USA: Credit Facility Amendment Provides Additional Financial Flexibility to Six Flags Entertainment

Six Flags Entertainment, the Arlington/Texas-based operating group of thrill and water parks in the US, Canada and Mexico, announced the amendment of its credit facility to further extend the covenant waiver period by one year, from the fourth quarter of 2020 to the fourth quarter of 2021, and to extend the covenant modification period by one year through the fourth quarter of 2022. In addition, all of the company’s incremental revolving credit lenders agreed to extend the incremental 131 million US Dollars (approx. 110 million Euros) revolving commitments by one year.

“The operational actions we have taken to respond to the COVID-19 crisis, coupled with the one-year extension of both our covenant waiver period and the incremental revolving credit facility commitments, provide us with significant flexibility and financial strength as we manage through the pandemic-related disruption. We remain focused on safely reopening more of our parks, profitably growing our base business, and reducing our net leverage ratio,“ says Mike Spanos, President and CEO of Six Flags Entertainment.

With over 25 theme and water parks in the US, Canada and Mexico, Six Flags is one of the largest regional operating groups of leisure attractions in North America. With Six Flags Qiddiya the group is also working on its first destination in the Middle East, slated to open in 2023 in the Saudi leisure and entertainment destination Qiddiya, located at short distance to Riyadh (cf. EAP News of 27 Aug 2019). The further development of the planned Six Flags theme park destinations in China, for which Six Flags has a cooperation with the Chinese Riverside Investment Group, were put on hold earlier this year, due to a declining market and default payments by the Riverside Group. (eap)