Six Flags Q3 Report

[bigb7965]

Thougt some of you might be interested

http://seekingalpha.com/article/105092- ... transcript

[SFaddiction84]

If the Company is gonna be CASH flow Positive and has found a strategy to make money! here are my suggestions on how Six Flags should spend or incorporate there New found Cash flow.

1. If the park is gonna have more hours, more days, longer season, then they need to hire people that can work during the school year.

2. If the park is scheduled for a 10am-10pm day, then ALL rides should be open and STAFFED from 10am-10pm!

3. Flats should also open with the park and be staffed 1 person for the first 2 hours of the day, then staffed 2 persons until atleast the last hour of the day.

4. If raging bull can run on 3 trains, then all 3 trains should be on track and running from open to close. So what if the crowds are low and you have to run an empty train every so often, its not like these rollercoasters run on GAS!

5. Our park needs to focus more on employee's! We need more experienced people on the cash registers of the restaurants and shops. I hate having to wait in line and for ever to get my food because i have to wait for the cashier to spend 1 minute pushing each button and 2 minutes counting the cash back. Experienced people should be on the registers, Energetic people should be on the rollercoasters and flat rides, shy employee's or those not so energetic should be in the shops.

6. Offer a regular season pass and a Golden Season pass for say ($40 more). When the park opens at 10am, let golden pass members past Carousal Plaza at 9:30, giving them a head start to getting where they want to go. Ya the rides wont be open, but it would be nice to get that head start and then still get that first ride on Raging bull or superman because i had that extra time in. ( In the case of superman, only let those people get in line with golden passes first)


7. On the topic of rollercoasters running all trains and all times. For those most popular rides that tend to run well past closing due to long lines. Impose and POST a policy that says. "On busy days, This ride may be subject to an early closing time of 30min before park closing. When this occurs, a sign will be posted and guests will be cut off from the line 30 min before park closing" Yes this does counter act my "All rides should be open from open to close". Technically this ride is, except the line is cut short. Get in line before closing if posted and you will get your ride and not be stuck inline till 11:30pm-midnight

This Special Early Line Closing on popular rides with long lines would also cut down on how long the employee's are kept after running the ride until the lines are done. If you POST a policy about Early Line Cut Off, people will not be upset!

I cant think of any other idea's, but these would be good idea's that others might like. I do not know much about how these things would cost but i think they would be good idea's.

[saylorman47]

its not like these rollercoasters run on GAS!

Well, it's not,like you plug them into a socket and boom, they do cost money to have running. And, if they would have to send empty trains, why would they have three on the track?

And about closing the lines early, they already do that.

[Coaster Justin]

For Six Flags to make more Money, here's Are Some More Ideas. These are my own personal ideas and if you cannot handle this, ignore this post


- Continue the Ride Rotation Program by taking Rides from SFAm to the Other Properties
- Invest in Renewable Energy (Solar Panels, Wind Belts, Ethanol)
- Try to make Properties Profitable Year Round like Hotels & Hotels with Indoor Waterparks
- Offer "All you can Eat Meal Packages" like Cedar Fair Parks do
- Try to make food inhouse to collect more Profit and Revenue
- Sell the International Parks (Six Flags Mexico and La Ronde) SFM can be sold for 225M and LR can be sold for 125M
- Modify Older attractions to be more cost effeciant (Pictorium can become a Simulator, GAR can Run on Electricity, The Train can Run on Ethanol Or LIM)
- Heavily Expand Fright Fest on a larger scale to bring in more revenue
- Focus on Marketable Attractions that aren't in alot of Parks And/Or Nearby Parks (Goliath at SFFT being built next to Great White at SFSAntonio)
- Have a New Years Event in 3 Locations (New York= East Coast, Chicago= Midwest, Los Angelas= West) to make more Revenue
- Sell Out and Theme Haunted Houses to Movie Products for Money.

[Galvan]

I have decided to add my $.02 into this as I have many many MANY times before. My responses are in bold.


Continue the Ride Rotation Program by taking Rides from SFAm to the Other Properties

There was a reason why this was discontinued, It costs a fortune to take down, transport and reassemble these rides.

- Invest in Renewable Energy (Solar Panels, Wind Belts, Ethanol)
Maybe if Six Flags was an auto manufacturer

- Try to make Properties Profitable Year Round like Hotels & Hotels with Indoor Waterparks

Good idea, but again start up costs are huge, which is probably why it has not been done yet
- Offer "All you can Eat Meal Packages" like Cedar Fair Parks do

I dont see how this would make any difference, lets remember that CF is also 2+ Billion in debt as well so comparing SF to CF is not a smart choice.

- Try to make food inhouse to collect more Profit and Revenue

This does not make sense at all, Six Flags does not have the manpower or the facilities at parks for this to happen.

- Sell the International Parks (Six Flags Mexico and La Ronde) SFM can be sold for 225M and LR can be sold for 125M

Id like to know where you got your real estate license, because I seriously doubt that the Mexico City operation will sell for nearly half of what it took to sell 6 or 7 parks in 2005

- Modify Older attractions to be more cost effeciant (Pictorium can become a Simulator, GAR can Run on Electricity, The Train can Run on Ethanol Or LIM)

I like the ideas but again a serious start up cost would grind this idea to a halt

- Heavily Expand Fright Fest on a larger scale to bring in more revenue

So what start Fright Fest in July? There is a reason why FF did not use Hurricane Harbor this year, and that is because of the tremendous costs (labor, set up etc) associated with this operation

- Focus on Marketable Attractions that aren't in alot of Parks And/Or Nearby Parks (Goliath at SFFT being built next to Great White at SFSAntonio)

Here's where the coaster geek is talking. I dont think the reason why SFFT has a B&M Invert which just so happens to be at Sea World is going to make SF lose money. I chuckled at this one.

- Have a New Years Event in 3 Locations (New York= East Coast, Chicago= Midwest, Los Angelas= West) to make more Revenue

For what? so people can freeze there asses off in Chicago and New York? I do like the idea of an event at SFMM however, you could make it like a West coaster version of New Years Rockin Eve.

- Sell Out and Theme Haunted Houses to Movie Products for Money.
Huh?

. If the park is gonna have more hours, more days, longer season, then they need to hire people that can work during the school year.

I agree with this idea, however Adults who'd get hired are going to want alot more then minimum wage to work at the park, not only that but these full timers are also going to want benefits as well which is probably not going to happen at SF.

2. If the park is scheduled for a 10am-10pm day, then ALL rides should be open and STAFFED from 10am-10pm!

In a perfect world that happens, but sadly the world isnt perfect, people get sick, weather happens, Cedar Point doesnt even have round the clock staffing.

3. Flats should also open with the park and be staffed 1 person for the first 2 hours of the day, then staffed 2 persons until atleast the last hour of the day.

See #1 and #2

4. If raging bull can run on 3 trains, then all 3 trains should be on track and running from open to close. So what if the crowds are low and you have to run an empty train every so often, its not like these rollercoasters run on GAS!

But coasters to run 3 trains need to have proper staffing, I thought this was a way to make SF more money? Raging Bull running 3 trains doesnt mean squat

5. Our park needs to focus more on employee's! We need more experienced people on the cash registers of the restaurants and shops. I hate having to wait in line and for ever to get my food because i have to wait for the cashier to spend 1 minute pushing each button and 2 minutes counting the cash back. Experienced people should be on the registers, Energetic people should be on the rollercoasters and flat rides, shy employee's or those not so energetic should be in the shops.

Okay, but how is this going to make SF more Money?

6. Offer a regular season pass and a Golden Season pass for say ($40 more). When the park opens at 10am, let golden pass members past Carousal Plaza at 9:30, giving them a head start to getting where they want to go. Ya the rides wont be open, but it would be nice to get that head start and then still get that first ride on Raging bull or superman because i had that extra time in. ( In the case of superman, only let those people get in line with golden passes first)

See #5


7. On the topic of rollercoasters running all trains and all times. For those most popular rides that tend to run well past closing due to long lines. Impose and POST a policy that says. "On busy days, This ride may be subject to an early closing time of 30min before park closing. When this occurs, a sign will be posted and guests will be cut off from the line 30 min before park closing" Yes this does counter act my "All rides should be open from open to close". Technically this ride is, except the line is cut short. Get in line before closing if posted and you will get your ride and not be stuck inline till 11:30pm-midnight

This helps dramatically with customer service issues but again does nothing to address money issues

This Special Early Line Closing on popular rides with long lines would also cut down on how long the employee's are kept after running the ride until the lines are done. If you POST a policy about Early Line Cut Off, people will not be upset!

I cant think of any other idea's, but these would be good idea's that others might like. I do not know much about how these things would cost but i think they would be good idea's.


My Take:
Look Six Flags is a wounded company, Burke and Co. pretty much drove this company into the ground with utterly retarded moves that drained the company financially and had a serious impact on customer service and most importantly the shareholders. The fact that SF is still in business today is a testament to Shapiro's leadership and hands on approach.

No one here has the magic key to fix SF, Its not going to happen with Solar Panels or 2 different kinds of Season Passes, but what is going to help make SF more money is one thing......

FAMILIES!

[onyxhotel08]

I 110% agree the ride rotation program is absolutely a ridiculous idea. Moving one ride to another park is not like taking down a tent or something. Besides, I don't want anyone's leftovers. It is not like they will take down Goliath at MM and bring it here. They would only move rides that are expandable. Two different season passes is another bad idea. Try and make people buy the one we have now and you will be fine. I don't think we need am advertisement that says Gold Season Pass $130 or something. Most people would rather probably just pay the $69 or $89 and arrive at the park at 10 AM. These aren't the times to offer more expensive services. Work with what you got. To offer another season pass option would more than likely not bring in enough people/money to warrant it being made. The park should be better staffed but I don't think we will ever see that happen. Just make sure you open/close rides so that the more populous rides always are properly staffed. There is NO reason why in the peak summer months sections of Hurricane Harbor should be closed just because of staffing issues.

[Coaster Justin]

When I said Expand Fright Fest, I meant improving it to a Scarier Level, not starting in July, Thats Just Stupid.

If A Ride Rotation Program is Bad, Why is Cedar Fair Doing it? X Flight was sent to Kings Island (Roughly 250 Miles Away) for Under 1 Million Dollars http://database.thrillnetwork.com/ride_ ... ehawk.html. I Don't Think you can get a Kids Coaster for That Much. X Flight, I Believe costs 15 Million in 2001. http://rcdb.com/id920.htm

Solar Panels on top of The Pictorium, Grand Music Hall, Dark Knight Building, And Former Theater Royale Building would work. (IF IT'L SAVE MONEY ON ENERGY COSTS AND GET A TAX DEDUCTION WHY NOT DO IT!!!)

Admission and Meal Packages would encourage cash-tight families to stay in the park.


Nobody Knows what Six Flags will do. I Thought this Forum topic was for Personal Suggestions. What if in 2004 when Ragin Cajun Was Added I said "They should build a Non Spinning Wild Mouse next to Superman", what would you guys say then?

[UWW-10]

^ Cedar Fair didn't just randomly move rides to move them. They took them from a park they gutted and moved them elsewhere in the chain. That's really not considered ride-rotation because the park they took them from no longer runs.

Six Flags has done the similar when they sold off their parks. They took certain rides and moved them to other parks. Once again, it's not really a ride rotation program ideal.

[BP317]

I know nothing about how park supplied power or anything works, but if they had the money to make those type of investments that would be well worth it. Com-Ed is awful, there have been a totally unnaceptable amount of power outages the past few seasons. But once again those are large investments.
Theres certainly some internal things that could change to make better use of their staffing but would require infastructure/technology improvements. But thats really not any of our problem so who cares .

[Coaster Justin]

Oh, I forgot to mention that when the park makes too much electicity can sell it back to the city for a Premium.

Oh and it doesn't need to be as sunny as you might think. It works in Germany (Or Another European Country) which gets less Sun than Seattle -- Source Modern Marvels: Renewable Energy

[Galvan]

Look Coaster Justin,

We all can appreciate you being a tree hugger of sorts. But listen, There is no way in hell Six Flags has the money to install solar panels and a processing facility at the park. Even if they did, the costs would be astronomical. So can we please PLEASE stop with this ridiculous idea.

Thank you

[tp41190]

I know that you mean well with the renewable power idea but they would need a lot of start up cash. Even though in the long run it might help out but if they keep spending money unnecessary "investments" there may not be a "in the long run".

Although, they could just buy 1 or 2 wind generators...I know some parks have them.

[Ilovthevu']

I want to say about the results. Increased attendance might have to do with the weather in Texas. They said it was horrible last year, and those two parks are there. However, SFOT is a big park. In my opinion, that's not all the reason. They were open an extra week for Fright Fest which gets the crowds in more because people don't even care if it's cold because the park is transformed.

It might have to do with the new roller coasters like Dark Knight, Tony Hawk, Evil, Goliath (Batman), and so on. You also have the transformed ride which could trick people into thinking they are new rides like X^2. Maybe, it had something to do with dirt cheap admissions, and than people come just in the parking lot, and spend a fortune.

Increased revenues = tv's, and even more signs in the park of what they said $59 million alone. Don't forget about forcing people to pay for lockers this year. The more Cold Stones, and Johnny Rockets you have in the park, the more revenues you get that way because they are known brands compared to the Beef place in Yukon Territory. In regards to more revenue, you have cutting employees like mechanics, and higher people up salaries.

More revenue = less rides, and rides open up later. You had better season pass discounts on merchandise this year. They had buy one, get one free something in the book. At our park, almost everyday was something cheaper. Increased revenue = less live shows. For our park, it was the music awards, and no Theatre Royale no more. They also cut back on advertising. There were less billboards I seen this year. Maybe, there were less radio ads. I don't know, but they did.

Basically, my point is that they are getting more revenue this year than previous years because they are cutting back in every which way. The 200,000 increased attendance for the quarter could have increased just for the last week of October. If every park except the waterparks are open for an extra 3 days from the year before, and they had a lot of people in the park, you could easily get the 200,000 people.

I don't care about shows, but the people that liked a lot of them aren't probably happy with Six Flags this year. The people that thought Dark Knight was going to be as big as V2 weren't probably happy with that ride. The people that brought stuff in the lines this year, and had to pay lockers probably weren't that happy this year. The people that thought that it was going to affordable to go to Six Flags this year because of the dirt cheap admission probably weren't happy with the prices in the park, and the parking lot prices.

[monsterfan99]

Good results for them and shows Shaprios vision is working. Problem is, no way they are going to make their bills. Expect bankruptcy before the next business year.

[JordanSDMF]

^All admissions should be $35.00, because a small portion of people are paying the $54.99 with the coke cans anyway. And TONS of people are getting Season Passes.

Also, solar panels to power rides in the park would be a LOT of money. But if Six Flags gets theirselves out of this deep hole, I hope that is the first thing they do to save money.

SIX FLAGS CHARITY FUND. I will be seeing those cans at the local McDonalds.

[Coaster Justin]

Ok fine, Solar Power is stupid, I get it!!!

How about Charity Days in April, May, and September where "If you bring a Toy or Unopened Food valued at, at a least $25, you get 30 Bucks of Admission." That way, all of the toys and Food go to Charities or Food Banks.

Just an Idea.

[tp41190]

If they want A LOT of money all they need to do is a *free* day.

Take a day before June where the park is known to be dead. Now, all they have to do is announce that they are having a free day on the radio and online.

The park should hit capacity....bad for us but good for them. Even though all of those people got in for free, think of all the money they would make on parking, food, drinks, games, merch, passes, ect. And as long as its only open for a few hours they would make a huge profit that day. It would be more then just having the park open with under 1,000 people.

[FParker185]

I kinda like that idea, though free day would literally start a riot, especially if the park hit capacity and people were denied admission. It'd have to be like some sort of super value day, like say $10 admission or something. Though one problem that comes to mind is on these slow days, it's usually slow cause kids are still in school, meaning a lot of the staff is still in school, and if they hit capacity and they dont have the staff to run all the rides and coasters at full capacity, then a lot of people are going to have a really bad day standing in enormous and slow moving lines, then all those people are going to spread the word that the park still sucks. There is a huge backfire potential. Nifty concept though.

[monsterfan99]

If they want A LOT of money all they need to do is a *free* day.

Take a day before June where the park is known to be dead. Now, all they have to do is announce that they are having a free day on the radio and online.

The park should hit capacity....bad for us but good for them. Even though all of those people got in for free, think of all the money they would make on parking, food, drinks, games, merch, passes, ect. And as long as its only open for a few hours they would make a huge profit that day. It would be more then just having the park open with under 1,000 people.

Not a bad idea, but that devalues the gate even more. This is the only theme park within 3 hours of here (I think, not sure on the Dells) besides Kiddieland. There is NO reason people should be getting in for 60 for 2 people (b1g1) at Fright Fest or 20 bucks at any point. At 20 bucks, it cost more to get into Kiddieland them GAm. They have to keep ticket prices up somewhat to make the place seem special.

Along these same lines they have to give the perception of value on the food. The merchandise and games are not that bad of a price (minus the paintball range) for a theme park. However, they don't get that when you make the admission 20 bucks, you make the public angry when a cheeseburger and souvenir cup cost more then admission. I know this isn't Disney, where they can charge only 2.20 for a soda, but almost 9 bucks for a bad corndog and a had full of soggy fries is unacceptable. After that, it was walking to Burger King or driving to McDonalds.

This is one other thing, but has to do with admission. They have to raise the price of a season pass. At St. Louis on closing weekend, it was only 30 bucks to buy once you were in the park. Even people who got in free could buy it for that much. That is beyond a mistake on their part. As a visitor, I love the fact I can hit ever Six Flags next year and got Fright Fest for free for 70 bucks. But as someone thinking about the company, they are missing the boat there. Even Cedar Fair charges over a 100 and you don't hear many complains about their prices.

There are many things they can, but will they is another question. With all the things they are doing right for the company financially (park ads, new game, sponsorships, revamping rides instead of new ones) they have more work to do. This has been a great year for them and can only lead to better things.

[Ilovthevu']

If they want A LOT of money all they need to do is a *free* day.

Take a day before June where the park is known to be dead. Now, all they have to do is announce that they are having a free day on the radio and online.

The park should hit capacity....bad for us but good for them. Even though all of those people got in for free, think of all the money they would make on parking, food, drinks, games, merch, passes, ect. And as long as its only open for a few hours they would make a huge profit that day. It would be more then just having the park open with under 1,000 people.

Whatever you do, don't tell SFOG about that idea. They might think you are mocking them. They tried it. It was horrible. People were getting out of cars on the highway over there because the traffic was so backed up. People going to work were so mad. The radio station announced that they were still letting people in (in which they weren't), but not all the people got in which made it much worse. For some of the people that weren't let in, some of them were left off, and just had to wait for their parents to come pick them up.

[JordanSDMF]

If they want A LOT of money all they need to do is a *free* day.

Sure, that would hit capacity, and a few people might die, but it would be only one day. Six Flags needs and idea for high attendance for more than 1 day.

They should have those cool special shows, or bring famous people for a concert. And for some reason, when that comes to mind, out of the blue, I see Fergie singing in one of the outdoor theatres. Or like, every Friday, or some random day should be like 20% off day, or some way so people can save money, but in the end increases attendance, and gets the park money.

Is picnic grove or whatever open during the regular season? Because if it isn't, it should become a Picnic Grove.

And this is random, but they should replace some fencing. Like by Demon. Some black iron fences with stone bases would look really nice. And they should add some more stone ground like in Southwest. I strongly believe they need to make the park look nicer.

[monsterfan99]

Sure, that would hit capacity, and a few people might die, but it would be only one day. Six Flags needs and idea for high attendance for more than 1 day.

They should have those cool special shows, or bring famous people for a concert. And for some reason, when that comes to mind, out of the blue, I see Fergie singing in one of the outdoor theatres. Or like, every Friday, or some random day should be like 20% off day, or some way so people can save money, but in the end increases attendance, and gets the park money.

Is picnic grove or whatever open during the regular season? Because if it isn't, it should become a Picnic Grove.

And this is random, but they should replace some fencing. Like by Demon. Some black iron fences with stone bases would look really nice. And they should add some more stone ground like in Southwest. I strongly believe they need to make the park look nicer.

Special shows cost $$$. Even if they make more that day, like the free day, it is just one day as well. Getting people to the park does not seem to be a major problem on the weekends and once school is out at Great America. Problem is they are not making enough off the gate and people leaving to eat. I guarantee you, if they drop the price of a bottle of soda to $2.50, you would see a huge gain in profit on them.

[tp41190]

Whatever you do, don't tell SFOG about that idea. They might think you are mocking them.

I actually got the idea from then.

VIDEO HERE
http://www.youtube.com/watch?v=BQDvb54HuFw

[JordanSDMF]

^Woah

[Ilovthevu']

I think another reason attendance rose during this year is due to the free concerts. A lot more people came those days because they felt they were seeing a name star for free. A relatively not really packed day became a really crowded day at our park on some Sundays this year. However, I imagine that the park might have gained people on one day, and lost people on another day. Let's say they went Sunday to see Natashia Bedingfield, and didn't go Tuesday.