Home / Business and Economy / Magic Mountain Value Plummets: $533M Gone!
Magic Mountain Value Plummets: $533M Gone!
9 Apr
Summary
- Six Flags recorded a $1.5 billion write-down due to lower revenue.
- Magic Mountain's perceived value decreased by $533.7 million.
- The write-down is a non-cash accounting adjustment to reflect reality.
Six Flags has experienced a significant downward adjustment in its asset valuation, with a $1.5 billion write-down recorded in its latest quarterly report. This recalibration follows an accounting test triggered by revenue and earnings that fell short of expectations.
Magic Mountain, specifically, saw its perceived value on the company's books decrease by $533.7 million. This substantial non-cash loss is described as an accounting adjustment to align the company's financial statements with current reality, rather than a cash outflow.
Several other Six Flags properties also incurred significant paper value reductions. These include Six Flags Great America, Six Flags Over Georgia, Six Flags Fiesta Texas, Six Flags Great Adventure, Six Flags Mexico, Six Flags Over Texas, and Schlitterbahn. Even the Six Flags trade name lost nearly 20% of its on-paper value.
