This excerpt taken from the FUN 8-K filed Nov 6, 2007.
Nine month results (combined basis)
On a combined basis, including the newly acquired parks and corporate costs, net revenues for the first nine months of 2007 were $871.5 million compared with $711.5 million in 2006. During this time the parks entertained 19.6 million visitors, with average in-park guest per capita spending of $40.62. Out-of-park revenues during this same period totaled $90.4 million.
Adjusted EBITDA through September 30, 2007, including the newly acquired parks, increased $31.6 million to $331.0 million. After depreciation, amortization, a $39.2 million non-cash charge for impairment of assets, and other non-cash costs, operating income for this period, on a combined basis, was $174.2 million. The non-cash impairment charge incurred during the period was necessary to properly account for the change in strategy at our Geauga Lake property in Aurora, Ohio. Over the past four years of operations, we determined that the market demand was not sufficient to support the park as it was structured, said Kinzel. We plan to market the excess property and have identified assets to be relocated to other locations, to be sold and/or disposed. Our goal over the near future will be to operate a profitable water park at Geauga Lake while generating value from the relocated rides and available land.
Interest expense for the first nine months of 2007 increased $60.4 million to $110.6 million due to the acquisition of the Paramount Parks from CBS in June of 2006. A provision for taxes of $57.0 million was recorded in 2007 to account for the tax attributes of our corporate subsidiaries and PTP taxes. To determine the interim period income tax provision or benefit of corporate subsidiaries the Company applies an estimated annual effective tax rate to year-to-date income or loss. In 2007, certain elements in the effective tax rate calculation had a disproportionate impact on the rate and resulted in a significant variation in the customary relationship between the provision for taxes and income before taxes. This is expected to substantially reverse in the fourth quarter. This situation has arisen as a result of the Companys structuring of the Paramount Parks as a tax efficient corporate acquisition along with the substantial seasonality of the underlying business operations. Cash taxes paid or payable are not impacted by these interim tax provisions and are estimated to be between $15-18 million for the 2007 calendar year.
After interest expense and provision for taxes, net income for the nine-months ended September 30, 2007, totaled $4.5 million, or $0.08 per diluted limited partner unit. For the nine-months ended September 24, 2006, the