Posted Tuesday, November 16, 2004 9:25 PM | Contributed by HAMMER
Six Flags stock was down nearly 10% as the company said Tuesday morning it was offering $260 million in notes that are convertible with initial conversion price of $6.35. S&P and Moody's Investment Service both lowered the company's rating.
Read more from AP via Newsday.
I wonder if Paramount or Cedar Fair is keeping tabs on the smaller, potentially sell-able Six Flags parks? Or are they going to want to avoid acquiring too many parks... like Six Flags did?
Great Adventure, Great America, Magic Mountain, Over Texas are safe. Everyone else is suspect to being sold. I understand Darien Lake has actually done alright, but the parks that cost the most to operate may be the first to go, thats why I think SWOA went to Cedar Fair. Mr. Kinzel made it clear that if the right oppurtunity presents itself the company would go forward. I am sure that CF is aware of Six Flags current situation. Lets also not forget some smaller amusement companies out there that may be looking to take on a big project.
My guess on parks going to another owner would be.
St Louis- Yes one of the original parks, but one that has not got alot of attention as of late. Six Flags seems to give the parks that are the most successful more attention. St. Louis has not received that much attention.
Marine World-Turned down a chance to fully purchase the park. The animals equate to a large cost. Look for a somewhat unknown company to purchase the park. Cedar Fair doesn't like animals and Paramount doesn't have the experience with animals either.
Etlich Gardens- I really could see Cedar Fair buy this park and expand their influence in the western United States. Its small and managable and would present a new market for Cedar Fair.
Feista Texas-I could see Paramount purchase this park. It already has decent theming and having those large rocks in the back remind me too much of the Paramount mountain logo. It already feels a bit like a Paramount park and I think Paramount could do it wonders.
Astro World- Maybe Cedar Fair, but I don't know. This park presents alot of problems. Again don't be suprised to see Cedar Fair expand its horizons out west.
Just my two cents could be wrong, but nontheless its fun to think who may do what. Lets also not forget unflagged parks within the Six Flags family.
How so? AW is a nelgected park that despite upkeep capital and new rides continues to sell huge amounts of seasons passes and turn a profit. What are the problems a couple million in capital could not take care of?
The reason behind the decline to purchase SFMW is simple:SFI doesn't have the funding needed to purchase the park at the present time & will hold off on doing so for another two to four years.....that is if they even exist by then,which was a smart move on their part but it's something that should've happened years ago during their buying spree which would've helped to avoid the mess that they're in now.
But to get back on topic...uh yah...so what else is new? ;) They'll probably have to invent a whole new chapter of bankrupcy for them. Chapter "G" (as in G-force) ;)
And hey, I'll bet Martha could get Six Flags back on track. ;)
Today we'll be riding a nicely themed gravity powered coaster with lots of turns and a couple of French twists that is sure to be a hit with your entire family....
And instead of Fright Fests, they could have special Thanksgiving celebrations.
Man...I should be running Six Flags...not this bunch of monkeys! ;)
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