Sonics relocation terms

[John]

Sonic Corporation is the parent company.

Sonic Industries Inc. is the franchising subsidary for Sonic Corp.

...and Bennett doesn't own Oklahoma Tower & Leadership Square anymore. Roy Oliver purchased both of them from Bennett for around $90MM in 2005.

[Easy180]

Sonic Corporation is the parent company.

Sonic Industries Inc. is the franchising subsidary for Sonic Corp.

...and Bennett doesn't own Oklahoma Tower & Leadership Square anymore. Roy Oliver purchased both of them from Bennett for around $90MM in 2005.

So unless they are looking to start franchising arenas I guess it would be Sonic Corp

[jbrown84]

Sonic Corporation is the parent company.

Sonic Industries Inc. is the franchising subsidary for Sonic Corp.

I'd like to see some proof of that.

[Easy180]

Sonic Industries Inc. (Oklahoma City, Oklahoma)

Private Subsidiary, Headquarters Location
300 Johnny Bench Dr., Ste. 300, Oklahoma CityOK, United States
(405)280-7654, (405)280-7568 fax, SONIC — America's Drive-In!
Primary SIC: Patent Owners And Lessors, Primary NAICS: Owners and Lessors of Other Non-Financial Assets
Description: Finance: Franchiser of drive-in restaurants

[John]

I'd like to see some proof of that.

From their website...

SONIC Corp., an Oklahoma City-based, publicly held company, is the nation's largest chain of drive-in fast-food restaurants with approximately 3,200 drive-ins located coast to coast and Mexico.

SONIC Industries, Inc.
Franchise Sales Department
300 Johnny Bench Drive
Oklahoma City, OK 73104

[jbrown84]

So clearly the company in question is, indeed, Sonic Corp.

[John]

So clearly the company in question is, indeed, Sonic Corp.

Correct.

[Patrick]

Hmmm Score one for mranderson! LOL!

[jbrown84]

Hmmm Score one for mranderson! LOL!

no, andy was calling it Sonic Industries, which is a subsidiary, not the company.

That's like saying OKC's boathouse is named after Chesapeake Land Company.

[Saberman]

According to Sonic Drive-in history page 2:

SONIC — History

SONIC Dons A Suit
In 1973, Troy, Marvin and Matt plus seven key principal franchise owners formed and restructured the company into SONIC® Systems of America, later changing the name to SONIC® Industries. They became the officers and board of directors and purchased the SONIC® name, slogan, trademark and logos from Troy, and the supply company from Marvin and Matt. They also offered each store operator the option to buy 1250 shares of stock at $1 per share.

[jbrown84]

But that is no longer the name of the parent company.

[kmf563]

I'm lost - is this even a part of Sonic's plan? Do they have the ability to place these kind of demands? I should re-read. And it kind of IS Sonic Industries.....

SONIC Corp. Divisions (SONIC Industries Inc. and SONIC Restaurants, Inc.)

[JavaDaves]

I'm lost - is this even a part of Sonic's plan? Do they have the ability to place these kind of demands? I should re-read. And it kind of IS Sonic Industries.....

SONIC Corp. Divisions (SONIC Industries Inc. and SONIC Restaurants, Inc.)

No, Sonic hasn't even mentioned this. This is all dreaming on these people's part.

[Intrepid]

I went to Yahoo Finance and typed in the symbol SONC and this the profile:

SONC: Profile for SONIC CP - Yahoo! Finance

Sonic Corp.
300 Johnny Bench Drive
Oklahoma City, OK 73104
United States - Map
Phone: 405-225-5000
Fax: 405-280-7568
Web Site: SONIC — America's Drive-In!

Index Membership: S&P 600 SmallCap
S&P 1500 Super Comp
Sector: Services
Industry: Restaurants
Full Time Employees: 332

Sonic Corp., together with its subsidiaries, engages in the operation and franchising of a chain of quick-service drive-in restaurants in the United States and Mexico. As of August 31, 2006, the company operated 3,188 Sonic Drive-Ins, including 623 partner drive-ins and 2,565 franchise drive-ins principally in the southern two-thirds of the United States. It also sells and leases signs and real estate, as well as owns a minority interest in various franchise drive-ins. Sonic Corp. was founded in 1959 and is headquartered in Oklahoma City, Oklahoma.

[betts]

I think when you look at what kinds of incentives need to be offered the owners of a professional team, you have to understand the market. Professional teams are scarce, and there are usually multiple cities competing for them. The ones that don't offer incentives usually don't get them. It's not a buyer's market. Oklahoma City is just barely an adequate size to support a team, and so we don't have a huge television market. We will need to offer other things to offset it's absence.

Clay Bennett and his group paid $350 million dollars for their team. Costs to move the team and end the lease in Seattle have been estimated at $75 to $100 million dollars. Despite that, in a good year they may hope to net $15 million dollars, which is about a 4% return on their investment. A bad year may put the team in the red. The team they purchased is designed to entertain everyone, not just the owners. So, the billionaire owners aren't just looking for a handout. They are looking for help to make a team marginally profitable. I think it's perfectly reasonable for our city to help defray the cost of the team.

If you look at two cities that started with NBA teams...Phoenix and Charlotte....both of them had big surges in growth after the team was in place. An NBA team gives your city cachet, and it puts it in the public eye night after night. I think there are many intagibles besides simple improvement in quality of life that a professional team brings to a city.