Six Flags, Inc. has announced that its Board of Directors decided not to declare and pay a quarterly dividend on its outstanding Preferred Income Equity Redeemable Securities ("PIERS") for the quarter ending November 15, 2008, each such PIERS representing one one-hundredth of a share of the Company’s 7 1/4% Convertible Preferred Stock.
Under the terms of the PIERS, dividends are not required to be paid currently and any unpaid dividends accumulate without interest. The Board’s decision not to declare and pay the November 15, 2008 dividend does not contravene any covenants under any of the Company’s debt agreements. The Company’s deficit in stockholders’ equity(1), the overall state of the credit markets and the fact that unpaid dividends accumulate on an interest-free basis, were factors that the Board considered in reaching its decision not to declare and pay the quarterly dividend. The Board will continue to evaluate all facts and circumstances, including relevant legal restrictions, prior to any future PIERS payments.
About Six Flags
Six Flags, Inc. is the world’s largest regional theme park company with 20 parks across the United States, Mexico and Canada. Founded in 1961, Six Flags has provided world class entertainment for millions of families with cutting-edge, record-shattering roller coasters and appointment programming and special events such as the weekly Summer Concert Series, Fright Fest and Holiday in the Park. Now 47 years strong, Six Flags is recognized as the preeminent thrill innovator while reaching to all demographics — families, teens, tweens and thrill seekers alike — with themed attractions based on the Looney Tunes characters, the Justice League of America, skateboarding legend Tony Hawk, The Wiggles and Thomas the Tank Engine. Six Flags, Inc. is a publicly-traded corporation (NYSE:SIX) headquartered in New York City.