Sunday, September 11, 2016

Conneaut Lake Park's Bankruptcy Plan Approval Paves Way for Future

Conneaut Lake Park's Board of Trustees has received approval of their Chapter 11 bankruptcy plan in court, giving the park hope that they can continue their recent rebound in upcoming seasons.

The bankruptcy filing was a way for the park to avoid being sold off piece by piece to pay creditors what they were owed, and until a judge approved the plan the park's future was in question.

In total the park owes creditors, including several local school districts, around $3.4 million.  Up until this season the park regularly lost money, but news stories about the bankruptcy plan approval show that 2016 has been different.  The reopening of many parts of Conneaut's water park has been a major factor in the success.

So far through the end of August the park has a net profit of $95k, with projections of that being up yo $150k when the season is over.  The park still has its Fall Pumpkin Fest left for the 2016 calendar year.

The plan to keep the park going involves a slow and smart increase of amusements offered, and also the selling of excess lakefront property to make a big dent in the debts.  If the park continues on the positive cash flow it did this year, remaining profits will be delivered to creditors as well.  It sounds like the Hotel Conneaut has also been put up as collateral in the deal.

Congratulations and good luck to the current Trustees of the park, it sounds like they're giving it the best shot it's had in many years.