This morning the unitholders of Cedar Fair successfully voted to remove Dick Kinzel, current CEO and Chairman of the Board, from his position as Chairman of the Board. The vote was to split to the two positions to ensure one person can not be in both positions. The new chairman is not permitted to have any ties with Cedar Fair. Many investors have been unhappy with Kinzel’s performance due to the closure of Geauga Lake, purchase of Paramount Parks, trying to sell the company to Apollo Management, and general disrespect for unit holders by canceling a meeting with extremely short notice. This measure was expected to pass.
A second vote also took place to change the financial goals of Cedar Fair to increase the dividend instead of being focused on paying down the debt. This vote remains too close to call at this time. This measure has brought out the different mindsets of the variety of investors in Cedar Fair, such as Q Funding who wish to see the short term goal of increased dividend, compared to those interested in the better long term goal of eliminating the debt.
Kinzel is expected to remain as CEO until his retirement in early 2012.
For more information and to join the discussion, please visit http://www.cpforums.com.