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Could Busch Parks Be in Play?


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I been posting for years that they was going to sell. They haven't been happy with the performance of any of their parks except Seaworld Orlando.

Like I was saying when everyone was posting they thought it would be nice if Anheuser-Busch bought Paramount Parks. I couldn't see why they would when they didn't want the ones they have.

They are going to sell the company all together or they will split it up and who knows what will come of the parks. There are no park chains in the USA that is in any shape to buy them.

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And I've been thinking a sale of the parks separate from the beer company has been coming since the former parks CEO went with the parent company, and the parks operation moved from the parent company's St Louis headquarters to Orlando...it is as if they are making it easier for the parks to operate totally separately from the beer concern.

I fear that most buyers would not maintain the high standards that AB has at its parks...

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Can't see that this will ever go through.

I can't see that they would go through with a hostile take over of the brewery unless they intentionally wanted to shut Budweiser brews down.

Of all the brands that exist, I don't think they realize the importance of having these brands as American owned.

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They don't care about that. As is the case with most corporate consolidations, it's all about the money. Don't think the Busch family can stop this either. First, they own very little of the company now. Second, they had a poison pill defense, which was recently greatly watered down. Third, the family is divided, with some of them now speaking of "maximizing shareholder value"--read...follow the money.

And just because the breweries would be foreign owned does not mean they would shut down. Look at the auto industry. Most investment in US plants lately has been by the Japanese, Koreans and Germans. Meanwhile, Ford is investing $3 billion to build subcompacts, and bringing with it thousands and thousands of jobs. In North America. Mexico, to be exact.

GE's Appliance Park over in Louisville is also in play...and LG of Korea and several Chinese manufacturers are looking. Ask the people in Newton, Iowa what happened when a US company, Whirlpool, bought Maytag. They closed down the Newton plant. Long time employees, many with high school educations and decades of service, tearfully left...

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They don't care about that. As is the case with most corporate consolidations, it's all about the money. Don't think the Busch family can stop this either. First, they own very little of the company now. Second, they had a poison pill defense, which was recently greatly watered down. Third, the family is divided, with some of them now speaking of "maximizing shareholder value"--read...follow the money.

And just because the breweries would be foreign owned does not mean they would shut down. Look at the auto industry. Most investment in US plants lately has been by the Japanese, Koreans and Germans. Meanwhile, Ford is investing $3 billion to build subcompacts, and bringing with it thousands and thousands of jobs. In North America. Mexico, to be exact.

GE's Appliance Park over in Louisville is also in play...and LG of Korea and several Chinese manufacturers are looking. Ask the people in Newton, Iowa what happened when a US company, Whirlpool, bought Maytag. They closed down the Newton plant. Long time employees, many with high school educations and decades of service, tearfully left...

Uhhh, I would say probably 100% that the Budweiser, Bud Light and Bush brands would die.

Their target market is very US oriented and I do not think that they would take kindly to being foreign owned.

Now granted, there are many other products that Anheuser-Bush owns that would survive. (ie - Bacardi, Grolsch, Bass, Beck, Michelob, Lowenbrau, Rolling Rock) But the Goose That Lays the Golden Egg, remains the core brand. That Golden Egg is laid in the US.

I would predict that it would be a disastrous move.

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Uhhh, I would say probably 100% that the Budweiser, Bud Light and Bush brands would die.

Their target market is very US oriented and I do not think that they would take kindly to being foreign owned.

Now granted, there are many other products that Anheuser-Bush owns that would survive. (ie - Bacardi, Grolsch, Bass, Beck, Michelob, Lowenbrau, Rolling Rock) But the Goose That Lays the Golden Egg, remains the core brand. That Golden Egg is laid in the US.

I would predict that it would be a disastrous move.

Many experts agree with you:

http://www.stockhouse.com/News/FinancialNe...aspx?n=10879506

Still doesn't mean it won't happen....

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If there is a sale of the beer business....do not fool yourself...the new buyer will almost certainly quickly sell off what they call non-core assets, and the parks will be among the first things to go...

Yep...in fact most of the articles point to the fact that that's how the new owner would subsidize the acquisition--by divesting the parks.

If that were to happen, I'd doubt if they'd be sold as a portfolio...mostly because the buyer pool for that kind of thing is so limited now. Even the big equity firms like Blackstone are feeling the credit crunch at this point, and would have a hard time swinging the financing.

I could potentially see Disney acquiring the Sea World parks (according to several of the Disney books I've read, they looked at them very seriously back when Harcourt was selling them...prior to the BEC buying them). They have a good geographic distribution and are known as a quality brand...it could be a good opportunity for Disney to expand the footprint and offer other Disney-related entertainment venues (particularly in San Antonio and San Diego) at those parks. Sesame Place could be another opportunity for Disney...expand to include the other Muppet characters, and maybe some other Disney early-child brands (i.e., Baby Einstein...)

As far as the Busch Gardens parks go, that's a little tougher... Maybe some private equity could buy them (or a foreign buyer), but I can't see SF or CF being able to swing that deal financially right now. (Nor, as a park enthusiast, would I want to see what SF or CF would do to them!!)

Too bad the old KECO isn't around anymore...KI in its prime and BGT/BGW would have made quite a trio! :D

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As far as the Busch Gardens parks go, that's a little tougher... Maybe some private equity could buy them (or a foreign buyer), but I can't see SF or CF being able to swing that deal financially right now. (Nor, as a park enthusiast, would I want to see what SF or CF would do to them!!)

Too bad the old KECO isn't around anymore...KI in its prime and BGT/BGW would have made quite a trio! :D

Oh man. You know I'm gonna have nightmares about CF and/or Six Flags taking over BGT/BGA.

And I have to agree with that Trio. That would be sweet.

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^ didn't think of this before, but in today's environment, Herschend would be the ideal buyer (from an enthusiast's standpoint, anyway) for the Busch Garden parks. They're probably the only US park operator today that could/would maintain the quality...

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^ didn't think of this before, but in today's environment, Herschend would be the ideal buyer (from an enthusiast's standpoint, anyway) for the Busch Garden parks. They're probably the only US park operator today that could/would maintain the quality...

I think that you're dead on there.

I'd really hate to see any of the Busch parks lose their theming to the likes of CF or Six Flags.

And it would be a concern to see Disney take over Sea World Parks. I just can't fathom an audio animatronic Shamu.

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^ I don't know...I'll give them credit for what they've done with the live animals at DAK. They actually made a pretty good break from the robots to the real thing there.

My concern about a Disney-owned Sea World? "All 'Nemo" all the time!!" :lol: )

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^ I don't know...I'll give them credit for what they've done with the live animals at DAK. They actually made a pretty good break from the robots to the real thing there.

My concern about a Disney-owned Sea World? "All 'Nemo" all the time!!" :lol: )

It just makes me shudder.

My theory about DAK is that over time the animals will be replaced with robots.

They have to keep up with the big fake tree in the center of the park.

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Can't see that this will ever go through.

I can't see that they would go through with a hostile take over of the brewery unless they intentionally wanted to shut Budweiser brews down.

Of all the brands that exist, I don't think they realize the importance of having these brands as American owned.

One theory about how it may:

http://www.myfoxstl.com/myfox/pages/News/D...mp;pageId=3.2.1

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This article speculates that even if AB is not acquired, it may restructure itself, including shedding the theme parks:

http://www.moneyweb.co.za/mw/view/mw/en/pa...7&sn=Detail

...Anheuser is expected to explore alternatives to a tie-up with InBev, including talks with Grupo Modelo SA, the Mexican beer giant in which it owns a 50% non-controlling stake, people familiar with the company say. The company may also argue to shareholders that it can restructure itself to boost its share price through steps such as slashing costs and shedding assets, possibly including its theme parks, these people said....
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Not a shock that the Governor of Missouri is against a foreign acquisition of Anheuser-Busch ;)

I think I recall reading that the Busch family actually only controls 4% of the total stock...not enough to block a sale, but enough to definitely make some noise. I think the fact that InBev is making overtures of keeping the AB name (in some aspect or another) and putting the combined company's HQ in St. Louis, may make things a little easier to swallow.

Regardless of how this plays out, it's going to get expensive, and get expensive fast. InBev has already stated that they would plan on liquidating the parks to help finance the acquisition. By the same token, if AB buys the remaining 50% of Modelo to make themselves too big for InBev to digest, they're going to have to fund that acquisition somewhere... Hmmmm--I wonder what "non-core" assets AB could shed to help facilitate that... ;)

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