News Cedar Fair Merges with Six Flags

[MaxxForceFan]

From the earnings call on May 8th:

Richard Zimmerman
"As part of our cost reduction plan, we are engaged in a corporate restructuring process designed to flatten our organizational structure, streamline decision-making and drive cost efficiencies. As an example, earlier this month, we eliminated multiple senior executive leadership positions at the corporate level and consolidated functional ownership under a few key leads.

These changes and others we have underway will create new opportunities for the next generation of leadership within the company, support the cultivation of talent across the organization and meaningfully reduce cost. Once this initiative is completed, we will have reduced our full-time headcount by more than 10%. Our system-wide reorg effort along with additional cost saving initiatives we've identified post-merger are designed to reset the company's cost base and deliver an incremental $60 million of cost savings above and beyond our original synergy target by the end of 2026."

 

[CoasterBroCam]

From the earnings call on May 8th:

Richard Zimmerman
"As part of our cost reduction plan, we are engaged in a corporate restructuring process designed to flatten our organizational structure, streamline decision-making and drive cost efficiencies. As an example, earlier this month, we eliminated multiple senior executive leadership positions at the corporate level and consolidated functional ownership under a few key leads.

These changes and others we have underway will create new opportunities for the next generation of leadership within the company, support the cultivation of talent across the organization and meaningfully reduce cost. Once this initiative is completed, we will have reduced our full-time headcount by more than 10%. Our system-wide reorg effort along with additional cost saving initiatives we've identified post-merger are designed to reset the company's cost base and deliver an incremental $60 million of cost savings above and beyond our original synergy target by the end of 2026."

This company is completely screwed... What the actual hell is happening?!

 

[harry580]

yeah its screwed, its going to end up what happened with premier parks & paramount parks

 

[MaxxForceFan]

My understanding is that somewhere between 600 and 800 employees have been let go company wide between yesterday an today.

That tracks. The last annual report says that had about 5000 full-time employees as of Dec 31, 2024. So they cut 12-16%, which lines up with the comments on the earnings call.

 

[Zachary]

yeah its screwed, its going to end up what happened with premier parks & paramount parks

We're not looking at financial ruin, we're looking at full-speed enshittification.

 

[harry580]

We're not looking at financial ruin, we're looking at full-speed enshittification.

on what?, more ride removals?, more dc comics branding?

 

[Zachary]

Park quality.

 

[harry580]

Park quality.

if that's the case, we going back to 2007-2010 in a big way aren't we

 

[paintervision]

Park quality.

Not just that. I saw a few departures that were in resort management (Cedar Point resorts, Knotts resort, Great Escape Lodge, etc), so potentially poorer guest service on that front. I did wonder if they’d outsource or eventually move to make those resorts managed by a partnership (like Universal-Loews) one day?

 

[Great Adventurer]

The speed and quantity of these cuts (both the personnel and the rides) are out of hand. With all this company has been doing to try and please the investor base, I'd previously considered buying some shares myself to try and soften the blow of a degraded park experience - but I honestly don't think the shareholders are going to be particularly happy with how all of this goes down in the long term either. Ground level decisions are massively impactful when it comes to regional parks.

 

[harry580]

wait till Jeffrey lurie (owner of the eagles) buys six flags entertainment and ran it just like dan Snyder did (but maybe even better)

 

[CoasterAuditor]

wait till Jeffrey lurie (owner of the eagles) buys six flags entertainment and ran it just like dan Snyder did (but maybe even better)

Are you suggesting that Daniel Snyder ran Six Flags well?

 

[harry580]

Are you suggesting that Daniel Snyder ran Six Flags well?

no?, because dan snyder screwed six flags, Jeffrey lurie would run six flags better

 

[CoasterAuditor]

Good I will not tolerate any suggestion that Daniel Snyder has done anything well ever. Except being a POS.

 

[Tacky3663]

Yikes.

View attachment 37914

Oh dear……..

 

[Tacky3663]

Park quality.

Define what you mean by park quality?

 

[SweetBabyJames]

I went off the forum for 1 day and I come back to this!! What the actual F' is happening at the new Six Flags?!

I truly, truly hope we do not see a decline in quality at the parks, but I would have to agree with many of these posts. A top down, cost cutting strategy does not normally beget a "people first" approach to business. This is truly a shame. It is especially sad to see such great full time talent from the parks let go. To be honest, it's a slap in the face. I also unfortunately can see how the great "individual identities" that have formed in the legacy Cedar Fair parks and have the potential to be grown in the legacy Six Flags parks could be affected in a negative way. I hope the corporate copy and pastes style of old Six Flags will not become the new normal, but time will tell.

For the things we cannot control, I like to take heart in the words of St. Padre Pio "Pray, hope and don't worry".

 

[horsesboy]

Define what you mean by park quality?

Without getting to specific as I don't want to share personal information about jobs an people that I know were let go but are so far not publicly known.

I expect to see a vast down grade in food quality with a new push to cheap pre-made an bulk produced foods. I expect to see significantly less theming and the quality of what theming we get to be generic and low. I personally would be shocked to see any new Haunt houses at this point for example. I expect to see less clean parks. I also am anticipating longer an more frequent down time on rides. I guess in short I expect a more Six Flags experience.

 

[SweetBabyJames]

The one small, and I mean small, positive in all this is that the new SFEC is at least trying to be fiscally responsible. OG Six Flags was never fiscally responsible. They pretty much always overspent and did so in the wrong places. They dug themselves into deep graves of debt.

The only exception to the overspending of OG Six Flags is the money they put into buying El Toro. Overspend and get into debt all you want for that remarkable wooden beast of beauty! Worth it!

 

[Tacky3663]

Park quality.

Without getting to specific as I don't want to share personal information about jobs an people that I know were let go but are so far not publicly known.

I expect to see a vast down grade in food quality with a new push to cheap pre-made a bulk produced foods. I expect to see significantly less theming and the quality of what theming we get to be generic and low. I personally would be shocked to see any new Haunt houses at this point for example. I expect to see less clean parks. I also am anticipating longer a more frequent down time on rides. I guess in short I expect a more Six Flags experience.

See the thing about this, is that this contradicts what I’ve been seeing recently at some of the bigger parks. For example, Six Flags Over Georgia, Over Texas & New England saw a very big upgrade in food options and even the hiring of executive chefs for Over a Georgia & New England. The new rides for this year have some pretty divisive theming (WoR, Sirens Curse, Quantum Accelerator etc.) I can’t speak about cleanliness or maintenance at the moment as we haven’t been in swing long enough to see the full affects.