Vails buys Stowe!

[ski diva]

It's finally official! From Vermont Ski + Ride:

Vail Buys Stowe!
February 21, 2017 Lisa Lynn 26 Views 0 Comment Stowe, Vail

NEW YORK–(BUSINESS WIRE)–AIG Global Real Estate announced today that it has signed an agreement to sell the mountain operations of Stowe Mountain Resort to Vail Resorts, Inc. The sale includes Stowe’s ski operations, related infrastructure and machinery, and the summer season on-mountain attractions. The deal is subject to Vermont administrative review.

“Under Vail Resorts’ management, Stowe’s reputation as a premier ski destination with a commitment to excellent service will continue to grow. AIGGRE is looking forward to combining Vail Resorts’ tremendous mountain operations capabilities with our continued commitment to the development of the Spruce Peak community.”

Following completion of the deal, AIG Global Real Estate will retain ownership of the majority of the Spruce Peak base area including Stowe Mountain Lodge, Stowe Mountain Club and future development rights. AIG will also continue to own the Stowe Country Club.

Douglas Tymins, President and CEO of AIG Global Real Estate said, “Under Vail Resorts’ management, Stowe’s reputation as a premier ski destination with a commitment to excellent service will continue to grow. AIGGRE is looking forward to combining Vail Resorts’ tremendous mountain operations capabilities with our continued commitment to the development of the Spruce Peak community.”

Rob Katz, Chairman and Chief Executive Officer of Vail Resorts said, “We’re thrilled to add Stowe Mountain Resort, to our family of world-class mountain resorts. With the investments in both mountain infrastructure and base area facilities that AIG has made over the years, Stowe Mountain Resort has become the premier, high-end resort for East Coast skiers and snowboarders. We look forward to working with AIG to continue enhancing the guest experience and to ensure the resort’s long-term success.”

About AIG Global Real Estate

AIG Global Real Estate, founded in 1987, comprises a group of international companies within AIG that invests in and actively manages approximately $18.8 billion of real estate for clients and AIG member companies in various countries. The business includes AIG Affordable Housing (representing over 102,000 multi-family units across the United States), and the investment management of Stowe Mountain Resort. More information can be found at https://www.aig.com/aig-global-real-estate.

About American International Group, Inc.

American International Group, Inc. (AIG) is a leading global insurance organization. Founded in 1919, today AIG member companies provide a wide range of property casualty insurance, life insurance, retirement products, and other financial services to customers in more than 80 countries and jurisdictions. These diverse offerings include products and services that help businesses and individuals protect their assets, manage risks and provide for retirement security. AIG common stock is listed on the New York Stock Exchange and the Tokyo Stock Exchange.


AIG is the marketing name for the worldwide property-casualty, life and retirement, and general insurance operations of American International Group, Inc. For additional information, please visit our website at www.aig.com. All products and services are written or provided by subsidiaries or affiliates of American International Group, Inc. Products or services may not be available in all countries, and coverage is subject to actual policy language. Non-insurance products and services may be provided by independent third parties. Certain property-casualty coverages may be provided by a surplus lines insurer. Surplus lines insurers do not generally participate in state guaranty funds, and insureds are therefore not protected by such funds.

 

[Jilly]

Rmours running around Tremblant too. Especially since Fortress has been sold. Fortress owns Intrawest.

 

[ski diva]

I wonder what the implications are for season pass sales, when the cost for a Vail Epic pass is below $800., and a Stowe season pass is over $2,000.

 

[newboots]

It will be interesting to watch. It's hard to imagine them raising ticket window prices at Stowe, but I guess higher prices have worked for them elsewhere. I don't see how they could pull off keeping their season pass so expensive.

 

[Fluffy Kitty]

Stowe season pass is over $2,000.

Is it worth it?

 

[NewEnglandSkier]

Another loss for the Mountain Collective Pass. It was nice having a place in the east on that pass. From a selfish perspective, I don't view the acquisition as a positive since I have zero interest in buying an Epic Pass.
I suppose it will be interesting to watch how it unfolds though; not sure how they can keep doing acquisitions but keep the season pass prices so cheap and not eventually raise them the more mountains they buy.

 

[marzNC]

Another loss for the Mountain Collective Pass. It was nice having a place in the east on that pass. From a selfish perspective, I don't view the acquisition as a positive since I have zero interest in buying an Epic Pass.
I suppose it will be interesting to watch how it unfolds though; not sure how they can keep doing acquisitions but keep the season pass prices so cheap and not eventually raise them the more mountains they buy.

My guess is that there will be another resort in the northeast in the MCP by next season.

More curious what happens with the MAX Pass next season. That list is already up to 39, with quite a few in the northeast.

 

[ski diva]

My guess is that there will be another resort in the northeast in the MCP by next season.

Would be nice! Stowe is on it now, but they're the only eastern resort included. And with them becoming part of Vail, well, that's going to go away.

 

[marzNC]

The places in the northeast that were on the Dec 2016 survey sent to some MCP list people were:

Mt Snow, VT
Sugarbush, VT
Jay Peak, VT
Whiteface, NY

Not clear if it's even possible for any of these places to join the MCP. Especially wonder about Whiteface since it's state owned.

 

[ski diva]

Is it worth it?

I know, right? Crazy.

 

[lisamamot]

Another loss for the Mountain Collective Pass. It was nice having a place in the east on that pass. From a selfish perspective, I don't view the acquisition as a positive since I have zero interest in buying an Epic Pass.
I suppose it will be interesting to watch how it unfolds though; not sure how they can keep doing acquisitions but keep the season pass prices so cheap and not eventually raise them the more mountains they buy.

Yeah, but the MAX Pass is amazing for New Englanders! Add a northern VT mountain (Smuugs or Jay?) and it is pretty close to perfection.

 

[marzNC]

Yeah, but the MAX Pass is amazing for New Englanders! Add a northern VT mountain (Smuugs or Jay?) and it is pretty close to perfection.

In some ways, makes sense for Vail to consider buying Smuggs too. The families who take ski vacations there are probably similar to the midwest families who ski at the three places Vail bought and upgraded in recent years. Smuggs is a lower cost resort for families than Stowe for when younger kids are learning. Has a great ski school from what I hear. Once anyone can ski the blues and easier blacks at Smuggs, they are more than ready for fun at big mountains out west. Only downside to Smuggs at the moment are the relatively slow lifts, which are mostly doubles. Replacing old lifts takes plenty of capital investment.

 

[ski diva]

Here's an interesting article from VT Ski + Ride on how Vail's purchase of Stowe could change Vermont.

 

[marzNC]

If anyone is curious about the CEO of Vail. He wasn't really planning on being part of the ski industry as a career move, but did start skiing in the Catskills a long time ago. Bet his sons were glad their parents decided to move to Colorado when they were still pretty young.

https://www.mensjournal.com/feature...il-resorts-conquered-the-ski-industry-w469851

 

[ski diva]

Here's an article on Powder.com about what the purchase of Stowe will mean for skiers.

 

[ski diva]

Here's an interview with the head of the Vermont Ski Areas Association about the effect Vail's purchase of Stowe on other ski areas in the state.

 

[newboots]

Here's an interview with the head of the Vermont Ski Areas Association about the effect Vail's purchase of Stowe on other ski areas in the state.

Downward pressure on prices is a good thing, unless it means that some ski areas can't manage with those prices, and can't make it. I don't know whether to be happy or not!

 

[newboots]

Downward pressure on prices is a good thing, unless it means that some ski areas can't manage with those prices, and can't make it. I don't know whether to be happy or not!

Wow, it has happened. Killington's season pass is $240 lower than last year, Sugarbush and Okemo are lower. I suspect that the big resorts will manage with lower prices - more people means selling more expensive food, etc. But I still worry about the small hills.

 

[marzNC]

Vail announced a change at the top for Stowe. When the sale is complete in early summer, Bobby Murphy will become the vice president and general manager of Stowe Mountain Resort. Murphy became the Director of Vail Snowsports School in September 2010. The former Vail SSD moved to Heavenly to be the VP there. Murphy was (is?) a member of the PSIA National Team. He joined Vail management in 2008 at Keystone. Before that, he was a senior manager at Telluride and Crested Butte involved with ski school and resort services. Murphy learned to ski in the midwest growing up in Evanston, IL.

The current president of Stowe Mountain Resort, Barry Pius, is stepping aside after doing the job for nearly two years. He was previously the resort’s chief financial officer. Apparently the long-time VP of marketing for Stowe, Michael Colbourn, will not become a Vail employee.

https://vtskiandride.com/vail-announces-stowes-new-management/
https://vtdigger.org/2017/04/28/vail-resorts-replaces-members-stowe-mountain-team/

https://news.vail.vailresorts.com/m...director-vail-mountains-snowsports-school.htm

 

[marzNC]

Here is Bobby Murphy in action for PSIA giving ski technique tips related to hand placement.