Cedar Fair posts loss of $4.2M in quarter
8/3/2010SANDUSKY - Cedar Fair LP said Tuesday that revenues increased but it lost $4.2 million in the second quarter after it took a one-time $9 million charge related to a terminated merger and refinancing of debt.
The parent of Cedar Point amusement park in Sandusky and more than a dozen amusement and water parks nationwide said it has had 13.4 million admissions to its parks through July, up from 12.6 million at the same time a year ago.
Although average park spending per customer through July is down 2 percent, or $39.02, from a year ago, hotel and other out-of-of park revenues are up 5 percent to about $64 million, Cedar Fair said.
The company's revenues for the quarter were $276 million, up from $264 million a year ago. Its second-quarter loss of $4.2 million, or 8 cents a share, compares with a profit of $7.4 million, or 13 cents a share, for the same period a year ago.
This spring, Cedar Fair called off an acquisition by Apollo Global Management, and it incurred $10.3 million in costs connected to the aborted deal. It also had $2.5 million in costs for efforts to refinance debt, which resulted in selling $405 million in senior eight-year notes and seeking new financing.
Investors were not thrilled with the earnings report, released in the morning. Cedar Fair stock closed 12 cents a share lower yesterday at $13.61 on the New York Stock Exchange.