On Monday Late Apex Partners LLC, which holds shares in Vail Resorts, sent a letter to the company’s board outlining several demands.
The letter calls for the ouster of CEO Kirsten Lynch and CFO Angela Korch. It also says Vail should replace its board and its executive chairman, Rob Katz, should resign.
Katz was Vail’s longtime CEO who transformed the ski industry by introducing the Epic Pass and going on a wave of acquisitions, including Park City Mountain.
The letter says the company must hire a proven CEO with a “verifiable track record of leadership and innovation to reset the path forward.”
The financial firm’s letter says Vail Resorts is “fixable,” but claims the board must act immediately to “hold management accountable.”
The letter also claims that the core skiing community has labeled Vail the “Evil Empire.” It says the company's recent decisions have “destroyed brand value.”
Late Apex also criticized the management of Vail’s balance sheet and its capital allocation. It also says Vail should add resorts to the Epic Pass through partnerships.
The move follows a 13-day strike by Park City Mountain ski patrollers during the holiday season. Skiers and riders upset about the on-mountain conditions during the strike have since filed a class-action lawsuit.
The lawsuit claims that less than 20% of the mountain was open during the strike, which left guests who spent thousands on holiday ski vacations in long lift lines, waiting for up to 3 hours at times.
Late Apex Partners said its stake in Vail Resorts is the firm’s single largest position.
In December Vail Resorts reported that for the first time ever, it sold fewer Epic Passes than it did the year before. The company’s stock was trading up 4% Monday.
