March 10, 2004
Sandusky, OH -- Cedar Fair L.P. announced that it has reached an agreement to acquire Six Flags Worlds of Adventure theme park near Cleveland. The cash deal valued at $145 million includes the acquistion of the park, all theme park assets, adjacent hotel and campground. The cash purchase is expected to close before the beginning of the 2004 season.
"This is an excellent and unique opportunity for both companies," said Dick Kinzel, Cedar Fair's chairman, president and chief executive officer. "With this acquisition, we have the ability to add another successful operation to the Cedar Fair family of parks in a market we already know well. The park, which will be renamed Geauga Lake beginning with the 2004 season, offers numerous marketing and operational synergies that we hope to take advantage of almost immediately."
The deal excludes the parks marine animals. Six Flags will retain ownership of all animals, including the four dolphins and the 11-year old killer whale, Shouka. Six Flags is expected to relocate Shouka and the dolphins, which were on loan, to its Northern California park Six Flags Marine World.
The sale also excludes the licensed comic book and Looney Toons characters used as ride names and themes in the park. The rides and areas using the licensed characters will be renamed and rethemed before the park reopens.
Six Flags Worlds of Adventure is a family-oriented theme park situated on approximately 690 acres, including a 50-acre spring-fed lake. The park offers its guests a wide variety of rides and attractions, including 10 roller coasters, several children's areas, a water park, and various live shows, and entertains more than 1.5 million guests each year, principally from the Cleveland/Akron, Youngstown and Pittsburgh markets. Although 2003 was a soft year, over the past three years the park has averaged revenues of approximately $64 million and cash operating profit of approximately $16 million. Cedar Fair's revenues and cash operating profit for 2003 were $510 million and $176 million, respectively.