News
News Home
Quick Bites
Exploradio
News Archive
News Channel
Special Features
NPR
nowplaying
On AirNewsClassical
Loading...
  
School Closings
WKSU Support
Funding for WKSU is made possible in part through support from the following businesses and organizations.

Northeast Ohio Medical University

Hospice of the Western Reserve

NOCHE


For more information on how your company or organization can support WKSU, download the WKSU Media Kit.

(WKSU Media Kit PDF icon )


Donate Your Vehicle to WKSU

Programs Schedule Make A Pledge Member BenefitsFAQ/HelpContact Us
Economy and Business


No one to take Cedar Fair

Story by KAYLEE REMINGTON


 
The sale of Cedar Fair has fallen through. That leaves the Sandusky-based amusement park company with 1.7 billion dollars in debt and no likely suitors.

Apollo Global Management had offered to assume the debt and pay 635 million dollars to shareholders. But many felt the price per share was too low.

Dennis Speigel is president of International Theme Park Services. Speigel says the proposed deal offended big and small Cedar Fair shareholders.

Click to Listen

Other options:
Windows Media / MP3 Download (0:24)


Speigel says the amusement-park business remains a strong one, but its boom days are likely over… so it will need to look for new ways of doing business.

 

 

 

Cedar Fair owns Cedar Point in

Sandusky and Kings Island in Cincinnati and 10 other amusement and water parks in North America.

 

 

Listener Comments:

CEO Dick Kinzel stated, ” We are honored and excited by the opportunity to continue to manage and operate Cedar Fair…”

Mr. Kinzel you would be wise not to get to excited, or make any long term plans, for your future at Cedar Fair. Your tenure is up. Unitholders are simply going to have to let you go.

As to the Cedar Fair party line concerning the $6.5 million fee to Apollo–it is not, as has been characterized, a “reimbursement of expenses.” It is foolish of CF to make this payment to Apollo.

Smart money would have made Apollo bring suit in an effort to collect this excessive remuneration. This is yet another marker for managements missteps, misjudgments, and misdirection, of resources.

Unitholder defeat of the flawed merger agreement is but the beginning. Now the real Unitholder work begins: cleaning up the executive suite.

It should also be apparent management no longer has the “required level of investor support” to continue much into the future. That would account for why they paid Apollo $6.5 million to exit the deal before the scheduled Unitholder Meeting Thursday.

By canceling the vote Mr. Kinzel and management avoid facing the company owners, who, as the story points out, planned to pack the Sandusky State Theater.

No doubt they would have called for big changes in the executive suite.

This is yet another delay tactic devised by an ineffective leader.Put off facing Unitholders tomorrow.

However, lacking the support of your owners, your days are numbered.

The Unitholders have mutinied. Owners have delivered a resounding vote of “no confidence” in management.

Now is the time, in the coming critical season, to radically improve revenues. Kinzel and his management team have shown they do not have the necessary skill set to accomplish this task.

Unitholders must demand immediate changes which will deliver the talent to lead the company into the future. Not dwell in the past.

Exit gracefully Mr. Kinzel, make way for forward looking leadership, or risk being thrown overboard by your Unitholders.

Kinzel and company must know the ride is now over for them.

Time to do what should have been done following the Paramount acquisition–retire Kinzel. But for the various mistakes and myopic vision of Kinzel CF would not find itself in the precarious situation it is in.

The way to fix the problems is to fix management. Even Apollo got that right.

Out with the old, in with the new.

Unitholders your real work has just begun. Time to reform the board and management suite at CF.


Posted by: LelandWykoff (Ducktown, Tennessee) on April 7, 2010 6:23PM
Add Your Comment
Name:

Location:

E-mail: (not published, only used to contact you about your comment)


Comments:




 
Page Options

Print this page

E-Mail this page / Send mp3

Share on Facebook



Stories with Recent Comments

Crystal Ball says Ohio governor's race is done
How much is the Kasich campaign paying you to keep repeating the phrase "woman who is not his wife"? Fitzgerald was in the car with a friend who happens to be f...

Plane that crashed killing Case students is a popular training aircraft
The following is incorrect. The last few words should read "UNDER maximum gross take-off weight." “They have a normal take-off speed and all those take-off...

Exploradio: The never-ending war against superbugs
Super Federico ,we are so proud of you ,and very lucky to be among your friends . Keep it up human kind needs people like you to survive .Thanks for being so d...

Ohio's Lyme disease-carrying tick population is exploding
Interesting report. The last sentence needs some editing. It isn't a good idea to "save garments carrying ticks for analysis." The garments carrying t...

Teach for America enters third year in Ohio
For more background on TFA, check out http://reconsideringtfa.wordpress.com/

Faith leaders hold week-long prayer vigil at Ohio Statehouse
I think this is the wrong link to the audio. Its Andy Chow about cigarette taxes.

A $30 million plan to turn Cleveland's Public Square from gray to green
The current plan is for the Land Bank, RTA, and Mr. Jeremy Paris to run a bus line through the new Public Square and cutting the park in half. Save Public Squar...

Medina County residents question safety of proposed natural gas pipeline
I'm very concerned about this nexus project. I've received mail requesting my permission to allow the company to survey my property. I don't understand how thi...

A small group of tea party and Democrats protest at Kasich campaign stop
Enjoyed your excellent coverage of the statehouse for sometime now, never dreamed I'd be on. The feedback from people has been great. Thank you. Doris Adams

Top staffers are leaving the FitzGerald gubernatorial campaign
I's too bad that the dirt on Fitzgerald dug up by Kasich's operatives and publicized heavily by the Yellow Plain Dealer has caused the weak staffers of the Fitz...

Copyright © 2014 WKSU Public Radio, All Rights Reserved.

 
In Partnership With:

NPR PRI Kent State University

listen in windows media format listen in realplayer format Car Talk Hosts: Tom & Ray Magliozzi Fresh Air Host: Terry Gross A Service of Kent State University 89.7 WKSU | NPR.Classical.Other smart stuff. NPR Senior Correspondent: Noah Adams Living on Earth Host: Steve Curwood 89.7 WKSU | NPR.Classical.Other smart stuff. A Service of Kent State University