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.

Hospice of the Western Reserve

NOCHE

Lehmans


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

Summit County takes the Akron arena out of the sales tax equation
David should be commended for his efforts to "wake up" the politicians of Summit County and the City of Akron. However, I still don't trust any of them and I a...

Brunswick will turn tornado sirens back on after bad weather
Put the sirens back after the storms, in the mean time just sit and wait for another tornado . That's Brunswick for you lived here 44 years and it has always be...

Oberlin council may rescind its gun ban, but is considering alternatives to keep it in effect
Seems that the only scared, paranoid people are the anti-gun people, really.

Massive pipeline planned to pump Ohio shale products to Texas
This needs stopped. Ohioans pay the price, putting up with pollution, leaks, explosions, and the top one percent profit from exporting fracked product to China.

National Weather Service confirms three tornado touchdowns yesterday
I was driving back from a party and was caught in the middle of a large thunderstorm. The hail and lightning were a whole light closer than usual, is something ...

Another Indians season opens with Chief Wahoo under scrutiny
The picture you have for Robert rocha is not him. He has long hair. No idea who that guy is in that picture

Portman predicts McDonald's confirmation, but says it won't be easy
I sent the following note to Senator Blumenthal after reading commentary from yesterday's hearing: Senator, You certainly have the right to ask Mr. McDonald que...

Seven minutes changed everything, but what changed Ashford Thompson?
He shot the guy four times in the head. I have never been that drunk or mad, and I have been through it. Shoot a guy once is bad, maybe a mistake, shoot a guy f...

First cricket farm in the U.S. opens in Youngstown
I am interested in cricket flour to replace soy flour in a low carbohydrate diet. As soon as you have cricket flour available for the average person, please le...

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