SFX Entertainment shares fell as much as 12.5 percent on news of stranded fans and upcoming refunds.
SFX Entertainment shares fell 7.5 percent on Monday on reports that heavy rainfall created untenable conditions for many attendees of the TomorrowWorld festival in Chattahoochee Hills, a rural area between Atlanta and the Alabama border. The costs of refunds and lost concessions from this major event -- expected to draw 190,000 people over three days -- could damage the third-quarter earnings of the EDM promoter.
On Sunday, SFX announced in a statement the festival would be accessible only to on-site campers and refunds would be made available to those affected. Not only is the promoter refunding the cost of Sunday tickets (plus service, shipping and payment fees) it is also refunding parking, shuttle, locker costs, as well as the amount attendees paid to upgrade to VIP-level experiences.