John Reilly was appointed president and CEO of Six Flags Entertainment on December 8. The appointment represents the most recent development in the company’s turbulent journey since the completion of its merger with competitor Cedar Fair last summer. After a difficult season in which new attractions malfunctioned and inclement weather reduced attendance and season-pass sales, Six Flags is now trying to bounce back. On Monday, investors reacted favorably, as shares ended the day 7% higher. Nevertheless, so far this year, the stock has dropped by 70%.
Six flags names new president CEO
Six Flags announced in August that Richard Zimmerman would leave his position as CEO and president by year’s end, but he would stay on until the company found a replacement Zimmerman, who had been Cedar Fair’s CEO since January 2018, took on his current position following the merger.
Reilly has a wealth of amusement park experience. His most recent positions were CEO of Palace Entertainment, the Spanish theme park company’s U.S. subsidiary, and group chief operating officer at Parques Reunidos. That division owned regional theme parks like Kennywood in Pennsylvania, Adventureland in Iowa, and Story Land in New Hampshire. Additionally, Reilly worked for SeaWorld Parks and Entertainment for 20 years, serving as interim CEO in 2018.
Hersched bought Palace during Rielly’s tenure. Herschend is the operator of properties such as Silver Dollar City in Missouri and Dollywood in Tennessee. Reilly’s experience may be helpful as Six Flags is under pressure from a number of activist investors, including hedge fund Jana Partners and a group headed by Super Bowl champion Travis Kelce. Six Flags said earlier this month that it was looking into ways to raise money by selling underperforming parks.
During an earnings call, Six Flags Chief Financial Officer Brian Witherow directly addressed the strategy, stating, “We’re going to look at the parks where our returns are the greatest, and where the opportunities for growth are the highest. The other parks we will look to monetize and use those proceeds to reduce debt.”
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