|Topic Review (Newest First)|
|09-13-2014 01:16 AM|
|09-13-2014 12:19 AM|
|LA Forever||So glad I have an Epic Local pass...|
|09-11-2014 11:53 AM|
|Big Foot||Vail should change their name to Goliath International Ski Resort. Eventually they're just going to own every resort in the world.|
|09-11-2014 11:42 AM|
|killclimbz||Not surprised by this turn at all. Powder Corp was going to lose in the end. Vail resorts taking over the snow sports industry one resort at a time.|
|09-11-2014 10:56 AM|
|09-11-2014 10:44 AM|
|jtg||Looks like Big Sky is going to have to re-print a lot of marketing material.|
|09-11-2014 10:36 AM|
Vail Resorts Acquires Park City Mountain Resort in Park City, Utah
2014-09-11 15:26:36.680 GMT
Vail Resorts Acquires Park City Mountain Resort in Park City, Utah
-- Acquisition settles all litigation and ensures no disruption to future
-- Park City Mountain Resort will be added to the Epic Pass for the 2014-2015
-- Company intends to connect PCMR and Canyons for the 2015-2016 ski season to
create the largest single ski resort in the United States with 7,000 skiable
acres, subject to regulatory approvals
BROOMFIELD, Colo., Sept. 11, 2014
BROOMFIELD, Colo., Sept. 11, 2014 /PRNewswire/ -- Vail Resorts, Inc. (NYSE:
MTN) today announced that the Company has acquired Park City Mountain Resort
(PCMR) from Powdr Corp. for $182.5 million in cash, subject to certain
post-closing adjustments. The acquisition includes all of the assets of
Greater Park City Company (GPCC), the land used for ski terrain at the resort
held by Ian Cumming, and certain base parking lands owned by Powdr Development
Corp., which have approved zoning for approximately 687,000 square feet of
residential and commercial development. The acquisition does not include the
Gorgoza tubing operation, located approximately 10 miles from the resort,
which will be retained by Powdr Corp.
With the acquisition, all aspects of the previously disclosed litigation with
respect to PCMR have been settled and this dispute will no longer pose any
future threat to disrupt the operation of the resort.
"First and foremost, we are very pleased to bring a permanent end to this
dispute and provide assurance to the guests and employees of PCMR, and to
everyone in the Park City community, that they no longer have to worry about
any disruption to the operation of the Resort. This has been a difficult
period for everyone involved and I commend John Cumming and Powdr Corp. for
helping to find a solution to this situation," said Rob Katz, chairman and
chief executive officer of Vail Resorts.
"Park City Mountain Resort is one of the most spectacular mountain resorts and
iconic brands in the ski industry and I am proud to have the resort become a
part of Vail Resorts. The acquisition will allow us to immediately bring Park
City Mountain Resort onto the Epic Pass, which will now offer skiers from
across the country and around the world access to 22 resorts, including
Canyons in Park City, Utah; Vail, Beaver Creek, Breckenridge and Keystone in
Colorado; and Heavenly, Northstar and Kirkwood in Tahoe. We look forward to
working collaboratively with the entire Park City community, as well as city
and county officials, as we chart the future for the resort, including how we
can best bring the Canyons and Park City ski experiences together to create
the largest mountain resort in the United States," he added.
Blaise Carrig, president of Vail Resorts, will act as interim chief operating
officer for the resort.
"We understand that this acquisition represents a change for all of the
employees of PCMR and I look forward to working with everyone on the PCMR team
as we develop a vision for the future of the resort," said Carrig.
Mountain operations of PCMR and Canyons will remain separate for the 2014-2015
ski season. However, the Epic Pass and Epic Local Pass will be valid at PCMR.
All PCMR passes for the 2014-2015 ski season will continue to be honored and
can be exchanged or upgraded for a season pass that will also be valid at
Canyons. The majority of all lift tickets sold at either resort will be valid
at both PCMR and Canyons.
The Company also announced that due to the acquisition of PCMR, it expects $35
million in incremental EBITDA in Fiscal Year 2015, excluding any transaction
and transition costs. The Company anticipates additional contributions from
the acquisition in future years, particularly after it can connect the
experience of the two resorts together. The Company expects the acquisition to
provide significant tax benefits over the next 15 years, including an average
of approximately $12 million in additional annual taxable depreciation and
amortization expense through Fiscal 2021. The Company will be making
additional comments on PCMR and the Company's outlook in its 2014 fiscal
year-end investor conference call on Sept. 24.
Park City Mountain Resort offers terrain for every type of skier and
snowboarder, from perfectly manicured groomers to powder-filled bowls and some
of the industry's most progressive terrain parks and half pipes. Located in
the heart of historic Park City, Utah–one of the country's greatest ski
towns–PCMR was named the fifth best resort in North America by readers of SKI
Magazine in 2014. The mountain resort's 16 lifts serve 114 runs, nine
powder-filled bowls, four terrain parks and two half pipes. The mountain also
offers many summer adventures including one of the world's longest alpine
slides, a nearly 4,000-foot long alpine coaster, zip lines and more than 70
miles of hiking and biking trails. Together with Canyons, the combined resort
will offer over 7,000 acres of skiing and will be the largest ski resort in
the United States.
|09-10-2014 11:49 AM|
|BurtonAvenger||Canyons is on a lease agreement.|
|09-10-2014 10:14 AM|
Originally Posted by jtg View Post
|09-10-2014 12:52 AM|
Originally Posted by BurtonAvenger View Post
The short version is that everyone on both sides knew PCMR was renewing, they spent $100M on developments, had a master development plan, etc. PCMR had a change in staff and they knew there was a mixup, so they sent in the notice the Monday after the weekend that the deal expired on (though they did backdate it to before the weekend). Talisker filed it away and it was business as usual.
In the following summer, after it supposedly expired, Talisker proposed that PCMR build an interconnect to link PCMR to Canyons and offer a unified lift ticket deal, and met with them to discuss those plans and other development.
8 months later, a Talisker employee was talking to the PCMR CEO about extending the lease for another 25 years into 2076. After that discussion, he went to look at the lease agreement, and only then did he notice the technicality and realized he might be able to use it to screw over PCMR.
Talisker tried to exploit that opportunity, and during the legal battle, Talisker sold Canyons to Vail for twice the market value, because Vail also bought the rights to the lawsuit, and rights to PCMR if they win.
Utah law is super strict about having all the paperwork in order, even though it's totally a technicality that caused no loss to Talisker and Talisker didn't even know it themselves, so PCMR is going to lose on the primary claims and they know it. They have a shot on some of the smaller issues that might reduce the damage, but their real strategy is to play chicken with Vail until Vail gives them the best possible offer on their way out, while Vail wants to take PCMR at a discount.
Originally Posted by tonicusa View Post
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