SIX FLAGS Up For Sale In Hopes Of Preventing SYNDER Takeover

(From Sports Business Daily)

THE SIX FLAGS BOARD OF DIRECTORS will put the company UP FOR SALE, "raising the stakes in its ongoing battle" with REDSKINS Owner DANIEL SNYDER for CONTROL OF THE COMPANY, according to SHIN AND HEATH of THE WASHINGTON POST.

Snyder "would be invited to PARTICIPATE IN THE AUCTION."

SIX FLAGS CEO KIERAN BURKE "urged shareholders to REJECT SNYDER's RECENT REQUEST TO OUST MANAGEMENT AND REPLACE IT WITH HIS OWN SLATE OF EXECUTIVES," including himself, outgoing ESPN Executive Vice President/Programming and Production MARK SHAPIRO and NVR Inc. Chairman DWIGHT SCHAR.

Sources said that Snyder "plans to continue his bid to UNSEAT MANAGEMENT."

THE BOARD OF DIRECTORS said Shapiro would have "DIVIDED LOYALTIES," because as CEO of Snyder's RED ZONE LLC, he will have "FINANCIAL INCENTIVES to act to benefit RED ZONE and Mr. Snyder, regardless of whether his actions also benefit the company and its stockholders."

PRUDENTIAL EQUITY GROUP analyst KATHERINE STYPONIAS wrote of Thursday's move, "We view this as an attempt by SIX FLAGS to force Mr. Snyder to ENTER THE AUCTION PROCESS and buy the full company."

INTERNATIONAL THEME PARK SERVICES President DENNIS SPEIGEL said, "They realize they are at A POINT OF NO RETURN, and they want to get THE BIGGEST PAY DAY THEY CAN GET."

But SIX FLAGS Spokesperson DAN KATCHER said that the sale of the company "is designed not to BLOCK SNYDER, but to 'DELIVER MAXIMUM VALUE TO ALL STOCKHOLDERS.'"

In LOS ANGELES, COLKER AND HIRSCH report "at least TWO POTENTIAL BIDDERS emerged" for SIX FLAGS -- CALIFORNIA-BASED VISION MAKER and LOS ANGELES-BASED investor RON BENSION.

Also, a source said that SIX FLAGS "COULD BE ATTRACTIVE" to THE OHIO-BASED amusement park company CEDAR FAIR. But analysts "were hard-pressed to name other possible buyers, ruling out" DISNEY and GENERAL ELECTRIC (GE).

Styponias -- "THE LARGER MEDIA CONGLOMERATES are looking to get into GROWTHIER BUSINESSES such as THE INTERNET and CABLE. At this time, we don't see any other likely bidders in the market."