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daguru Pilot
Joined: Feb 21, 2006 Posts: 4196 Location: Sanford, Fl
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Posted: Sun Jun 14, 2009 5:04 am Post subject: Theme-park chain Six Flags files for bankruptcy |
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(CNN) -- In an effort to shed $1.8 billion in debt, popular theme-park chain Six Flags announced Saturday that it was filing for Chapter 11 bankruptcy.
The filing will not affect the operation of the company's 20 parks in the United States, Mexico and Canada, said spokeswoman Sandra Daniels.
"This restructuring will have no impact on families who come out to our parks. They will not see an inch of difference," Daniels said.
In an online letter to employees, President and CEO Mark Shapiro said Six Flags inherited a $2.4 billion debt load that "cannot be refinanced in these financial markets."
"This process is strictly a financial restructuring of our debt and that's how you should view it and speak about it," Shapiro said in the message posted on the Six Flags Web site.
He said Six Flags was seeking expedited approval from the for the District of Delaware of a pre-negotiated plan of reorganization under Chapter 11 of the United States Bankruptcy Code.
He said the company actually performed well in 2008, attracting 25 million visitors and making $275 million. But it could not keep up with its debt obligations.
"That's a balancing act you just can't risk year in and year out," he said. "Today, we are moving to rectify our balance sheet once and for all. Believe me when I say we will emerge from this process stronger and more competitive than ever." Read Shapiro's online letter to employees
The restructuring would reduce the company's debt to $600 million.
Shapiro told employees that the company was on "solid ground" and the bankruptcy decision was "difficult." He assured them their paychecks and jobs were safe.
Source: CNN; http://www.cnn.com/2009/US/06/13/six.flags.bankruptcy/index.html
With the former Busch Parks up for sale, Universal in some financial troubles and now Six Flags.... Could Disney by the only real force in theme parks left in the states? _________________ Up or Down North, South, East, or West An Adventurer's Life is Best! |
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ltldeb Commander in Chief #1
Joined: Jun 22, 2005 Posts: 9104 Location: MA
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Posted: Sun Jun 14, 2009 3:50 pm Post subject: |
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Can't say I'm surprised, but I'm wondering what this will mean for Disney. _________________ *~deb~*
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CTKnight3 Airline Food and Beverage
Joined: May 27, 2007 Posts: 300 Location: Connecticut, USA
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Posted: Mon Jun 15, 2009 10:22 am Post subject: |
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People knew this was coming for a while. They grew way too fast. The sad thing is that they say the same thing everyone else does to their employees. Of course this will affect them. There will be closings and downsizing and to pretend otherwise is ridiculous to anyone who has ever watched or been through a corporate bankruptcy.
Disney is better off because they are more diverse. BUT, they also went the downsizing route already to prevent this. I just hope they do not try to buy any of the parks. Disney would have to completely reconstruct them to make them anything close to a Disney park and to leave them as six flags parks with the Disney name would be horrible. |
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daguru Pilot
Joined: Feb 21, 2006 Posts: 4196 Location: Sanford, Fl
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Posted: Mon Jun 15, 2009 11:39 am Post subject: |
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I don't think Disney would even consider any of the Six Flag parks, because of what you said, it would take WAY too much work (and money) to convert the parks into Disney parks...
Right now, the sniff of a rumor about the Disney parks deal with some (not all) of the SeaWorld parks, but I doubt anything will come out of that... _________________ Up or Down North, South, East, or West An Adventurer's Life is Best! |
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RavenStGermaine Curbside Attendant
Joined: May 22, 2007 Posts: 415 Location: Atlanta, GA
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Posted: Mon Jun 15, 2009 12:17 pm Post subject: |
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I sure hope Six Flags can come out better for all of this. The Atlanta park seems to be doing well - it is always packed. Last month some friends of mine went, and they only got to ride 2 things in a four-hour span. _________________ Beth's Blog |
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redbaron314 Air Cargo Agent
Joined: Jan 20, 2006 Posts: 1040 Location: Lexington, TN
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Posted: Thu Jun 18, 2009 4:06 pm Post subject: |
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let em die failure breeds strength the problems in this country is were becoming a bunch of dike leak pluggers instead of failure and restarts throwing money at most problems does not work allow it to die and rebuild the great failed and continued thomas edison took 1001 times before he got the light bulb right _________________
Ich bin der Piraten zu behaupten, was mir jetzt und für immer |
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mdegrand Airline Food and Beverage
Joined: Jun 28, 2006 Posts: 366 Location: Celebration, FL
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Posted: Thu Jun 18, 2009 4:29 pm Post subject: |
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redbaron314 wrote: | let em die failure breeds strength the problems in this country is were becoming a bunch of dike leak pluggers instead of failure and restarts throwing money at most problems does not work allow it to die and rebuild the great failed and continued thomas edison took 1001 times before he got the light bulb right | |
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redbaron314 Air Cargo Agent
Joined: Jan 20, 2006 Posts: 1040 Location: Lexington, TN
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Posted: Thu Jun 18, 2009 5:25 pm Post subject: |
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thank you thank you _________________
Ich bin der Piraten zu behaupten, was mir jetzt und für immer |
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mdegrand Airline Food and Beverage
Joined: Jun 28, 2006 Posts: 366 Location: Celebration, FL
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Posted: Thu Jun 18, 2009 5:45 pm Post subject: |
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Ich bin auch Pirat |
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redbaron314 Air Cargo Agent
Joined: Jan 20, 2006 Posts: 1040 Location: Lexington, TN
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Posted: Thu Jun 18, 2009 6:12 pm Post subject: |
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woher kommen Sie? Ich war in Wiesbaden geboren _________________
Ich bin der Piraten zu behaupten, was mir jetzt und für immer |
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redbaron314 Air Cargo Agent
Joined: Jan 20, 2006 Posts: 1040 Location: Lexington, TN
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Posted: Thu Jun 18, 2009 6:13 pm Post subject: |
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mdegrand wrote: | Ich bin auch Pirat | duch bizt ein pirat gut ich ouch _________________
Ich bin der Piraten zu behaupten, was mir jetzt und für immer |
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mdegrand Airline Food and Beverage
Joined: Jun 28, 2006 Posts: 366 Location: Celebration, FL
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Posted: Thu Jun 18, 2009 7:59 pm Post subject: |
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redbaron314 wrote: | woher kommen Sie? Ich war in Wiesbaden geboren |
Ich bin Amerikaner. Prosit! |
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redbaron314 Air Cargo Agent
Joined: Jan 20, 2006 Posts: 1040 Location: Lexington, TN
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Posted: Thu Jun 18, 2009 10:56 pm Post subject: |
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my mother was American she was class mates to Priscilla when she was dating Elvis but i am American _________________
Ich bin der Piraten zu behaupten, was mir jetzt und für immer |
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WDWFan Pilot
Joined: Mar 01, 2006 Posts: 10863
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Posted: Fri Jun 19, 2009 5:08 am Post subject: |
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The article quoted Six Flags as saying: "inherited a $2.4 billion debt load ". What? Did five flags died and leave them all its debt?
What they are really saying is "We made bad decisions that are now causing us issues."
They say this will not impact the parks or the employees, and I ask "Why Not?".
They mismanage their finances and got on this situation.... So they file for Bankruptcy and basically say they are going to shaft the folks they are in debt to and go on doing business as usual, which obviously is not doing it well?
Problem with the system here. They have debt, they have assets, then sell the assets to pay the debt.
This should not be rocket science and corps like this should not be allowed to welch on their obligations. So they file chapter 11, keep their employees and the debt holders fire off their folks cause they now don't have payments in full from Six Flags.
Something in this system is screwed up.
As to Disney, hopefully the belt tightening they did earlier on will help them avoid some of this. I can not see them buying out 6 flags even if it was on the block..
1) The re-theming would be too expensive
2) it dilutes the meaning of the Disney name
3) it would potentially make them a target for monopoly accusations
Them going after Busch Gardens and Sea World, which are on the market already, and which would fit the family better would seem a better fiscal decision. |
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mdegrand Airline Food and Beverage
Joined: Jun 28, 2006 Posts: 366 Location: Celebration, FL
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Posted: Fri Jun 19, 2009 5:22 am Post subject: |
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redbaron314 wrote: | my mother was American she was class mates to Priscilla when she was dating Elvis but i am American |
It's like 7 degrees of Elvis....I met his daughter when I was working at RnR Coaster. I didn't recognize her. I had to be told who I was chatting up at the unload area. |
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