale will salvage the remaining value of the company and halt a “vomit-inducing ride” for investors."

That statement by JANA certainly will help the class-action lawsuit that is in play by investors; unfortunately all the people who created this mess are gone and have walked away with millions. Personally, I would like to see lawsuits filed against Bassoul and Zimmerman who, along with board leadership, are the direct representatives who lied to investors (especially Bassoul, Zimmerman was more like a lapdog going along with it all) and need to be held financially liable. Bassoul leaving the country is telling.

As for Kelce, I am disappointed that he didn't retire from football and take his ambassador role a bit more seriously. He has connections to the entertainment industry and could have spent the summer bringing a new version of his "Kelce Jam" music festival to the parks as a way to drive demand and really help to turn things around. I have confidence in Reilly to do more special events, refurbishing and story telling with older attractions that is less costly as way to drive attendance and revenue, but will this current board give him the green light to do what is required?

Kelcewood. Has a nice ring to it.

Sharpel007:

Magic Mountain sits in the middle of fairly fire prone valley no where near central LA.

My brother in Christ, could you be any more incorrect on this assessment. While those statements are technically true, the park is surrounded by development on all sides, and that trend is not going to stop. The fact that you now have to cross traffic to LEAVE the park (meaning traffic coming from BEHIND the park should tell you just how much development has happened in that area in the last 15 years, and how much that is worth for something other than an amusement park.

I've said it many times over the last two decades, that Magic Mountain's days are numbered and it will happen with the next downturn in the economy.

Good thing that wont be until (checks notes) we have a recession caused by huge inflationary pressures, spikes in the price of oil, dangerous Geo-political situations and large employment cuts due to some rapid technological change.

Gunkey Monkey:

As for Kelce, I am disappointed that he didn't retire from football and take his ambassador role a bit more seriously. He has connections to the entertainment industry and could have spent the summer bringing a new version of his "Kelce Jam" music festival to the parks as a way to drive demand and really help to turn things around. I have confidence in Reilly to do more special events, refurbishing and story telling with older attractions that is less costly as way to drive attendance and revenue, but will this current board give him the green light to do what is required?

If Great Adventure is a hint I'd say yes he's been asked to do those things. Find ways to get people into the parks without spending millions on a ride unless it's a needed ride like "Phantom Spire" aka the purple coaster.

This year they are redoing the Boardwalk area with some new flat rides empashis on rides has been often made, updating Best of the West restaurant as a smokehouse, adding some shows and I won't be shocked if Bob Ross isn't in the plans after it got canceled last season.