Originally Posted By AutoPost This topic is for Discussion of the headline: <a href="http://www.LaughingPlace.com/News-HID.asp?ID=31968" target="_blank"><b>Headlines: OrSen: Universal theme parks reports weak attendance in third quarter</b></a> General Electric, whose theme parks include Universal Orlando, said it has offset attendance declines with cost cuts
Originally Posted By Sport Goofy Universal's main problem is that they have a $500M note due next spring and it's uncertain how they plan to refinance. I expect that there will be a creative way to package up all the debt in a new theme park IPO to shareholders before then. The new company would include the Busch parks recently bought by Blackstone, which has a large stake in Universal Orlando. If that business transaction takes place, investors beware of a company that will be loaded up with debt and very little free cash flow to make up the difference.
Originally Posted By WilliamK99 They are putting all their eggs into the Harry Potter basket.... If this risk doesn't pay off, I can imagine Universal being in deep doo doo...
Originally Posted By Sport Goofy ^^ While Harry Potter-land opens next spring, the main attraction is still a year away. They have four more quarters and a serious debt restructuring to contend with before HP has any opportunity to save the day.
