$2.4 billion deal to sell Cedar Fair in works

SANDUSKY A New York company plans to buy Cedar Fair, the parent company of Cedar Point and 10 other
Tom Jackson
Mar 7, 2010

 

SANDUSKY

A New York company plans to buy Cedar Fair, the parent company of Cedar Point and 10 other North American amusement parks.

The $2.4 billion deal would turn Cedar Fair, a publicly traded company, into a private company that’s wholly owned by an affiliate of Apollo Global Management.

Cedar Fair announced the deal after news of the impending acquisition leaked to the Wall Street Journal, which reported it Dec. 16 on the paper’s Web site. The newspaper said Apollo is expected to buy Cedar Fair for more than $700 million and assume more than $1.6 billion of debt.

As part of the deal, unitholders will get $11.50 for each unit in the company. That’s a 28 percent premium over the $9.08 price when trading closed Wednesday.

Cedar Fair describes the deal as a “definitive merger agreement.” A statement from Aaron Stone, a senior partner at Apollo, said Apollo would form a partnership with Cedar Fair management.

“We are extremely pleased to be acquiring this premier amusement park operator,” Stone said. “We look forward to partnering with Cedar Fair’s management team and employees to build on the many strengths of the company.”

Cedar Fair’s board unanimously OK’d the agreement, though the deal allows Cedar Fair to consider other offers for 40 days.

The company said the merger hinges on acceptance by holders of two-thirds of Cedar Fair’s outstanding units, regulatory approval and other conditions. The sale is expected to be complete by the spring of 2010.

Cedar Fair officials did not respond to repeated requests for comment Dec. 16.

But the company’s chairman, CEO and president, Dick Kinzel, endorsed the deal in the company’s news release.

“We have considered a wide range of strategic alternatives over the past several years,” Kinzel said. “After considering these strategic alternatives, we have concluded that the transaction with Apollo is in the best interest of our unitholders.”

Headquartered in Sandusky, Cedar Fair is the parent company of Cedar Point, which is not expected to go anywhere.

The acquisition comes after months of bad news for Cedar Fair.

On Nov. 3, the company announced that for the first nine months of 2009, attendance at the company’s amusement parks decreased by 1.2 million from the like months of 2008. Company officials also announced they would not make cash distributions in 2010 to owners holding unit shares in the company. The company always paid cash distributions since going public in 1987.

Cedar Fair tried to sell some of its assets to reduce debt and, in August, completed the sale of 87 acres of surplus land next to Canada’s Wonderland, in Ontario.

The news of Cedar Fair’s potential sale took many of its investors by surprise.

John Sprau, a Cedar Fair investor who lives in Sandusky, said Wednesday evening he hadn’t heard any news but hopes the value of his investments will rise.

LaDonna Rengel, another Sandusky resident, said she hadn’t heard anything, either.

“I don’t know if it’s good or bad,” she said. “I’d have to look into more of it.”

The news appears to mean Cedar Fair can escape the pressures of being publicly traded, said Jeff Putz of PointBuzz, which follows Cedar Point news.

The pressure of having to issue quarterly reports “is a little weird for a company that generates its revenue seasonally,” Putz said. “One of the problems with being public is that there’s a lot of external pressure to grow.”

Cedar Fair spent $1.24 billion in May 2006 to buy Paramount Parks, a move that piled on much of the company’s $1.6 billion debt. That purchase arguably was driven by pressure to grow, Putz said.

One key question is whether there will be changes in Cedar Fair’s management team, Putz said. He predicted that, in the short term, there will be little impact on park guests.

Here's what commenters had to say:

89 comment(s)

Seriously wrote on Dec 21, 2009 11:12 AM:

" What is everyone so worried about here?? The way I see it is they buy out Cedar "Fair" and move all of Cedar point to some place that is nice all year round and the surrounding town acutally backs them and works with them......They then donate the peninsula and turn it into a wildlife refuge!!!! THAT WOULD BE GREAT!!!!!! THen all the property in the area will crash even more and the "Waterfront Watchdogs" will be able to buy up the property cheap.. Then the could drive up and down the slums of Sandusky and enjoy their waterfront view.... OR WAIT....is this already happening???? "

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taxpayer wrote on Dec 21, 2009 10:21 AM:

" There are a lot of miserable liberals here with CLASS ENVY. NOW you are turning on CP. How about you loser UAW members BLAMING GM and Chrysler? Oh, I forgot, it is now owned by the UAW and obama. Ha! Ha! I guess you can NOT blame them now right? If you want to be rich, then go back to school and DO IT. Instead of the same liberal mentality of gathering at the union hall to feel sorry for yourselves and to FORCE others to be as miserable as YOU, do something about YOUR lives. I understand it is NOT in the liberal playbook, but YOU have the ability to do something on your OWN. It is absolutely amazing how the mentality around here CONTINUES to be "FAIL TOGETHER." Ha! Ha! How is all that hope and change working out for YOU? "

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pntbutterandjelly wrote on Dec 19, 2009 9:43 PM:

" re. quicksand; you right (patiall) about the wealth (word play) of low-paing permanent jobs, HOWEVER, the construction trades would benefit greatly during the growth period and if the work was done via union labor...the living wages tehy recieve would allow for descretionary spending on a wider range of goods and services thus further perpetuating the economic growth. It's the old domino affect. The low paying/non-union construction wages do NOT allow for large purchasing power and therby IS part the ever-expanding downward spiral we are experiencing. I HAVE worked both sides of the construction table and believe me...when I worked UNION...I had some money to prchase things like; cars, housing, clothing, good insurance, etc., etc., etc.,. THe whole moral tothe story is, "Keep the masses from having money, keep them busy (in this case arguing among ourselves) and therefore they get to keep the money/power. "That" isn't what "we" need.

Now.....let's get behind the new management company and push for a casino. There WILL be jobs to be had. Even a low-paying job can lead to a better job and food on the table until.....better days. We all truly need to get positive attitudes about the condition our country is in, ourselves and what we have to work with at hand. To be negative can only breed more negativity and ill-fated destinies. To be pessimistic is another matter which can be used in a positive manner. BIG difference. I am a realist with a positive attitude, an ever-present eye for opportunity, a guarded/skeptical mind, a nose for bull and an ear for listening. "

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Oliver Hardy wrote on Dec 19, 2009 2:12 PM:

" Cedar Point at one time was part of Huron township. With new owners taking over Cedar Point, there could be talk about de-annexation in the future.

There were talks about de-annexation at King's Island.

http://www.daytondailynews.com/n/content/oh/story/news/local/2008/06/25/ddn062508kitaxweb.html

" "

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goofus wrote on Dec 19, 2009 1:50 PM:

" This just in, Obamaland will have ferry service from Sandusky. They puchased a ferry, the U.S. Ted Kennedy and it's sister boat the Mary jo Kopekne, the fare will be only two tea bags. " "

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totallyamazed wrote on Dec 19, 2009 1:41 PM:

" Very creative goofus, LOL "

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goofus wrote on Dec 19, 2009 1:35 PM:

" " They should have declared bankruptcy, then the government would buy it and changed it to Obamaland. Due in part to global warming, it would be open year round. No foreign workers, just illegals in the SEIU. All merry go rounds will have whales and ploar bears to ride. Every whack-a-mole would have likenesses of Rush Limbaugh. They would have to bring back Jungle Larry and make up a Kenyan village with one hut devoted to the man child in a manger. Kiddie land would get find the Acorn game, and the Tiger Woods putt putt with only 14 holes. Every restroom would be equipped with a flatulance collector so as to prevent methane escaping into the air. We could have the Illegal Funhouse, they would go in and come out american citizens. They would have to bring back the rotor and call it Obama's Economy Ride, half way through and the bottom falls out. And finally they would have to bring back the boat ride. Instead of the old prospector warning of indian country, they could have sarah palin skinning a hide warning of conservative country ahead and the boat captain can shoot at likenesses of Sean Hannity,Glenn Beck,Michelle Maulkin,and Bill Oreilly. They could put it by Fox News Fantasyland. The best news it would be free, just bring your hope and change. " "

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Quicksand wrote on Dec 19, 2009 10:00 AM:

" Re pb&j: yeah! lots and lots of JOBS!! Cause it's going to take one person working lots and lots of jobs to support themself. These are minimum wage, part-time, no benefit JOBS! The only people getting "rich" are the GREEDY b@$tard$ at the top! (And when Appollo finds out how much CF paid in taxes to Sandusky, they'll get a new zipcode and detach themselves!) You did mention trafic jams--hey,now you're talking! Sandusky needs to CAPITALIZE on all that traffic by putting up a toll gate at each entrance to the city and charge to use our roads!!! They should've done this years ago, especially after Kinzel threatened to SUE if we charged a parking fee--he just wanted all that money for himself because of his debt! He probably didn't have enough money then to even hire a lawyer! A measley $1 per vehicle would've helped a lot with our infrastructure, but greedy Kinzel couldn't part with $1! Sandusky definetly needs to explore other ways of people making a living here if they want people to remain here. Maybe Appollo will buyout the whole city next and we'll all be forced to move out! "

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pntbutterandjelly wrote on Dec 19, 2009 9:09 AM:

" OH MY GOD ! Just think if Erie Cnty. could get a casino here!!! We would all be rich and could retire!

Then we could all go out a buy $72.00 tacos ! Whoopeee!!!!! Seriously...there are many major opportunities with this aquisition (many I can't even begin to imagine.). A horse track, more hotles/motels, all manor of support stores, traffic jambs (oops...skip that one)all of which would lead to...

JOBS. If all is done properly, there will be a windfall for the entire micro-region. I fully anticipate positive changes. Keep your fingers crossed gang!

Ps. Check back with in 5 years. "

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watch'n it all wrote on Dec 19, 2009 8:51 AM:

" ou812 wrote on Dec 18, 2009 1:17 PM:

" RE Taxpayer:

I hope you sold your FUN stock before it rock bottomed. Kinzel didn't. If only you two would have called me for advance advice.

It's probably the livable wages of the Unions you bash that keeps your favorite employer from paying $4.00/hr.

E. F Hutton "

Good one ou812! that one landed squarely on the nad's! "

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Quicksand wrote on Dec 18, 2009 9:24 PM:

" I still say, what goes aound, comes around. Kinzel bought up Geauga Lake with the intent to get rid of the competition, forcing those visitors to CP instead. It worked for one year. Then everyone wised up and the economy crashed. Both bad news for a seasonal luxury when people are worried about mortgages, taxes, utilties, gas and food! Now Kinzel will get what's going to come around his way! It won't matter, he's pocketed how many millions just in yearly bonuses anyway. Hope he was smarter managing his own portfolio than his business or he could be filing bankruptcy down the road! Another fatality of Corporate Greed? Wealth and capitalism are GREAT! The GREED of the FATCATS at the top is what usually puts a company over the edge! Maybe Kinzel should've asked Obama for a bailout? Seeing how a whole community could go under because of his lack of leadership, I feel we're in the same boat as the Banking Industry and Automobile Industry! "

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justthefacts wrote on Dec 18, 2009 3:32 PM:

" that's why I wrote 'who knows?", Chongo.

No one knows what will happen....just don't act like it can't or won't, OK? "

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StalkerChick wrote on Dec 18, 2009 3:16 PM:

" Oh and for all those others out there that didn't read my explanation... straight from the CEDAR FAIR PRESS RELEASE

SANDUSKY, OHIO, December 16, 2009 -- Cedar Fair, L.P. (NYSE: FUN), a leader in regional amusement parks, water parks and active entertainment, announced today that it has entered into a definitive MERGER agreement to be acquired by an affiliate of Apollo Global Management, a leading global alternative asset manager.

http://www.cedarfair.com/ir/press_releases/index.cfm?current_root=15&mode=story&story_id=210

Thank you have a great day, and you stick to that research there little fella. you'll get it :) "

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StalkerChick wrote on Dec 18, 2009 3:13 PM:

" Jeezus. if you ppl will read the explanation AFTER it makes more sense. Since Apollo is a management company. if you look at their history with other buyout/mergers that they have either handled or been a part of, 9 times out of 10 the original companies structure stays in place, hence the explanation i put after the first line. but no one seems ta read to good nowadays (purposeful grammatical errors)

unlike when CF bought Paramount and led all their parks managements to either quit or be fired, most of CF's people will stick around since "they know what they're doing" at least until Apollo can train a suitable replacement. "

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Here in Ohio wrote on Dec 18, 2009 1:34 PM:

" StalkerChick: did you even read the story?

Apollo is expected to BUY Cedar Fair for more than $700 million and assume more than $1.6 billion of debt.

Now what part of BUY dont you understand. "

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ou812 wrote on Dec 18, 2009 1:17 PM:

" RE Taxpayer:

I hope you sold your FUN stock before it rock bottomed. Kinzel didn't. If only you two would have called me for advance advice.

It's probably the livable wages of the Unions you bash that keeps your favorite employer from paying $4.00/hr.

E. F Hutton "

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William Jefferson Clinton wrote on Dec 18, 2009 7:16 AM:

" Here is what is going to happen:

I have been through a half dozen corporate mergers/acquisitions and the formula is ALWAYS the same. They always promise nothing is going to change. They "bought" into the company because they like how it's being run...etc. Then just before the expiration of the golden parachutes (which are obviously built) everything starts to change. The buying company pretends like the environment has changed, but this was the original plan. It won't happen next month, but it will happen because of cost savings in consolidation and elimination of duplicate functions. CP Headquarters and executive jobs WILL be reduced and positions transferred out of Sandusky....the only question is "when?" "

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real wrote on Dec 18, 2009 2:16 AM:

" Law firm is investigating cedar fairs board of directors for breaches of fiduciary duty and violations of state law relating to the takeover.

Come on register, where's the front page story above the fold? "

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real wrote on Dec 18, 2009 2:05 AM:

" Stalkerchick, get YOUR story right.

As the wallstreet journal reports, it is a leveraged buyout, which a more common term used is hostile takeover.

Do your research before you spout and show everyone that you didn't research. "

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Taxpayer wrote on Dec 18, 2009 1:22 AM:

" If Apollo FAILS, just like any company can fail, then CP will be at risk. All the "experts" proclaim CP could NEVER fail. They are too big. Yeah right. You know like Chrysler and GM??? Too BIG to FAIL??? How about all these businesses pulling up stakes and getting out of here. YOU think CP is exempt from that? CP has been around before I was and has been good to me and my family. I love to see all that jammed up traffic because it is capitalism at its greatest. That is why I purchased so much preferred stock. More people spending their money for something they want, which means more tax revenue for the city and county. Basic capitalism right liberals?? It is the largest employer in the county. I am very proud to see CP on TV shows to help advertise it. People around the world spend their money just to have fun. Just because a business has been around for a lifetime does NOT mean it can NOT fail. All those loser UAW workers at NDH CLAIMED GM will NEVER fail. I was told to "join up" with the UAW as a winning team. Ha! Ha! It is a good thing I did NOT listen to a word they said. "

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StalkerChick wrote on Dec 18, 2009 12:50 AM:

" its a MERGER of a management company. not a BUYOUT. please quit getting them confused. MOST of the CF higher ups will still be around running the parks, but they'll have Apollos backing and more importantly money.

and this if for Chung Lee who seems to laughed his way off of here. Here are the rides and their stats from rcdb.com (which stands for RollerCoaster DataBase) if you'd like to see yourself. And i personally blame Six Flags for its demise.

1 X-Flight move to Kings Island as Firehawk: Length:3340', Height: 115', Inversions: 5, Speed: 50 mph, Duration: 2:10, G-Force:4.3

2. Beaver Land Mine Ride moved to Papéa Parc (France, yes France!!) as Roller Coaster: Length:1181' 1", Height:26' 3"

3. Dominator moved to Kings Dominion as Dominator: Length:4210', Height:157', Drop:148', Inversions:5, Speed:65 mph, Max Vertical Angle:57 Degrees, G-Force:3.8

4.Head Spin moved to Carowinds as Carolina Cobra: Length:935', Height:116' 6", Inversions:3, Speed:47 mph, Duration:1:48, G-Force:5.2

5.Thunderhawk moved to Michigan's Adventure as Thunderhawk: Length:2260' 6", Height:109' 3", Inversions:5, Speed:49.7 mph, Duration:1:36

wow theres 5 pretty big coasters including one going overseas!! And I didn't include the one that moved to Chippewa Lake as CL is now closed down as well, but feel free to look that one up as well.

Besides, CF has been looking to do this for some years. before they even bought out Paramount. the paramount parks were most likely bought to sweeten the deal. This is to save them from going bankrupt and closing everything down. so really its not as big a loss as everyone's freaking out about.... "

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chongo wrote on Dec 17, 2009 10:47 PM:

" Rebekah Carr wrote on Dec 17, 2009 1:28 PM:

" My main concern here is the affect this will have on the future of The Chippery. "

LOL, that should be the real story!!

Not all of these people who talk and don't really have a clue on how amusement parks operate. THE RIDES ARE FALLING.. THE RIDES ARE FALLING.. THE RIDES ARE FALLING.... Jesus guyz, give it a rest. Not much is going to change over the next five years....

Yes, 5 years before things changed I wouldn't have thought that the browns would move, GL would close, Sea World would close. Fact, neither did you!.. You have no clue what will happen or about what did happen. If you knew, you wouldn't be commenting here, you'd be running it. "

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sweetcheeks wrote on Dec 17, 2009 10:46 PM:

" They can sell it all and get it out of this city for all I care..All it is is a public nuisance in the summertime that us locals have to deal with idiots that think they own the place. Oh and a place where parents can drop off their minor kids so they can go bar hopping. "

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Infoman wrote on Dec 17, 2009 8:32 PM:

" Look for Cedar Point and the property to become their own township and split from the City of Sandusky. They can form their own government and it's been done before! Taxes and forming a gaming excemption. "

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captain gutz wrote on Dec 17, 2009 8:10 PM:

" The score at halftime:

justthefacts 10

ChungLee 0 "

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Peninsula Pundit wrote on Dec 17, 2009 6:07 PM:

" Interesting points, Quicksand.

Especially when one considers that a google of Apollo Global Management reveals this group owns Harrah's Casino's and just bought a minor oil company. They also own Claire's clothes stores. Odd little portfolio.

I doubt this group knows much about running a amusement park company, so I'd guess that they'll let the folks that made it an attractive investment continue on. "

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real wrote on Dec 17, 2009 5:29 PM:

" Mcgreedy, because that wouldn't go along with the liberal medias and the governments agenda of 'everything is fine, the recession is over, etc. Now keep moving along and spend spend spend, there's nothing to see here'. "

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mcgreedy wrote on Dec 17, 2009 5:03 PM:

" Why isn't the Sandusky Register doing the same hard hitting fact finding reporting with the Cedar Point story that they do with the City of Sandusky politics. I think the fact that many hard working people of this town invested their money and their faith in this company and will be left with little or nothing is worthy of some insightful investigating. "

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Quicksand wrote on Dec 17, 2009 4:44 PM:

" It's true Sandusky will lose all the taxes of Cedar Fair; maybe this will force the city to look at different avenues. A university to lure students or a large ferry dock to the islands? A large casino and hotel will probably be in the works for this new company for that golden piece of land and they will probably rip up the causeway and make a private island out of it, accessed only by ferry and private boats. About the only thing Sandusky has been manufacturing of late is illigitemate babies--might as well open a baby factory! Two things are for sure, the more things change, the more they stay the same and WE REAP WHAT WE SOW. We reap more than we sow and at a time later than we sowed. Sometimes our seeds sprout and we are left wondering WHEN we planted that rotten seed. And sometimes all that comes up are the WEEDS! We all need to look around ourselves and see what our contribution to the demise of this country has been. Greed, instant gratification, selfishness, jealousy, envy, laziness? In the end, not very tasty fruit, that's for sure! I pray for one thing first: the leaders of my city and my country that they will find the wisdom to do the Perfect Will of God. God Bless Sandusky and God Bless America! (with or without Cedar Point!) "

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Sandtown wrote on Dec 17, 2009 4:06 PM:

" $1.6 billion debt ? maybe if they would of payed their bills instead of giving them self big bonuses? they wouldnt be in debt !!!! "

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duh goat wrote on Dec 17, 2009 3:55 PM:

" who be the goat now,thats life.?????!!!!! "

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justthefacts wrote on Dec 17, 2009 1:42 PM:

" Sorry chung lee but you are wrong.

the coasters that were moved were the modern steel coasters....with the some of the most intense ride experiences.

here is a link to one of them: http://en.wikipedia.org/wiki/Thunderhawk_(Michigan%27s_Adventure)

The Raptor at CP would be an example of one.

In any event, the notion that not being able to move a few of the bigger coasters would stop them from moving is nonsense.

If the grass is greener elsewhere and with the increased revenue they can cover the construction of newer, bigger and better rides in the south, they'll do it.

They've torn down/ sold plenty of other rides at CP to make room for new ones in the past.

totally amazed is right...check out his post. "

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Rebekah Carr wrote on Dec 17, 2009 1:28 PM:

" My main concern here is the affect this will have on the future of The Chippery. "

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whocares wrote on Dec 17, 2009 1:20 PM:

" I guess Sandusky can raise the admission tax now to balance the budget. Unless the Haagites have already made other plans. "

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Chung Lee wrote on Dec 17, 2009 1:09 PM:

" All the rides in article are for small rides not the large rides. Larger rides were turned to scrap. Yes your mobile home can be moved but skyscaper can't be. "

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totallyamazed wrote on Dec 17, 2009 1:09 PM:

" I worked out west at the same facility where Arrow Dynamics was building & testing coasters. The coasters were built on site, tested, disassembled and shipped. "

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totallyamazed wrote on Dec 17, 2009 1:00 PM:

" Columbus Avenue wrote:

" They got sick of the Schwangerites and all their crapola and decided to split "

Yep, that's what I heard also. Cedar Fair, a billion dollar entertainment giant decided to sell 11 parks because of a small band of local yokels trying to secure tax revenue for the city or was it the battle to save Battery Park that made them leave? No wait, now I remember what it was, it was the pier track easement fight that pushed them out the door. Thanks alot Schwangerites....way to go!!! {{rolling eyeballs and LOL}} "

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mmckenzie123 wrote on Dec 17, 2009 12:28 PM:

" Six Flags Kentucky Kingdom’s largest roller coaster, Chang, is on the move. The rumors of the ride’s removal were confirmed today. I noticed that NewsPlusNotes posted a link to a WLKY.com article about Chang’s Removal for a Water Park Expansion.

Destination Unknown & Six Flags Coaster Exchange Program?

While Chang’s new home is unknown, rumors are that the B&M stand-up looper is on its way to Six Flags Great America near Chicago, IL. The article mentions that Kentucky Kingdom will be giving the ride to another amusement park. "

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justthefacts wrote on Dec 17, 2009 12:18 PM:

" here is more detailed info, chung lee...

http://en.wikipedia.org/wiki/Geauga_Lake#Fate_of_Geauga_Lake.27s_Coasters

still laughing so hard chung lee? "

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justthefacts wrote on Dec 17, 2009 12:13 PM:

" chung lee moving roller coasters is no big deal....read on...

OK chung lee...here you go...'from ultimaterollercoaster.com"

...Re: What Happened With "Geauga Lake's" Old Roller Coasters? > There are some new and some old rollercoaster specials on

> the Travel Channel tonight...

> One of the older ones (from 2003) was showing the coaster

> "Batman: Ultimate Flight" (I think that's what

> they called it) from what was then Six Flaggs Worlds of

> Adventure...

> That park was Geauga Lake and we all know how Cedar Fair

> closed it down (except for the waterpark) and disappointed

> SO MANY fans...

> What I was wondering was... Where did that

> "Batman" floorless coaster go to???

> I know one Geauga Lake coaster went to King's Island and

> another one went to Michigan's Adventure... Anyone know

> where that Batman floorless coaster went to... and for that

> matter any other coasters that used to be at Geauga Lake??

The B&M floorless coaster which was batman knight flight was relocated to kings dominion as denominator.

The intamin impulse coaster which was known as superman ultimate escape was relocated to dorney park as voodoo.

The vekoma suspended looping coaster(or better known as the vekoma hang n bang)which was known as serial thriller that,s the one that was relocated to michigans adventure & the vekoma flying coaster known as x flight that,s the one that was relocated to kings island as firehawk. "

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Chung Lee wrote on Dec 17, 2009 12:00 PM:

" You Americans are so funny. Chung Lee laugh so hard when people talk about Cedar Point leaving. Easy for them to move rides? If that so.....then why did they sell the Roller Coasters at Geagua Lake for scrap? All these "experts talking about how easy it would be to do. Chung Lee wonder if any people suggesting this are real engineers with a P.E. behind their name? Chung Lee already know answer.

Do people really believe that metal coasters that were fabricated on site can be cut appart moved and put back together again? We are not talking backyard welding we are talking about certified welds of material that could be weakened and damaged when taken apart. For you experts out there give Chung Lee an example of a large coaster that was moved and include the amount of time that it took to do it. Chung Lee will wait to hear back. "

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Sandman2010 wrote on Dec 17, 2009 11:38 AM:

" I wonder what this will mean for the jobs of the CEO, CFO, and COO? What will happen to them in this buyout? "

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justthefacts wrote on Dec 17, 2009 11:37 AM:

" Apparently the register just removed several posts.

hey, it was only 'country cowboy' that abused the policy, folks. "

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justthefacts wrote on Dec 17, 2009 11:35 AM:

" Name calling?

you'd be the one who call me...and many others... 'juvenile' and a 'useful idiot' among MANY other things.

Apology? For what? Are you kidding me?

I don't care what city you live in. And where I live is not important.

I don't dislike you. I don't even know you. I just disagree with 90% of what you write.

But you pick fights with me over stuff we agree on! Like the 'older and poorer' population.

A lot of what you post is misleading and doesn't accurately state the whole story. That is where we cross wires.

When you posted 'average' incomes in various countries, for example.

OK, Shaquiile Oneal and you 'average' $10 million a year....he gets $20 million....you get $50k.

Averages don't mean squat. "

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mmckenzie123 wrote on Dec 17, 2009 10:48 AM:

" I believe this to be only a change in how Cedar Point is financed. Over the past ten years CP has acquired an enormous amount of debt with their many new acquisitions. Cedar Fair shareholders have suffered just like everyone else in this downturned economy. A limited supply of operating collateral has restricted CP’s growth and since they have not been able to pay down their current debt as quickly as investors would have liked, the attractiveness of their public shares has dissipated. Apollo Investment Corporation (NASDAQ: AINV), managed by Apollo Investment Management, becomes a great investor and is a company that likes to acquire attractive opportunities in privately-held, middle-market companies like Cedar Fair. Apollo’s investment objective will be to generate both current income and capital appreciation through debt and equity investments for both Cedar Point and the City of Sandusky. I believe the Mr. Kinzel knows that the direct equity that this company will make in investments will just make Cedar Point stronger. I am sure he and his advisors have thought this strategy through and know it will provide investors with attractive returns while minimizing the risk of capital loss to our community throughout this poor economic cycle. This in the long run helps the City of Sandusky. "

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Sandtown wrote on Dec 17, 2009 10:38 AM:

" re:6079 Smith W

Lets just hope it is a good thing ! It sure would be nice to see something GOOD happen around here ! "

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6079 Smith W wrote on Dec 17, 2009 10:34 AM:

" Look people – think positive.

AGM owns Harrah's Entertainment, Inc.

Think fewer rides and more construction of hotels and casinos.

Who goes to casinos? Seniors!

What’s the future of Ohio? Seniors!

Ol’ AGM will march down to Columbus and threaten to leave unless they get a gaming license.

Don't automatically jump to the conclusion that this move is a bad thing.

Watch and wait. "

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6079 Smith W wrote on Dec 17, 2009 10:26 AM:

" justthefacts wrote on Dec 17, 2009 10:07 AM:

'...people continue to leave Ohio, Michigan and New York in droves like they have been, then a strong case could be made for moving out.'

Why did you move out and no longer support the area commercially or with your tax dollars?

Where'd you move to? Is it a secret?

Of course AGM will keep CP - they didn't buy it to destroy it. Reading your juvenile economic assessments is 'mildly' entertaining. "

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Sandtown wrote on Dec 17, 2009 10:16 AM:

" Dont think for a minute that Apollo Global may not move all the rides to other parks in warmer climate, sure maybe not right now,but if they dont think they are making $$$$$$$$ they will move it and just sell the land,how long does CP stay open 3/4 months out of a year? this could turn out to be a very BAD THING for Sandusky,lets hope not. "

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justthefacts wrote on Dec 17, 2009 10:07 AM:

" Chongo-

Hopefully you are right and CP stays.

The fact of the matter is that CP is saddled between what USED to be two manufacturing giants in Detroit and Cleveland.

NOW Detroit and Cleveland are among the poorest cities in the country....and their metro areas are losing population.

NO ONE would have predicted that Geauga Lake, Sea World and the Cleveland Browns would leave the area if you asked them 20 years ago.

I see no LONG TERM demographic trend to help keep the rides in Sandusky.

If and when we get out of this recession, if the population growth resumes in the sun belt and the south, and people continue to leave Ohio, Michigan and New York in droves like they have been, then a strong case could be made for moving out.

It has been done before with Geauga Lake. Don't for a SECOND think it cannot happen again. There are NO sacred cows anymore. "

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myirisheyes wrote on Dec 17, 2009 10:02 AM:

" maybe this is what is needed~ a fresh new way of thinking. there are a few "head" honchos that got a little to gready. and the park and the full time employees have had to pay the price. come on, do you really need to have a park employee wash your car and gas it up, with cedar fair time & money...??? this idividual got way ahead of themselves. but i'm sure there is a very nice retirement pkg. for himeself and his family. "

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Sandman2010 wrote on Dec 17, 2009 9:59 AM:

" Actually we kind of ARE doomed as a city in a way by this. Because Cedar Fair is based in Sandusky, all the profits made from all the parks, last year almost 1 billion dollars, they pay taxes to the city on... and when the new company buys CF and the company is no longer based in Sandusky, we LOSE A BOAT LOAD OF MONEY in taxes. The only thing the city will make taxes off of now is CP alone, which if attendance keeps on the trend its going won't be much anymore either. AND Cedar Fair believes in using our local business and goods to support CP and CF... will the new company still do this?? Our local companies could be in alot of trouble in this aspect too... I hope all that wanted CF to leave is happy with whats about to happen to our dying city... Good Luck "

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Truth or Dare wrote on Dec 17, 2009 9:54 AM:

" And this has exactly what to do w/raising the Adm./Ent. Tax? CP wouldn't of paid it, those walking through the entrance gate would. But they can raise the ticket price yet again, no qualms, right?! That extra dollar from everyone, are they gonna use it to repave that crappy road called the Causeway?

Hey chongo, your comment about all the big bonuses paid out.........yep, kinda reminds me of the big wigs from GM, Ford, Chrysler, etc., crying about losses and begging for help all the while their pockets were being lined w/fat arse bonuses, and now WE get to help pay for their greed! Forgive me if I have little sympathy! Personally, w/all the foreign countries, especially China buying up American businesses and land, well.........we've been warned forever about this, and the powers that be turn right around and allowed it, didn't they? All for more $$$ in their pockets! Greed will be the demise of the U.S., we see it happening before our eyes. "

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chongo wrote on Dec 17, 2009 9:28 AM:

" Jesus.. you people are going crazy. Just sitting here reading the comments this is what we have. Were are DOOMED!, the park is moving, the park is closing, they are tearing down rides, they are selling rides, they are closing and not opening this year, the comment "look what they did to sea world and GL" is the funniest, these people won't care they will close it.

Ok, stop and think about it. what purpose is it to close this park. It is one of the largest in the country and seated in peoples minds when it comes to a great amusement park. The fact is that this park makes money every year. The numbers have been bent every year to show losses and justify raising prices. Every year, all of these big shots have taken pay jumps and bonuses that eat up most of the profits. To me this is the greatest Idea that has happened to the park in YEARS. When George Roose bought the park, it was in shambles. Run down, and not much money comming in. What difference is it from now, only different times. the place looks better, but it's somewhat the same. The places is a public traded company right now, and proab soon will not be. take out that factor and make it a company that again has no intrest in running parks. This time could be the same again. A company intrested in all things but parks takes the reigns and we begin a new dinasty (spelling wrong i know) with Cedar Point.

Hold on people, I personaly beleive that only Great things are about to happen. 5 years and gone?, yea, don't think so. They have way too many parks elsewhere to close first yes, but w/ that they cut the fat and get down to a great park that the world loves and knows is already great. Lets just make it greater! So everyone, CALM DOWN! "

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Taxpayer wrote on Dec 17, 2009 9:26 AM:

" Wow! I hope, and the city BETTER PRAY, they know how to run an amusement park. The property alone can generate MILLIONS. So I will have to vote on this as a unitholder. All you crybabies about CP can now be happy in your miserable lives. If Apollo FAILS, so will all those MILLIONS in city tax dollars. If Apollo wants to buy me out for my shares, that is fine with me. So YOU thought CP will NEVER be under threat because it will ALWAYS be there? Look into your crystal ball now crybabies. ALL city employees might want to look into other options, just in case. I am sure Apollo will keep the same management team in place,....for now. We shall see how the next few years turn out. CP has been very good to me and my family. All you liberal anti-capitalists whinners can rejoice when there is no more traffic in the summer. If the largest employer in the county fails, so will everything else. RIP Sandusky. "

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