Six Flags Inc. (NYSE: SIX) has sold three of its
waterparks and four theme parks in a $312 million deal
designed to reduce debt. In addition, three of the other
four theme parks in the deal include waterparks.
The three stand-alone waterparks are SplashTown in
Houston; Waterworld USA in Concord, Calif.; and White Water
Bay waterpark in Oklahoma City, Okla. The theme parks with
waterparks included are Six Flags Darien Lake in Buffalo,
N.Y.; Six Flags Elitch Gardens in Denver; and Wild Waves
and Enchanted Village in Seattle. Finally, there?s
Frontier City theme park in Oklahoma City, Okla.
The parks that were sold generated a total of about $30
million in park earnings before income taxes, depreciation
and amortization. They also attracted about 3.6 million in
attendance in 2006.
The parks were sold to CNL Income Properties Inc., a
Florida-based real estate investment trust.
The sale was part of Six Flags? goal to reduce
debt by several million dollars in the next few years. It
plans to increase revenue by upping guest spending, selling
assets, transitioning to a more family-friendly brand, and
creating more corporate alliances with major consumer
brands. It recently teamed up with Coldstone Creamery,
Heinz and pro skateboarder Tony Hawk.
?A targeted increase in our media spending and
strong new entertainment alliances have us poised to
realize attendance gains, making for a successful 2007
season,? said Mark Shapiro, Six Flags
Six Flags now owns and operates four waterparks and
seven theme parks with waterparks included. It owns a total
of 21 parks, including one in Mexico and one in Canada.
There are no current plans to expand the existing
waterparks, said Wendy Goldberg, senior vice president of
communications at Six Flags, based in New York.