SeaWorld Posts Record Sales and Profits

[Nick]

Yeah, things aren't looking good. Which is why I don't know if I expect a sale soon or not. Most buyers would want to wait until they can get the absolute lowest possible price. It just depends when Blackstone decides it's time. Because at this point it seems inevitable.

 

[anihilnation]

Yeah, things aren't looking good. Which is why I don't know if I expect a sale soon or not. Most buyers would want to wait until they can get the absolute lowest possible price. It just depends when Blackstone decides it's time. Because at this point it seems inevitable.

I guess one of these days blackstone will execs will say, we have sucked all the life out of a once successful enterprise, and then they'll move on.

To be honest, I'd still like to see one of those Chinese investor rumors come true, the little I have seen of the rising theme parks in China, they will spend money to get things looking good.

I can only see two things happen really, either blackstone stay and the park falls completely, or they will sell sooner rather than later and there is at least some hope. Also, the longer blackstone waits to sell, the more the value of the place goes down; personally I think they really want to sell, but they want an outrageous amount of money.

 

[anihilnation]

Most buyers would want to wait until they can get the absolute lowest possible price. It just depends when Blackstone decides it's time. Because at this point it seems inevitable.

Good point, though it presents a difficulty as well, for though it makes economic sense to want the lowest price, the more the company falls, the more difficult it will be to rebuild.
Fascinating also how tides can turn, two years ago seaworld was at the attractions expo showing off the Antarctica RV, there was all the hype and anticipation and now ...

 

[MrRoamer]

I don't believe they were planning on getting rid of the polar bears, unfortunately the last one just died. I honestly can't say I blame them for not replacing them right now, I'm sure it would spark an additional backlash.

 

[UNIrd]

Good point, though it presents a difficulty as well, for though it makes economic sense to want the lowest price, the more the company falls, the more difficult it will be to rebuild.
Fascinating also how tides can turn, two years ago seaworld was at the attractions expo showing off the Antarctica RV, there was all the hype and anticipation and now ...

...people rode it and don't want to go on it again?

 

[anihilnation]

...people rode it and don't want to go on it again?

L L
Being there on opening day and waiting over 2 hours to ride it, thinking this will be awesome, and then ... suffice to say, it made me understand the meaning of being let down. I have done it a few more times since, it is not that the ride is bad, I mean visually it is quite pretty, but it is all contained in a single room and the remaining two rooms (with the screens) are kitsch. Basically, it is a ride that it is a fun little distraction, but that is it.

 

[MrRoamer]

I still have no idea what the story is. Just let me walk into the amazing penguin area and we can call it even.

 

[AK-Jake]

I'm no insider, but to me, the Antarctica ride smells of a project that was originally designed to be much bigger, but then got neutered by the pencil-pushers who slashed the budget (and the ride) down to the farce we have now. It's sad...the concept is cool, but it could have been soooooo much more. What a waste of such a great ride system!

I'm really rooting for SeaWorld too. I hope they turn things around, or they sell to a company that has the money to invest in the parks, rebuild the tarnished brand, and legally defend itself when necessary. It would be nice if a large company could buy the parks and offer them a protective umbrella that didn't require them to sustain themselves (like Anheuser-Busch did). It would make it much easier for them to weather the rough seas they currently face.

There is absolutely NO way that Cedar Fair will buy the whole company. They had a terrible time managing the Paramount Parks purchase back in '06 (which was only 5 parks). The debt load they incurred from that purchase almost sunk the company, and that's about $1 billion less than what Blackstone paid for Busch Entertainment Corporation. They're doing fine now, but they really struggled for several years. Cedar Fair might be willing to grab one or both of the Busch Gardens, but they've historically not been interested in animals whatsoever (and that decision is a major part of what killed Geauga Lake in the long run). Herschend might be willing to buy a few of the parks, but again, how interested are they in owning animals? The only company I can see buying the chain is a foreign one...and likely for a fire sale price. Will they purchase the parks to take care of them, or will they "pull a Blackstone" and purchase the parks to bleed them dry and squeeze every dime out of them possible while running them as cheaply as possible?

 

[Mad Dog]

Blackstone has plenty of money, but as you said their corporate philosophy is to "purchase the parks to bleed them dry and squeeze every dime out of them possible while running them as cheaply as possible". Yes, that is the center of the problem. The Orca stuff has contributed to the problem but Blackstone is the prime culprit. They're conveniently using the Orca controversy as the scapegoat. And your take on the Geauga Lake situation is probably right on. The best scenario is a purchase by a deep pocketed company that is actually interested in theme parks for the long term, not short term. Just a real shame that AB was bought out by the beer conglomerate. The Busch company did a pretty good job running their parks. That's the problem with many of these huge investment firms like Blackstone. I'm just glad they divested their share to Universal Comcast. I don't think they believed that the Potter thing would be so significant.

 

[shiekra38]

Blackstone has plenty of money, but as you said their corporate philosophy is to "purchase the parks to bleed them dry and squeeze every dime out of them possible while running them as cheaply as possible". Yes, that is the center of the problem. The Orca stuff has contributed to the problem but Blackstone is the prime culprit. They're conveniently using the Orca controversy as the scapegoat. And your take on the Geauga Lake situation is probably right on. The best scenario is a purchase by a deep pocketed company that is actually interested in theme parks for the long term, not short term. Just a real shame that AB was bought out by the beer conglomerate. The Busch company did a pretty good job running their parks. That's the problem with many of these huge investment firms like Blackstone. I'm just glad they divested their share to Universal Comcast. I don't think they believed that the Potter thing would be so significant.

Yes Blackstone is terrible...they really contributed to Universal's dark ages...hopefully Sea World has a 'Potter' under their sleeve to get out of the slump once BS sells them off..