Mr. Kinzel's "Legacy"

Clearly the purchase of Paramount is how Mr. Kinzel is "going out with a bang" and making his mark on the company. As the first CEO of Cedar Fair, he could choose how he wanted to set a precedent for all future CEO's. His choice was to completely buy-out an amusement park corporation.

How do you think this will affect future Cedar Fair CEO's who are nearing their retirement? In my personal opinion, I happen to think that when Mr. Falfas' CEO time is up many years down the road, that will be the end of either Six Flags or Anheiser-Busch parks. Six Flags would make sense because of the never-ending rivalry, and Anheiser-Busch would also be logical because like, Paramount, they live up to high standards and that will also be a less painful transition.

Any thoughts or suggestions towards this theory?

I doubt that CF would continue to acquire large park chains in the future. Individual parks, perhaps, but not entire chains. This purchase was pretty bold, and will very likely be a stellar purchase in the long run, but I don't necessarily see a benefit to purchasing a chain such as, for example, Six Flags.

The "going out with a bang" is a fallacy. He never said it, enthusiasts put the words into his mouth.

The availability of the Paramount parks just happens to coincide with his retirement. I would hope that even if his retirement wasn't pending he would still have pulled the trigger on this deal. I don't think there is any onus on Falfas (if he does take over) or any other CEO to make this kind of blockbuster deal. And I certainly hope that they don't go and make it just for the sake of "living up to Kinzel."

WWDD? (What Would Dick Do?).

I would REALLY be surprised if Cedar Fair ever went after Premier/Six Flags or Anheuser Busch. Now, I don't think the Kennywood Corp is out of the question in the future but I think that is a long way off.

I suspect what you will see now is slow, smart growth at all of their parks. They might dabble more in the hotel/indoor waterpark business, continue growth in Sandusky, etc.

What I don't think you will see is them pulling a Premier and throwing money at parks unwittingly. Great America, as I have heard, might be the park that needs the most attention from what I have heard but I think they bought a solid group of parks.

Cedar Fair will not be a monopoly.

The end.

They never would be. Unless they come up with not only the money to buy every park, but also every pro sports team, movie theater, live theater, casino and any other venue for discretionary income. Amusement parks don't just compete against each other, but also against all the other amusement venues.

Isn't there a Cedar Pointopoly?

Yep. I have it somewhere at home.

Then, I'd say CPobsessed was wrong. There IS a Cedar Fair monopoly.

Do not pass go. Do not collect $200.

It is only Cedar Pointopoly. There is no mention of Cedar Fair.

Well, basically what I was getting at, and I may have been a little unclear due to the excitement of just the though of CF dominating the amusement industry in the US, but the point I was trying to get at is I think that every CEO will "make their mark" on the corporation when nearing retirement, changing it for the better. Buying parks is just one example, but it could be anything the accomplishes:

a) Promote the Cedar Fair name (seeing as the majority of the population has heard of Six Flags because they stick it at the front of every park name, but not Cedar Fair because they don't)

b) Attract more guests, i.e. raise attendance allthroughout

c) Higher profit - that's what runs the company, right?

This purchase of Paramount achieves all of these goals, but it is not limited to buying park chains, but that just seems the most logical and feeseable.

Obviously these aren't goals that should only be attempted when the CEO retires, things like lowering gate prices and 25 cent cotton candy are great examples too; what I'm saying is all future CEO's of Cedar Fair should do something extravagant that meet all 3 of the aforementioned goals.

If you think it was Kinzel's decision to buy Paramount Parks, you are wrong. Was he a part of it? Yes. But no one person made the decision.

MrScott

I didn't say that... I'm just saying that at the end of CEO's term something should be done that is somewhat extravagant that greatly improves the company.

Just another idea. Who is to say that Cedar Fair may not get bought out. I realize that none of us here want that to happen but it could. Nothing is forever and nothing stays the same. The only one thing that I am afrad of is did Cedar Fair bite off more than they can chew. Only my thoughts.

Yes, you did, "His choice was to completely buy-out an amusement park corporation."

I think we'll definitely be surprised.... ;) *** Edited 5/24/2006 9:45:19 PM UTC by DBCP***