Six Flags No Longer a Great American Scream Machine as Shapiro Leads Turnaround
Following a free fall last year, Six Flags (SIX) stock has made a turn worthy of any rollercoaster ride - it’s up more than 20% so far in 2007. New CEO Mark Shapiro, a Disney alum, is re-branding Six Flags from a thrill park to a family destination, all while trying to get its financial funhouse in order. With the crucial summer season approaching and increased competition from the Mouse & Co, is Six Flags still a stock you want to ride?
Our special guest today is the man himself, Mark Shapiro, Six Flags CEO.
Shaprio told the guys this year families are coming back to Six Flags, the marketing plans are hot and the new rides open this weekend. It’s all about friendliness, cleanliness, quality and characters.
Dylan asks if Disney makes him nervous and Shapiro says no. Disney is in Orlando and Anaheim while Six Flags has 23 parks reaching 30 million people.
Tim Strazzini adds that the Six Flags downturn was about controlling costs and getting a better marketing message. They built it – now let’s see if they come.
Jeff Macke says the company spent $57 million more on salaries and wants to know when there will be a return on that money?
Shaprio says it's coming this year. He anticipates a real difference in the quality of service.
Guy Adami says Shapiro is running a great show and he likes the trends.
Eric Bolling loves that Six Flags has Nintendo stations scattered around the parks.
Shaprio says his parks are cleaner and safer as well, and he’s creating a clean team on top of regular janitorial staff to keep the parks sparkling all year.
Tim wants to know how Six Flags will deal with a slowdown in the economy.
Shaprio answers that Mom and Dad are always looking for something to do with the kids. And when money is tight more people might want to take what Shapiro calls a “day-cation.”
If I knew this was going to be a love-in, I would have brought some incense says Dylan.
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