World Library  
Flag as Inappropriate
Email this Article

Bowlmor AMF

Article Id: WHEBN0041944876
Reproduction Date:

Title: Bowlmor AMF  
Author: World Heritage Encyclopedia
Language: English
Subject: Bowlmor Lanes, Bowling, List of companies of the United States, List of companies of the United States by state
Collection: Bowling, Bowling Alleys
Publisher: World Heritage Encyclopedia
Publication
Date:
 

Bowlmor AMF

Bowlmor AMF
Bowlmor Lanes, AMF Bowling Center, Brunswick Bowling Center
Private
Predecessor American Machine and Foundry
Founded 2013 - created in the reorganization of AMF Bowling Worldwide
Headquarters New York, New York 10036, United States
Revenue $600 million[1]
Number of employees
9,500[1]
Website .combowlmoramf .combowlmor .combowlero .comamf .combrunswickbowling

Bowlmor AMF Corp. is the largest ten-pin bowling center operator in the world, with 304 centers the United States, eight centers in Mexico, and three centers in Canada.[2] The centers have an average of 40 lanes compared to the U.S. bowling center average of 21 lanes.[3]

Bowlmor AMF’s US centers represent 8% of the country’s 4,400 bowling centers.[4] Its nearest US competitors in size are Bowl-America, Bowl New England, Lucky Strike, and Main Event Entertainment, each with around 20 centers. Most of the other bowling centers in the United States are individually or family-owned.[4]

Bowlmor AMF currently operates the following bowling center brands:

  • [5] The company claims the Bowlmor brand has a 35-50% return on equity.[6]
  • Bowlero centers, which focus on group events and open play but will also incorporate [5] In May 2014 the company opened its first Bowlero center in the renovated AMF Woodlands Lanes in The Woodlands, Texas, featuring "recreational games and inventive menu items set in an eclectic environment that’s full of nostalgic throwbacks." Two additional Bowlero centers opened in 2014, both in Texas, and both in former AMF centers.[7] Note that the name "Bowlero" is not exclusive to Bowlmor AMF and that the Bowlero centers owned by others do not use Bowlmor AMF's Bowlero concept.
  • [5]

In fiscal years 2014 and 2015, the company closed 34 of its leased centers and 7 of its owned centers because of negative cash-flow and other reasons.[2] It is spending $32 million annually through 2018 to renovate the others and expects that, by 2018, around 25 of the AMF centers will have been converted to Bowlmor Lanes and around 60 of the AMF centers will have been converted to Bowlero centers.[8]

Within the United States as of June 2015, centers consisted of 266 operating under the AMF, Brunswick, and Brunswick Zone brand names, 18 Bowlmor, 4 Bowlero, 13 Brunswick Zone XL, and 3 Brunswick’s.[2]

Contents

  • History 1
  • The status of league bowling 2
  • References 3
  • External links 4

History

Bowlmor AMF was formed in July 2013 when AMF Bowling Worldwide (successor company to Bowlmor Lanes, an upscale bowling and entertainment company). The new company is jointly owned by Bowlmor, certain of AMF Bowling’s second lien lenders including an affiliate of Cerberus Capital Management, and Credit Suisse. At time of the merger, the merged company operated 272 bowling centers and had 7,500 employees and a combined annual revenue of approximately $450 million.[9]

In the AMF Bowling reorganization, AMF’s second lien lenders converted their debt into equity in Bowlmor AMF. Credit Suisse provided a $230 million term loan facility and a $30 revolving loan facility, and the largest holders of AMF’s existing second lien debt provided $50 million of backstop financing to provide working capital for Bowlmor AMF and to pay cash distributions in varying amounts to AMF’s other creditors. AMF’s first lien lenders received payment in full, in cash, of principal, interest at the non-default rate, and their fees.[10]

Bowlmor Founder and CEO Tom Shannon became Chairman, Chief Executive Officer, and President of the combined company, and Bowlmor’s Chief Financial Officer and former President, Brett Parker, became Vice Chairman, Chief Financial Officer, and Executive Vice President. Shannon and Parker collectively own 22% of Bowlmor AMF[10] and will receive bonuses based on their ability to increase the profitability and worth of Bowlmor AMF.[5]

As part of the AMF Bowling reorganization, Bowlmor AMF assumed control of AMF Bowling’s 50% interest in QubicaAMF Worldwide, one of the largest manufacturers of bowling products in the world.[9] In December 2014 the Qubica founders and partners acquired this interest from Bowlmor AMF.[11]

In July 2014, the company announced that it had agreed to acquire all 85 centers of Brunswick Bowling & Billiards in a transaction to be financed by the sale and leaseback of 58 of the centers to iStar Financial, as well as a term loan. The acquired centers are to be operated as a stand-alone division retaining existing branding.[12][13] The acquisition was completed in September 2014.[1]

Shannon was named Bowling Proprietor of the Year in 2014 by Bowlers Journal International Magazine in recognition of his "vision and bold initiatives" to "divide the AMF bowling empire into three distinct brands."[8]

The status of league bowling

From the 1960s through the early 1980s, league bowling (a weekly group event where several teams bowl against each other over the course of a season) amounted to 75% to 80% of every bowling center’s business in the United States. By 2012, that percentage had dropped to 21%. Lifestyle changes in the last few decades have made league bowling less attractive. Additionally, many bowling center owners have shifted their focus to casual bowlers, who bowl at non-discounted prices and spend more on food and beverage, and to special events, which produce substantial revenue and introduce new customers to the center.[4][14]

When [5]

When Bowlmor and AMF Bowling combined in 2013, league bowlers at AMF’s existing 261 traditional bowling centers worried that the new owner would eliminate league bowling at their centers, too. Some cited a Bloomberg TV interview in which CEO Tom Shannon said, "I don’t think anyone takes bowling seriously – why would you?"[6] Concern grew when Bowlmor AMF significantly cut the operating hours at many centers as a financial measure, and in the process, displaced or eliminated some daytime bowling leagues.

Shannon was said to have responded that, "We plan to increase the league bowling business, not shrink it," citing AMF’s "large customer base" in league activity for declaring that its league bowling was "very safe." He said his company has "protected and defended 99% of (its) nighttime leagues"[16] and sees its acquisition of the Brunswick centers as "furthering (its) commitment to league play."[12] A company spokeswoman further stated that the company also aims to "introduce a new generation to league bowling" and wants to support professional bowling, including possible sponsorships of the Professional Bowlers Association (PBA).[17] In October 2014 the PBA entered into an entitlement partnership agreement that will make Bowlmor AMF an official partner of the PBA.[18]

References

  1. ^ a b c
  2. ^ a b c
  3. ^
  4. ^ a b c
  5. ^ a b c d e
  6. ^ a b
  7. ^
  8. ^ a b
  9. ^ a b
  10. ^ a b
  11. ^
  12. ^ a b
  13. ^
  14. ^
  15. ^
  16. ^
  17. ^
  18. ^

External links

  • Bowlmor AMF corporate website
  • Bowlmor Lanes website
  • Bowlero website
  • AMF Bowling Centers website
  • Brunswick Bowling website
This article was sourced from Creative Commons Attribution-ShareAlike License; additional terms may apply. World Heritage Encyclopedia content is assembled from numerous content providers, Open Access Publishing, and in compliance with The Fair Access to Science and Technology Research Act (FASTR), Wikimedia Foundation, Inc., Public Library of Science, The Encyclopedia of Life, Open Book Publishers (OBP), PubMed, U.S. National Library of Medicine, National Center for Biotechnology Information, U.S. National Library of Medicine, National Institutes of Health (NIH), U.S. Department of Health & Human Services, and USA.gov, which sources content from all federal, state, local, tribal, and territorial government publication portals (.gov, .mil, .edu). Funding for USA.gov and content contributors is made possible from the U.S. Congress, E-Government Act of 2002.
 
Crowd sourced content that is contributed to World Heritage Encyclopedia is peer reviewed and edited by our editorial staff to ensure quality scholarly research articles.
 
By using this site, you agree to the Terms of Use and Privacy Policy. World Heritage Encyclopedia™ is a registered trademark of the World Public Library Association, a non-profit organization.
 


Copyright © World Library Foundation. All rights reserved. eBooks from Project Gutenberg are sponsored by the World Library Foundation,
a 501c(4) Member's Support Non-Profit Organization, and is NOT affiliated with any governmental agency or department.