Mammoth Buys Snow Summit/Bear Mt.

I just talked to Brent Tregaskis (GM @ Bear/Summit) and this is huge news out of Big Bear this morning. Going to be great for the community and real estate will probably spike.
 
SAM Magazine—Big Bear Lake, Calif., Sept. 24, 2014—Mammoth Mountain Ski Area, owner of Mammoth Mountain and June Mountain, has entered into an agreement to acquire Big Bear Mountain Resorts and its Bear Mountain and Snow Summit resorts, which host nearly 800,000 winter visits annually. The transaction will create one of the nation’s largest ski companies, with more than 2 million visitors per year.

The combined areas will offer a new joint pass, the Cali4nia Pass ($689), with unrestricted access to all four areas. The pass will go on sale at the Hot Dawgz and Hand Rails event at Bear Mountain this Saturday, September 27 and will then be available online for a limited time only at www.snowsummit.com or www.Cali4niaPass.com.

“The combination of these four mountain resorts creates diverse and unique offerings of both summer and winter experiences for day trips, weekend getaways and extended vacations,” according to a prepared statement from Mammoth. Bear Mountain and Snow Summit, “with their full complement of outdoor activities from action sports to first-time family experiences,” complement the big-mountain destination experience offered at Mammoth, the statement continued.

“We couldn’t be more excited to enter into this agreement with Big Bear Mountain Resorts. These two uniquely southern California resorts have been providing great skiing, riding and biking experiences to visitors from California and beyond. Millions have enjoyed their first mountain resort experience on the slopes of Bear Mountain and Snow Summit, and we look forward to expanding upon the legacy that Dick Kun and his people have created over the past six decades,” said Rusty Gregory, chairman and CEO of Mammoth Mountain.

“This acquisition represents the beginning of a renaissance for both Mammoth and Big Bear and is the first step in the next era of skiing and riding in California. In the coming months we will be announcing exciting new development and expansion plans for each of our four resorts designed to attract visitors from down the street, across the country, and around the world,” added Gregory.

Dick Kun, long-time CEO of Big Bear Mountain Resorts, commented, “Mammoth has always been the natural long-term fit for the Big Bear family and we are thrilled to enter this agreement. I am deeply grateful to the employees, shareholders, and the Big Bear community for their work and support during the 63years of our operations.”

Houlihan Lokey served as exclusive financial advisor to Big Bear Mountain Resorts and assisted in initiating, structuring and negotiating the transaction on its behalf.

Closing is subject to certain conditions, including Big Bear Mountain Resort shareholder approval and transfer of the U.S. Forest Service Permit that permits operations on nearly 1,500 acres of the San Bernardino National Forest.
 
Tom Moriarty":2da8mwwe said:
U.S. Forest Service Permit that permits operations on nearly 1,500 acres of the San Bernardino National Forest.
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I wonder if this is the total real estate involved or whether ski expansion is contemplated. Developing the areas between the 3 peaks of Bear Mt. was shot down once before. Any expansion needs 100% snowmaking coverage with the modest annual snowfall of ~7 feet. Snow Summit is quite fully developed already.
 
Seems both logical and crazy at the same time. Not sure I would want to expose myself even more to the highly variable California winters if I were Mammoth. But the power of combined passes for the LA market might make the weather more irrelevant since passes are bought ahead of the season and skiers are eternal optimists.
 
Be interesting to see if this puts a world of hurt into Mt. High in the season pass wars. SoCals might lean toward Big Bear now with being able to add Mammoth into your pass for about $300 more.
 
EMSC":1w1bdovs said:
Not sure I would want to expose myself even more to the highly variable California winters if I were Mammoth.
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Apples and oranges, really. The Big Bear resorts total 450 acres, all of it covered by a high capacity snowmaking system. They are nearly always 80+% open from early January to late March. Last year was an outlier, maxing out at 60% with only 1984 being as bad. All other seasons since 1989 have been 100% open at least some of the time.

I see this as Mammoth accepting reality that SoCal will always be its dominant market, and by buying the best "feeder area," it's lowering the price barrier for local skiers/riders to try Mammoth. Some of those will get hooked on the superior terrain and snow and become the next generation of Mammoth regulars. Smart idea IMHO in view of the challenge of SoCal changing demographics over the past 25 years.

I agree with Tom this could put a significant dent in Mt. High's business.
 
The only thing I can think for MH that might be an advantage is that if they don't keep a Big Bear or Snow Summit only pass. There are alot of local kids that won't be able to afford $600+ MVP trio pass (not to mention the costs of going and staying in Mammoth as well)... wouldn't think Mammoth would be that stupid though to not keep it reasonable for the kids that still only afford a local pass. MH will always have the "easy access" factor, but overall.. I think this really hurts them in the long haul.
 
snowave":2pv8aoan said:
wouldn't think Mammoth would be that stupid though to not keep it reasonable for the kids that still only afford a local pass.
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Snow Summit/Bear have been fairly good about not raising day ticket prices as fast as most areas. Adult tickets were a bit over $60 last year, and the price is less for ages 13-22. Hopefully Mammoth will recognize the price sensitivity of the local market.
 
Been watching this one for a while and, have to say, some great replies and
exchanges.
Personally, I feel the purchase of Bear Mtn / Snow Summit will be nothing but a positive.
Already, and by far, the premier skiing / boarding area is So Cali. Mammoth will bring in
new ideas and opportunities for both the area and Big Bear itself. I'm quite sure the
improvements will be noticed from day 1.
Regarding Mt. High, I seriously doubt the management at Bear Mtn / Summit now Mammoth
will need to be concerned about Mt. High at all. Without going into it I'll simply say what the locals
here in Wrightwood have known for years now. MINIMUM WAGE MANAGEMENT EQUATES TO MINIMUM
WAGE RESULTS.
I know I live about 1 mile from the lifts at East Mt. High and choose not to ski there. My choice, has
been and will continue to be BEAR MTN/SUMMIT.
 
AWESOME NEWS in my mind. Can only be a positive for an already successful Area. Props to Bear Mtn / Summit and looking forward to seeing changes.
As for Mt. High, there is no need to worry. They'll do as they always have. Keep in mind I live about a mile from East Mountain at High and choose to ski Bear and Summit. NO COMPARISON.
 
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