Cedar Fair sets Six Flags bid timeline

[FParker185]

Not much, but it is some updated info clearly stating that Cedar Fair definately has interest in taking over SF as a whole, obviously provided the numbers are right (bet they arent)....



Cedar Fair sets Six Flags bid timeline
Wednesday, November 02, 2005
Joe Guillen
Plain Dealer Reporter
Cedar Fair LP of Sandusky, which owns Cedar Point amusement park, will decide within three months whether it will try to buy Six Flags Inc.

A decision will come in 60 to 90 days, Cedar Fair's chief financial officer and vice president of finance, Peter Crage, said during a conference call Tuesday.

Cedar Fair's interest in acquiring the troubled theme park company was reported more than two weeks ago, after it requested detailed financial information that Six Flags prepared for potential buyers.

Cedar Fair has yet to receive the requested material, said Stacy Frole, director of investor relations.

"No decisions have been, or will be, made until after we have time to fully review and analyze this information," said Dick Kinzel, Cedar Fair chairman.

Six Flags, based in Oklahoma City, went up for sale in August, shortly after it declared a debt of more than $2 billion in its 2005 second-quarter earnings report. It is the world's largest theme park company, with 30 parks in North America.

Kinzel and Crage addressed the acquisition during a discussion of Cedar Fair's third-quarter earnings, which were released Monday.

Net revenue for the quarter ended Sept. 25 was $317 million, up 4 percent. Net income for the quarter was $170 million, up 86 percent from third-quarter 2004. Much of the gain was due to a tax adjustment. Without that, third-quarter net income would have been $99 million.

Cedar Fair owns 12 parks, including Geauga Lake, formerly Six Flags Worlds of Adventure, which it bought in March 2004 for $145 million.

[zjohn1988]

I hope they buy it before Red Zone gets a hold of it...

[FRD714]

^ Red zone? If its going to make the park better then I hope they do buy sf.

[EagleFan344]

I wouldnt mind being able to get into CF parks for free

[Jamesb58]

Well, I do doubt that Cedar Point would be added to the list of Free
Parks, we'd get with our season pass. Geauga Lake is just about
1.5 hrs from Cedar Point, and if you want to add Cedar Point to
your season pass, you have to pay more money.

Now, if Cedar Fair purchases the company, I do believe, with
out a doubt, that they'll downsize. Say bye, bye, to more
parks!

[FParker185]

Oh yeah, Cedar Fair would never put up with underperforming parks, they'd be dumped post haste.

However that could leave a much leaner and higher quality Six Flags, kinda like how it was in time warner days, like 7 parks, but each is top notch.

[Adaml212]

What would happen with all the Warner Bros. stuff, like looney toons, Batman, and Superman if Ceder Fair bought six flags? When they bought Guaga Lake they got rid of everything, even changed the name of the Batman ride. I'm sure they would keep everything as it is now, because it would be too expensive to change everything to Peanuts characters in all Six Flags parks. Wouldn't it? But it would totally blow if they did get rid of WB.

[zjohn1988]

Im sure if Six Flags Inc lost control of all the parks, cedar fair will get the rights to WB, no?

[twixmix0303]

I believe that since Six Flags was (and still is) in existence, the Warner Brothers rights were kept with Six Flags, and Cedar Fair didn't want to buy their own rights to it as well for just one park. If the entire company is sold, chances are the rights would be sold along with all the parks. It would be a mistake to try to rebrand several rides in most of the thirty or so parks.

[FParker185]

whoever buys the SF brand will likely acquire the remainder of the WB contract that current SF holds with WB

[Chitown]

They would be foolish not to.

[mulletman13]

Can Cedar Fair afford to buy Six Flags? What would the bid be?

And that would essentially be increaseing CF's owned parks almost 3 fold... would they be able to handle all of that? To me, it seems like if a computer company like Apple bought out a super mega computer company like IBM or Dell... dunno if they'd want to spread out their quality control and resources that much.

It seems a little unrealistic, but I would absolutely love to see it... SFGAm could reclaim some of its long lost charm

I would *love* to see the name changed to simply 'Great America' again... I'm tired of people just calling it 'Six Flags'..

[FParker185]

Basically the bid would be $0.00 or pretty close to that(at least in terms of such a huge purchase), but they'd acquire the entire like 2.7 billion dollars of debt that SF is currently in.

[SFaddiction84]

All Cedar Fair would have to do is Acquire just over 50% of the SHARES, that why they ONLY ACQUIRE control over MONEY and Spending!!!!! Then They wont ACQUIRE the DEBT LOAD!!!!

[Jackluver18]

can someone explain something to me, if Cedar Fair was to buy SF, things wouldn't be the same as they are now am I right?

[FRD714]

^ I dont think things would be the same, but that could be good.

[Jackluver18]

Why would that be a good thing, SF is like the best place in the world, what if they got rid of some things like stuff at FF?

[FRD714]

^ Well, I didnt think about FF. Maybe they would make something better. I dont know, we will have to see what happens to six flags first.

[Jackluver18]

What do you think they would change, I don't want them to take LAFF out because that's so much fun to watch and I hope they bring back the dead cowboys in SWT and all that stuff but I don't want them to remove anything.

[FRD714]

^ Never been to FF so I dont really know what its like and what they have. Sorry

[Jackluver18]

That's ok but I don't want things to change it won't be the same

[Binks Drake]

Well if Ceder fair bought SF, it would be stupid not to continue a halloween event of some kind, as that is probably one of the most profitable times of the year. Look at all the work they do for HHN for example in florida. It just probably wouldn't be called "Fright Fest."

[Jackluver18]

That's sad I want it be called Fright Fest, i don't want it to change then I'd be upset and I love FF it won't be the same

[Imeanbusiness]

All Cedar Fair would have to do is Acquire just over 50% of the SHARES, that why they ONLY ACQUIRE control over MONEY and Spending!!!!! Then They wont ACQUIRE the DEBT LOAD!!!!

Don't know if anyone has mentioned this but that is what Snyder is trying to do. It does not have to be over 50% of the shares, they just need to be the majority share holder to be called the "owner" of the company. As a share holder technically you are aquiring the "DEBT LOAD" for a share a percentage of ownership in a company.