News Roundup: Everybody’s Doing It

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Vail to Acquire Peak Resorts for $264 Million

Vail Resorts has agreed to purchase Peak Resorts, the publicly-traded parent company of 17 ski resorts in the northeast and midwest.  The deal will more than double the number of mountains Vail operates and expand markets such as New York, Philadelphia and Washington, D.C. for the Epic Pass.  Mountains to be acquired include Mt. Snow in Vermont, Hunter Mountain in New York and Attitash in New Hampshire.  Combined, Peak Resorts operates 109 aerial lifts in seven states.  Vail will be up to 37 mountains in three countries with 437 lifts upon closing.

Peak itself closed on a $76 million purchase of Snow Time, Inc. less than eight months ago, yet the merger and acquisition action continues. “We are incredibly excited to have the opportunity to add such a powerful network of ski areas to our Company,” said Rob Katz, chairman and chief executive officer of Vail Resorts in an early morning announcement. “Peak Resorts’ ski areas in the Northeast are a perfect complement to our existing resorts and together will provide a very compelling offering to our guests in New York and Boston. With this acquisition, we are also able to make a much stronger connection to guests in critical cities in the Mid-Atlantic and Midwest and build on the success we have already seen with our strategy in Chicago, Minneapolis and Detroit.”  The deal must still be approved by Peak’s shareholders, which are being offered $11.00 per share.  When the deal closes, Epic Pass holders will receive unlimited, unrestricted access to all 17 resorts.

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The flagship Bluebird Express at Mt. Snow will now truly be a sister lift to Sunburst Six at Okemo.

Vail plans to spend approximately $15 million for one-time capital improvements over the first two years and an ongoing $10 million per year to support the Peak properties.  Vail’s EBITDA is expected to increase by $60 million annually with the new additions.  The transaction is expected to close in the fall.

News Roundup: New Gondolas

News Roundup: Slow Boat

  • After years of gondola negotiations with the Town of Jackson, a frustrated Snow King Mountain presses pause while it waits for the U.S. Forest Service to weigh in.
  • Doppelmayr completes the final link in the world’s largest gondola chain.  The stats: 10 lines, 21 miles, 34 stations and 1,324 cabins carrying 300,000 daily passengers.
  • Crested Butte’s longest lift goes down for more than four days due to communication line damage.
  • The announced sale of Montana’s Great Divide won’t happen.
  • Peak Resorts posts a solid financial quarter with organic growth in revenue and earnings.
  • The Whistler paper highlights what happens when the big Blackcomb Gondola goes down.
  • SkyTrans Manufacturing says it’s not to blame for the Ohio State Fair’s delay in replacing potentially corroded chairs on its skyride.  As a result of the chairlift situation, Ohio will require all ride operators to forward manufacturer directives to state inspectors going forward.
  • After tons of hard work by its lift mechanics and contractors, Attitash concedes it won’t be able to fix Summit‘s gearbox this season.  “We’ve heard your calls for a new lift to replace the Summit Triple, and while we appreciate all your feedback, this is not a project our parent company, Peak Resorts, is looking to do in the near future,” says GM John Lowell.
  • Leaders of AltaAspen Snowmass, Big Sky and Jackson Hole all pen letters addressing the chorus of Ikon Pass crowding criticism.
  • The Glenwood Caverns gondola takes flight tomorrow with 17 Sigma cabins.  27 more are on a delayed boat from France and will be put on line when they arrive.

News Roundup: Urban Momentum

News Roundup: Heavy Snow

News Roundup: More Maps

  • As Aspen Mountain considers a Telemix combination lift, the Aspen Daily News looks back at other unique lifts in Pitkin County history.
  • Purden Ski Village in BC is for sale at $1.7 million USD ($2.2 million CAD).  The area operates two doubles and a T-Bar, all built by Mueller.
  • Snowbird’s Chickadee has a new tower that hangs from a bridge.
  • The final Disney Skyliner towers rise from a lake and one station gets a mural.
  • Peak Pass sales are pacing ahead of last year by 19 percent in units and 22 percent in dollars despite increased northeast competition from Vail and Alterra.
  • The shut down Hermitage Club expects to close on $25-30 million in financing around Thanksgiving.  One potential reopening complication: the chairlifts haven’t been touched by mechanics since March.
  • A new trail map shows the locations of Killington’s three new lifts.
  • Beech Mountain is rocking two new quad chairs this winter and an all new trail map.
  • Taos has an updated map to go along with its high speed quad.

News Roundup: Down to the Wire

  • Beaver Creek renames the Buckaroo Express gondola Haymeadow Express, the name of the double chair which ran in the same alignment from 1980 to 2007.
  • Whether the Hermitage Club closes a $30 million loan to catch up on lift maintenance and operate this winter is still an open question.
  • Arapahoe Basin and Leitner-Poma fly steel for the Beavers project.
  • As of yesterday, Vail Resorts officially operates Okemo, Mt. Sunapee and Crested Butte.
  • Vail reports fiscal 2018 resort EBITDA was $616.6 million, an increase of 3.9 percent over the prior year.  2018-19 season pass sales are up 25 percent in units and 15 percent in dollars as of Sunday.
  • West Mountain adds a million dollar chairlift and looks to build another.
  • A New York-based developer receives one of many approvals for Mayflower Village at Deer Valley, which could eventually mean a slate of new lifts.

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  • Doppelmayr is named in connection with an urban gondola eyed for Long Beach, California.
  • Watch a remarkable 3S gondola launch live from Zermatt at 9:15 Eastern tomorrow morning, 6:15 Pacific.
  • The CFO and COO of Peak Resorts open up about their decision to buy Snow Time and note the three new mountains don’t immediately need much capital investment.
  • The longtime owners of Great Divide, Montana plan to sell to another couple next year.
  • Legendary ski resort builder Les Otten remains committed to The Balsams but laments, “time is killing this project.”
  • Mountain Capital Partners releases more details on the Spider Mountain Bike Park project.
  • The damaged Zugspitze cabin is successfully lowered to the valley for disassembly.  The cable car’s operator says damage exceeds $1.2 million and the lift could reopen by year end.
  • Boreal names its new quad California Cruiser.
  • The latest Leitner-Poma six-pack at Hunter Mountain, seen below, will be called Northern Express.

News Roundup: Working Together

  • It’s not looking good for Mt. Timothy, BC.
  • Two Aspen developers amend their plans to accommodate the new Lift 1 alignment.
  • Horseshoe Resort commits to replacing Chair 6 with a quad in 2019.
  • The Hermitage Club is still trying to ink a reopening deal with members and Oz Real Estate.
  • Powdr breaks ground on Woodward Park City, set to debut with a fixed-grip quad in November 2019.  No word yet on the manufacturer.
  • The Forest Service green lights Aspen Highlands’ Goldenhorn platter project.
  • Peak Resorts posts quarterly results: an $11.8 million net loss on $7 million in revenue as the company worked to build Hunter North and the Carinthia Lodge at Mt. Snow.  SKIS had $10.1 million in cash on hand as of July 31st with $180.6 million in debt.  CEO Tim Boyd says he’s still open to acquiring more mountains.
  • Disney will build and maintain a boat and dock specifically for Skyliner gondola evacuation purposes.
  • Hall double area Navarino Hills, Wisconsin closes for good.
  • With rumors swirling about its future, Black Mountain, NH clarifies it will open this winter.
  • Snow King’s gondola/expansion scoping is extended for the third time to October 4th.
  • A cabin is spotted in one of the Disney World gondola stations.
  • $51 million in new lifts are on track to spin for American Thanksgiving at Whistler Blackcomb.  Thanks Jordan N. for these photos.

News Roundup: Gondolas on Gondolas

“Ever since the company went public in 2014 it has taken advantage of its improved access to capital to finance large infrastructure projects that may have led to growth in visitation and revenues, but haven’t resulted in better earnings or cash flows.”