Six Flags Confirms Plans to Sell 2 More Parks

http://biz.yahoo.com/bw/060127/20060127005325.html?.v=1

In an additional move designed to further streamline the company's operations, Six Flags will be putting its Oklahoma City-based Frontier City and White Water Bay parks on the market. The sale, to be handled by the Staubach Company, is expected to take effect after the 2006 season; both parks will be fully operational during the 2006 season.

Well, they're not top tier parks or anything, but it is a sign that the company is trying streamline. Personally, I think it's a great fact, ignoring the fact that they haven't really added anything to these parks since they bought them, I just feel that having two less parks in the chain makes handeling the chain that much easier. When Premier went gobbeling up parks, I think they just created a monster in a chain with far too many parks to be handled. I guess this is just the first step in the "New Six Flags Era."

Six Flags (NYSE: PKS - News) announced today its intention to consolidate Six Flags corporate operations, significantly expanding its presence in New York City; to close its office in Oklahoma City

Not as much of a shock, as they were talking about this for a while, but it's proof that big changes are being made. Six Flags will now be an East Coast company instead of a South Western company. In a way, it also makes more sense as the vast majority of the Six Flags parks are MUCH closer to NYC than they are to OKC, especially if they do decide to sell SFMM.

Well, times are a changing, and I'm sure this isn't the end. My prediction, we see at least three more parks hit the chopping block before the end of 06...

I would agree with you final statement only if you are talking about under performing parks that aren't really iconic to the company. I just can't see them dumping any of the 4 Flag ship parks no matter the state or condition because they all bring in a decent amount of revenue. SFADV, SFMM, SFGA, SFOG These 4 parks are in the perfect spots: East coast, West Coast, North and South. I hope none of them even gets considered.

Wouldn't it be nice if the DollyWood/SDC people snagged a couple of them? It couldn't hurt the parks any.

My prediction is that they will keep these parks: SFOT (especially since it was the original SF park), SFOG, SFGAdv, SFStL, SFGA & SFMM. I think the rest will be sold off either to other operators or real estate developers. The only two I'm not too sure about is SFGA and SFStL since they are not that far apart. Again, these are just my predictions.

Maybe a small real estate company like Tierco can buy Frontier City and history will repeat itself. :)

They can't sell SFOT or SFOG because SF Inc. does not own them.

I don't think most of the Six Flags parks will shut down...parks such as SFKK, SFMW, SFDL, SFA will all continue to operate, just either as individual parks, or parks under one of the newer, smaller chains. Perhaps Busch or Cedar Fair would pick up one or two and run them.

Being from Oklahoma.........this isn't such a bad thing. I really think that the parks were not taken care of under Six Flas quite like they were when Premier didn't have so much other stuff to worry about.

I wonder if Excalibur will be a part of this sale or if Six Flags will take that with them?

Per rcdb: "History: After sitting in storage at Frontier City for many years, the train from the Excalibur were sent to Six Flags Over Texas and the remainder of the ride was scrapped."

Wish Nightmare had been open when we were there, I *love* enclosed coasters! Hopefully the new owner will too... ;)

Darn........I thought it was still lined up in the grave yard just a month ago............I could be wrong and just seeing things.......and Six Flags could have sold it since then too.

SFMM and SFGADV are definately safe, as they are the two most popular parks in the entire chain. At least they are not closing these parks and sending the rides off to other locations so there still is the opportunity for new owners to step in.

What difference does it make? Excalibur was damaged so badly when it was removed from Houston that it will never be re-assmebled.

I think the two parks that they have in mind are SFKK and SFNO.

Six Flags Kentucky Kingdom is so close to Six Flags St. Louis and Six Flags Great America. They havn't recieved too many new additions besides Tornado. The Kentucky State Fair uses the park anyways so...

As for Six Flags New Orleans...I have heard a lot that Six Flags can't really sell it but I am sure they will find a way to get out of that property. The park is destroyed already. It wasn't getting that good of attendence. It would take a lot more money to rebuild the park and get the rides back. They can just sell the land.

Other parks that might be on the block would be SFEG (too urban).You also need to take into account the other parks that aren't under the Six Flags name. I don't know if they are game or not.

I would think that SF will kinda regionalize their parks. Look for parks that are not close to other SF parks to stick around, and ones that are already branded as SF parks. This would mean SFNE, SFA, SFGAd, SFGAm, SFDL, SFMM, SFMW, SFOG, SFOT, SFFT. They may also get rid of some of the smaller non branded parks like Wyandot Lake and maybee even The Great Escape. I would think that SFEG may be gone soon as they have no room to expand and are running into parking problems with the pepsi center sharing a parking lot. SFKK and SFSTl are fairly close to each other and one should probably go. I would think that one would be SFKK as SFSTl was one of the original parks.

If SF is looking at how much money they could make on the sale of the parks or the sale of the land that the parks sit on, I would honestly look for SFMM to be closing. They have the property that is on the land that has some of the highest land value in the chain. They could move the rides to other parks in the chain, and sell the land and make a huge profit.

Some of the parks that people think may be closing or sold probably won't be. SFDL is out in the middle of nowhere. The only price they could get for the park would be if someone bought the park with all the rides in it. They probably couldn't get more than $50 million for it. SFA is in a residential area, but has lots of coasters and is near Washington DC. They will probably sell off the land around that park that they own and profit off of that, but not actually sell of the park. SFEG is landlocked (as mentioned above) and could close or be sold off. SFMW is just outside of San Fransico, and they have mrine life along with the rides. SFNO they should just tear down the park and try and salvage what they can. It is totally destroyed and most of the rides won't ever work again. I bet they could only save a few things from there anyways. Besides, attendance was poor there. Who knows what would happen with the rest.

We have to wait and see. I would not be surprised if a good number of the parks are sold off and SF goes back to being a very limited regional chain like it was in the early 90's before Premier took over and over-expanded it. *** Edited 1/27/2006 7:08:48 PM UTC by SK610***

I would be so happy if cedar fair would buy SFDL, then I could buy a season pass and I would be in 7th heven.

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I think the two parks that they have in mind are SFKK and SFNO.

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What... as opposed Frontier City and White Water Bay which were the two parks actually named in the article? [NOTE: I wish we had a "Rolling Eyes" smiley on this board... It would fit in here]

They're going to have to sell a lot of parks to even begin to make a dent in that debt. AstroWorld doesn't even cover a single year's interest on $2.1 billion in debt.

Too bad the rides can't donate plasma... or other things. ;)

Just a word of warning- just because a Six Flags park is "one of the originals", is big or is located near a major metro area does not mean it is making money and therefore does not mean it is safe. Many of the smaller Six Flags parks that have NOT received any brand-new major coasters in the past few years are the ones that are making a handsome profit.

The sale of Frontier City makes sense. It's not located in a large market and I don't think there are the opportunities to turn that into the kind of park that Six Flags wants. But it's not going to be the only park to be sold and as a few others have said, the next one might be a big surprise.

Looks like another podcast will have a large segment dedicated to Six Flags again. :)

Heh, probably - but I can tell you right now, my views won't be nearly as negative as in the past. :)