Six Flags, Inc.: The 2006 Business Turnaround

Introduction Six Flags Entertainment is the second largest amusement park management company in the world after Disney World (Company overview of Hoover, 2014). In terms of the number of parks and assets you own, it is the world's largest amusement park company with 11 parks in 18 parks in the United States alone, Europe, Canada, Mexico (company overview of Hoover, 2014). It was founded in 1961 by Great Oil Oil Angus Wynne and has grown exponentially since then (Six Flags Inc., 2011).

Six Flags is a synonym of thrill, laughter and scream. However, in June 2006, the investor did not laugh. According to the report of KMGH Denver (2006), the stock price of Six Flags Inc. fell sharply as the attendance on Friday and the decline in earnings lowered expectations for the park management company. (Paragraph 2) Background Six Flags "History" website (2011) pointed out that the crowd flocked to Six Flags amusement park in Texas when the park opened in 1961. Six thematic sections imitating the culture of the six countries fly Texas in the rich history of the province, offering customers a spectacular and magical environment - and provide the name of the park.

Today, the park has its own ownership agreement. Unlike other Six Flags parks, Texas state Six Flags does not actually belong to Six Flags (Georgia State Six Flags has a similar arrangement). Instead, it is owned by more than 120 limited partners, some of whom are heirs of Win. Six Flags ink simply manages the park and executes "voting rights and beneficiary rights" in 52% of theme parks and related land. Collision between. It is a question. In a recent example, parent company Six Flags Inc. applied for bankruptcy protection after accumulating $ 2.7 billion in debt in 2009. However, due to the arrangement of ownership of Six Flags on Texas State and Six Flags Company, the park will not be affected by bankruptcy filing.

On June 22, 2006, he announced that he is seeking options for six parks including Six Flags Ink Magic Mountain and its adjacent water park, Hurricane Harbor. Management says it is unlikely that the park will be closed, but rumors that parks can be sold to real estate developers, with the intention of shutting down the park and building a housing development project in that area There is. Park officials wanted administrators to sell it because the park audience (especially gang members and other teenagers and young people, they occupy the majority of the park's attendance). The sale of the park will move Six Flags towards more family parks. In the Six Flags chain, the attendance rate in the second quarter of 2006 was 14% lower than in the second quarter of 2005.