Cedar Fair prepares for an exciting 2008 operating season

Behemoth, Canada's longest, tallest and fastest roller coaster opens to rave reviews. Company introduces 18 new live entertainment shows and confirms full-year guidance.

Thursday, 08 May 2008

Cedar Fair Entertainment Company Press Release 

SANDUSKY, OHIO, May 8, 2008 -- Cedar Fair Entertainment Company (NYSE: FUN), a leader in regional amusement parks, water parks and active entertainment, held a conference call with analysts and investors Tuesday, May 6, 2008 to discuss first quarter operating results and the 2008 operating season.

On the call Dick Kinzel, Cedar Fair’s chairman, president and chief executive officer discussed the Company’s $88 million capital expenditure program for 2008, which includes five roller coasters, three exciting thrill rides and many new shows.  The program is highlighted by Behemoth, a $21 million record-breaking roller coaster at Canada’s Wonderland.  “I had the opportunity this Saturday to visit Canada’s Wonderland and ride Behemoth,” said Kinzel.  “It was everything that I thought and hoped it would be.”

Kinzel added, “ I think it’s important to point out that in 2008 we will offer 50 live shows across our parks, with more than one-third of them being new.  These added entertainment options at our parks improve the overall guest experience and provide significant value to a visit.”

At this time, the Company has seven of its ten seasonal amusement parks in operation, with Cedar Point and Valleyfair scheduled to open this weekend.   The Company’s season pass sales and group business are trending ahead of last year, while reservations at its resort properties are trending slightly behind this time a year ago.  With approximately 95% of its revenues still to be earned, it is still too early to accurately forecast 2008’s full-year performance.  At this time, the Company expects to generate full-year revenues between $990 million and $1.02 billion.  Although there was an inadvertent misstatement during the conference call, the Company confirms that it does expect full-year adjusted EBITDA to be in the $340-$355 million range.

The Company continues to look for ways to add value for its customers.  In 2008, it introduced the “Platinum Pass” which allows the holder access to its 18 properties across North America as well as free parking at all of its parks.  The Company also opened two parks, California’s Great America and Kings Dominion, a week earlier to take advantage of the early spring holiday and several parks will extend their operating season this fall by one additional weekend.

“We have also extended the daily operating hours at several of our parks allowing guests to take advantage of a full day of entertainment,” said Kinzel.  “This is just another way we are able to improve the guest experience and add value at our parks.  It’s this type of change that guests appreciate and helps to keep families coming back year after year.”

Cedar Fair is a publicly traded partnership headquartered in Sandusky, Ohio, and one of the largest regional amusement-resort operators in the world. The Company owns and operates 11 amusement parks, six outdoor water parks, one indoor water park and five hotels. Amusement parks in the company’s Northern Region include two in Ohio: Cedar Point, consistently voted “Best Amusement Park in the World” in Amusement Today polls and Kings Island; as well as Canada’s Wonderland, near Toronto; Dorney Park, PA; Valleyfair, MN; and Michigan’s Adventure, MI.  In the Southern Region are Kings Dominion, VA; Carowinds, NC; and Worlds of Fun, MO.  Western parks in California include: Knott’s Berry Farm; California’s Great America; and Gilroy Gardens, which is managed under contract.  Also included in that region is Star Trek: The Experience, a Las Vegas-based interactive adventure.

Some of the statements contained in this news release constitute forward-looking statements.  These statements may involve risk and uncertainties that could cause actual results to differ materially from those described in such statements.  Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, it can give no assurance that such expectations will prove to have been correct.  Important factors, including general economic conditions, competition for consumer leisure time and spending, adverse weather conditions, unanticipated construction delays and other factors could affect attendance at our parks and cause actual results to differ materially from the Company’s expectations.  In addition, risks and uncertainties concerning the acquisition of the Paramount Parks include, but are not limited to the ability of the Company  to combine the operations and take advantage of growth, savings and synergy opportunities.