Exhibit 99.1
FOR IMMEDIATE RELEASE
SIX FLAGS TO PURSUE POSSIBLE SALE OF THE COMPANY
NEW YORK, August 25, 2005 - Six Flags, Inc. (NYSE: PKS) today announced
that the company's Board of Directors has unanimously determined to seek
proposals from third parties regarding a possible sale of the company. The
process initiated by the Board is designed to result in the receipt of full and
fair value by all Six Flags stockholders for all of their shares.
Six Flags intends to pursue a prompt and orderly auction process, and
will invite Red Zone LLC, the investment vehicle managed and controlled by Mr.
Daniel Snyder, to participate in the process, should Mr. Snyder have a serious
interest in pursuing an acquisition of the entire company.
The Board of Directors has also unanimously determined to oppose Red
Zone's attempt to gain effective control of the company through its previously
announced intention to initiate a consent solicitation and partial tender offer
for Six Flags stock, if and when that consent solicitation and offer are
commenced. If Red Zone commences a consent solicitation, the Board urges Six
Flags stockholders not to sign any consent form they may receive from Red Zone
and will request that stockholders revoke any consent they may give.
Michael Gellert, presiding independent director of Six Flags' Board of
Directors, stated, "The Board believes that initiating a sale process at this
time is the best way to deliver full and fair value to all Six Flags
stockholders, particularly in light of the recent strong, broad-based
performance of Six Flags' parks and the proposed actions by Red Zone, which is
seeking to acquire effective control of the Company without providing value to
all stockholders. Whether or not Red Zone participates in our auction process,
we certainly hope it will not take any action which would impede our ability to
maximize value for all stockholders."
Kieran Burke, chairman and CEO of Six Flags, said, "Our management team
continues to implement a comprehensive strategy for improving performance based
on investment in new attractions, enhanced guest services, and a well-received
marketing campaign. We have seen strong evidence of the soundness of this
strategy with sharply improved performance this year, evidenced by our improved
revenues and attendance during the second quarter, and year to date park
revenues pacing ahead of prior year at virtually all of our parks. We will
remain focused on continuing this momentum as we conduct the sale process and
head into the last part of our peak summer season."
The Company noted that there can be no assurance that any sale or other
transaction will result from this effort or as to the terms thereof.
Lehman Brothers and Allen & Company LLC are serving as financial
advisors to Six Flags, Weil, Gotshal & Manges LLP is serving as legal advisor to
Six Flags and Skadden, Arps, Slate, Meagher & Flom LLP is serving as legal
advisor to Six Flags' independent directors.
Six Flags, Inc. is the world's largest regional theme park company.
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Additional Information:
Six Flags, Inc. and its directors may be deemed to be participants in the
solicitation of consent revocations from stockholders of Six Flags. Information
regarding the names of Six Flags' directors and their respective interests in
Six Flags by security holdings or otherwise is set forth in Six Flags' proxy
statement relating to the 2005 annual meeting of stockholders, which may be
obtained free of charge at the SEC's website at www.sec.gov and Six Flags'
website at www.sixflags.com.
Six Flags, Inc. intends to file a Consent Revocation Statement on Schedule 14A
with the SEC. Investors and security holders are advised to read Six Flags'
Consent Revocation Statement, when it becomes available, because it will contain
important information. Investors and security holders may obtain a free copy of
the Consent Revocation Statement on Schedule 14A (when filed) free of charge at
the SEC's website at www.sec.gov. Six Flags, Inc. also will provide a copy of
these materials without charge on its website at www.sixflags.com.
In response to any tender offer that may be commenced by Red Zone or any
affiliate thereof, Six Flags will file with the SEC its recommendation to
stockholders on Schedule 14D-9 regarding the tender offer and any amendments
thereto. Investors and security holders are advised to read Six Flags'
Solicitation/Recommendation Statement on Schedule 14D-9, if and when it is filed
and becomes available, because it will contain important information. Investors
and security holders may obtain a free copy of the Solicitation/Recommendation
Statement on Schedule 14D-9 (if and when it is filed and becomes available) free
of charge at the SEC's website at www.sec.gov. Six Flags, Inc. also will provide
a copy of these materials without charge on its website at www.sixflags.com.
Forward Looking Statements
The information contained in this news release, other than historical
information, consists of forward-looking statements within the meaning of
Section 27A of the Securities Act and Section 21E of the Securities Exchange
Act. These statements may involve risks and uncertainties that could cause
actual results to differ materially from those described in such statements.
These risks and uncertainties include, among others, the costs of reviewing and
responding to the unsolicited offer and consent solicitation, and other impacts
of the proposed offer on Six Flags' operations. Although Six Flags believes that
the expectations reflected in such forward-looking statements are reasonable, it
can give no assurance that such expectations will prove to have been correct.
Important factors, including factors impacting attendance, such as local
conditions, events, disturbances and terrorist activities, risks of accidents
occurring at Six Flags' parks, adverse weather conditions, general economic
conditions (including consumer spending patterns), competition, pending,
threatened or future legal proceedings and other factors could cause actual
results to differ materially from Six Flags' expectations. Reference is made to
a more complete discussion of forward-looking statements and applicable risks
contained under the captions "Cautionary Note Regarding Forward-Looking
Statements" and "Business - Risk Factors" in Six Flags' Annual Report on Form
10-K for the year ended December 31, 2004, which is available free of charge on
Six Flags' website at www.sixflags.com
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CONTACTS:
James F. Dannhauser, Chief Financial Officer
Six Flags, Inc.
(212) 599-4693
Dan Katcher / Jeremy Jacobs
Joele Frank, Wilkinson Brimmer Katcher
(212) 355-4449
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