Six Flags Noteholders Lose Bid to Reorganize Company

[rjholla2003]

The two biggest parts of this story to me are the 60 day extension of exclusivity that Six Flags has to submit a restructuring plan, and this passage here:

In the hearing last week, Six Flags Chief Financial Officer Jeff Speed testified that the company may not have enough cash to keep operating should the company remain in bankruptcy into May.

You can read the full story at the link below.
http://www.bloomberg.com/apps/news?pid=20601103&sid=apjSQLRtZvbM

[nitrorox1414]

Does that mean the park wil not open until May?

[GADVwow]

No. There should be no effect on company operations, provided the restructuring moves forward.  If it does not, it could get, shall we say, interesting.  It is more probable that reorganization will proceed, but the company must finalize its plan and get approval from the creditors and the bankruptcy judge.

[peterpjr]

Having been through two chapter 11's at my full time job, I can tell you that rhetoric like this is fairly common in any bankruptcy proceedings.

[GADVwow]

Six Flags' Proposed Plan Rejected, Among Other Things, Breakup Fees Way too High:

http://www.bloomberg.com/apps/news?pid=20601103&sid=awueMqkreYX4

Company is reworking plan.  Next hearing December 11.

[WadeJ]

I'm actually glad this happened.  The company sincerely has been making great strides to get things back on track and properly balanced.  So far everything I've seen seems to indicate that the last two years of insanely hard work to right the ship would have been a waste of time and effort.  Although I guess any plan will make it seem that way lol.

[nitrorox1414]

Will SFGA be owned by Six Flags next year?

[GADVwow]

We will know more about that Friday or thereafter than we do right now.  That is all dependent on how the company is reorganized, or even if it is.  Currently, the company has the exclusive right to propose a reorganization plan, which must be approve by the parties and the judge.