- November 25th, 2006, 8:36 am
#19304
Anyone read todays business section in the Observer?
BETTER LANDSCAPING, SCARIER SCAROWINDS PLANNED
What's next for Carowinds?
New manager expects no huge changes by Cedar Fair, but hopes for another roller coaster down the road
TONY MECIA
tmecia@charlotteobserver.com
On John Shanrock's first day on the job as new general manager of Paramount's Carowinds, he was walking through the park when a woman asked him where the bathroom was.
He had no idea, he recalls. He pulled out a park map and helped her find it.
Now, five months later, Shanrock and the park's new owners say they've become much more familiar with Carowinds. And they're drawing up plans for it to grow and improve -- plans that start modestly but could eventually include new roller coasters and other rides.
"We spent a lot of money to acquire these parks, and we want to make the best of the situation," Shanrock said. "We don't buy properties to take them out. We buy properties to build on them."
In June, Ohio-based park operator Cedar Fair bought Carowinds and four other parks from Paramount, a division of CBS Corp. CBS sold the parks to focus on other businesses.
Locally, some welcomed the deal, especially those familiar with the Cedar Fair's flagship Cedar Point park in Ohio, known for its top-rate roller coasters. They hoped the company would quickly add major rides.
Others, though, worried that the new owner might sell the park again, or close it and convert it into something else.
But neither extreme seems to be the case. In an interview in his office, which is adorned with a half-dozen miniature carrousel horses, Shanrock ticks off several changes he plans to make: more cotton-candy booths, better landscaping and a scarier Scarowinds, the Halloween-themed identity the park takes on weekend nights in October.
In the next few weeks, Carowinds plans to announce a new attraction for next summer, but it's not likely to be a major addition. Theme parks usually try to offer something new each year and often accomplish that by revamping existing rides or shows.
Shanrock expects park visitors to notice improvements at Carowinds, but no huge changes.
When the next park guests come in March, "what I would really like to see is people say, `Wow, look how bright it is, how clean it is, how well-maintained it is,' " Shanrock said.
When Cedar Fair bought Carowinds and the other Paramount parks this summer, paying $1.24 billion in cash, analysts applauded the deal. It represents an opportunity for the company to grow in what is usually a slow-growth industry.
Tim Conder, leisure analyst with A.G. Edwards & Sons in St. Louis, says the obvious way for Cedar Fair to capitalize on its purchase is to try to increase the amount guests spend at the parks.
As at other theme parks, attendance at Carowinds, which regularly draws more than 20,000 visitors a day, has stayed mostly flat. That means that revenue growth must come from increased guest spending.
In 2005, before the acquisition, the average guest at a Paramount park spent $34.23 -- roughly $3 less than at parks run by Cedar Fair, according to securities documents.
To bridge that gap, Conder predicts that changes to concession stands will play a big role. Food and other merchandise typically makes up about one-third of a park's revenue.
In 2005, Carowinds took in $60 million in revenue -- the smallest of the five Paramount parks, according to securities filings.
Shanrock, who came to Carowinds after an 18-year stint as head of food operations at Cedar Fair's Valleyfair park in Minnesota, says he plans changes, such as having restaurants specialize in their offerings instead of offering too many items.
For instance, he plans to remove the panini from the CBS Cafe, which would still offer pizza, salads and dessert. That tactic would help speed service, cutting down on lines and encouraging more people to eat there. The panini would be served elsewhere.
In another move to boost revenue, Carowinds increased the price of its season pass for 2007, which is now selling for $64.95. In a switch from prior years, passes bought after October no longer include parking, which costs $10 per visit. Shanrock says the park remains a good value.
Another big change could be Carowinds' licensing deals.
Cedar Fair officials have said they believe the Nickelodeon brand, which includes Dora the Explorer and other cartoon characters who roam Carowinds, helps draw families. But they're less sure of the value of the Paramount name and its accompanying television and movie themes. That could mean the Top Gun roller coaster would get a new name and that movie scores would no longer be pumped though the park's sound system.
Cedar Fair is reviewing both licensing deals.
Regarding new roller coasters, Shanrock says those decisions will be made by Cedar Fair, which in the coming weeks plans to announce its capital expenditures for the parks. He says he's as hopeful as anybody that Carowinds will get a new coaster.
In previous acquisitions -- of California's Knott's Berry Farm in 1997 and Pennsylvania's Dorney Park in 1992 -- Cedar Fair added thrill rides after buying, and the parks became more profitable, according to securities filings.
Shanrock says the best way to increase revenue is to make the park a better place to visit, which will keep guests in the park longer and get them to spend more.
Nelson Schwab, co-founder of Carousel Capital in Charlotte and former chairman of Paramount Parks, said Carowinds has a bright future because it's in a growing area of the country.
In addition, there's no other major theme park in the area, limiting competition.
"The competition in this business is more for time than direct competition from different roller coasters -- it's for entertainment time and leisure time," Schwab said. "There are a lot of demands on that."
So many, in fact, that Shanrock, the park's general manager, hasn't even ridden many Carowinds rides.
"I didn't get to play as much as I needed to play," he said.
At the top of his list, he says, is riding the Borg Assimilator with his kids.
Very Positive article for the outlook of Carowinds.
BETTER LANDSCAPING, SCARIER SCAROWINDS PLANNED
What's next for Carowinds?
New manager expects no huge changes by Cedar Fair, but hopes for another roller coaster down the road
TONY MECIA
tmecia@charlotteobserver.com
On John Shanrock's first day on the job as new general manager of Paramount's Carowinds, he was walking through the park when a woman asked him where the bathroom was.
He had no idea, he recalls. He pulled out a park map and helped her find it.
Now, five months later, Shanrock and the park's new owners say they've become much more familiar with Carowinds. And they're drawing up plans for it to grow and improve -- plans that start modestly but could eventually include new roller coasters and other rides.
"We spent a lot of money to acquire these parks, and we want to make the best of the situation," Shanrock said. "We don't buy properties to take them out. We buy properties to build on them."
In June, Ohio-based park operator Cedar Fair bought Carowinds and four other parks from Paramount, a division of CBS Corp. CBS sold the parks to focus on other businesses.
Locally, some welcomed the deal, especially those familiar with the Cedar Fair's flagship Cedar Point park in Ohio, known for its top-rate roller coasters. They hoped the company would quickly add major rides.
Others, though, worried that the new owner might sell the park again, or close it and convert it into something else.
But neither extreme seems to be the case. In an interview in his office, which is adorned with a half-dozen miniature carrousel horses, Shanrock ticks off several changes he plans to make: more cotton-candy booths, better landscaping and a scarier Scarowinds, the Halloween-themed identity the park takes on weekend nights in October.
In the next few weeks, Carowinds plans to announce a new attraction for next summer, but it's not likely to be a major addition. Theme parks usually try to offer something new each year and often accomplish that by revamping existing rides or shows.
Shanrock expects park visitors to notice improvements at Carowinds, but no huge changes.
When the next park guests come in March, "what I would really like to see is people say, `Wow, look how bright it is, how clean it is, how well-maintained it is,' " Shanrock said.
When Cedar Fair bought Carowinds and the other Paramount parks this summer, paying $1.24 billion in cash, analysts applauded the deal. It represents an opportunity for the company to grow in what is usually a slow-growth industry.
Tim Conder, leisure analyst with A.G. Edwards & Sons in St. Louis, says the obvious way for Cedar Fair to capitalize on its purchase is to try to increase the amount guests spend at the parks.
As at other theme parks, attendance at Carowinds, which regularly draws more than 20,000 visitors a day, has stayed mostly flat. That means that revenue growth must come from increased guest spending.
In 2005, before the acquisition, the average guest at a Paramount park spent $34.23 -- roughly $3 less than at parks run by Cedar Fair, according to securities documents.
To bridge that gap, Conder predicts that changes to concession stands will play a big role. Food and other merchandise typically makes up about one-third of a park's revenue.
In 2005, Carowinds took in $60 million in revenue -- the smallest of the five Paramount parks, according to securities filings.
Shanrock, who came to Carowinds after an 18-year stint as head of food operations at Cedar Fair's Valleyfair park in Minnesota, says he plans changes, such as having restaurants specialize in their offerings instead of offering too many items.
For instance, he plans to remove the panini from the CBS Cafe, which would still offer pizza, salads and dessert. That tactic would help speed service, cutting down on lines and encouraging more people to eat there. The panini would be served elsewhere.
In another move to boost revenue, Carowinds increased the price of its season pass for 2007, which is now selling for $64.95. In a switch from prior years, passes bought after October no longer include parking, which costs $10 per visit. Shanrock says the park remains a good value.
Another big change could be Carowinds' licensing deals.
Cedar Fair officials have said they believe the Nickelodeon brand, which includes Dora the Explorer and other cartoon characters who roam Carowinds, helps draw families. But they're less sure of the value of the Paramount name and its accompanying television and movie themes. That could mean the Top Gun roller coaster would get a new name and that movie scores would no longer be pumped though the park's sound system.
Cedar Fair is reviewing both licensing deals.
Regarding new roller coasters, Shanrock says those decisions will be made by Cedar Fair, which in the coming weeks plans to announce its capital expenditures for the parks. He says he's as hopeful as anybody that Carowinds will get a new coaster.
In previous acquisitions -- of California's Knott's Berry Farm in 1997 and Pennsylvania's Dorney Park in 1992 -- Cedar Fair added thrill rides after buying, and the parks became more profitable, according to securities filings.
Shanrock says the best way to increase revenue is to make the park a better place to visit, which will keep guests in the park longer and get them to spend more.
Nelson Schwab, co-founder of Carousel Capital in Charlotte and former chairman of Paramount Parks, said Carowinds has a bright future because it's in a growing area of the country.
In addition, there's no other major theme park in the area, limiting competition.
"The competition in this business is more for time than direct competition from different roller coasters -- it's for entertainment time and leisure time," Schwab said. "There are a lot of demands on that."
So many, in fact, that Shanrock, the park's general manager, hasn't even ridden many Carowinds rides.
"I didn't get to play as much as I needed to play," he said.
At the top of his list, he says, is riding the Borg Assimilator with his kids.
Very Positive article for the outlook of Carowinds.
But other than that a great article, Thanks for the post LocoDriver!
:rolleyes: 
