...February 9, 2026 This report does not constitute a rating action. We expect Alterra's skier visitation will decline 5%-10% in the 2025-2026 ski season. We believe record-low snowfall in the western U.S. through January 2026, especially within the Rockies, has depressed skier visitation at U.S. ski resorts. While Alterra has not publicly reported its season-to-date skier visitation metrics, we expect visitation will be similar to that of its closest peer, Vail Resorts Inc., which reported a 20% decline in skier visitation season-to-date through Jan. 4, 2026. Nonetheless, we believe revenue was significantly less affected because we assume Alterra derives a significant portion of its revenue from its Ikon pass products, which it sells in advance of the ski season. Alterra's related deferred revenue is generally recognized ratably in the period based on historical usage patterns in each respective quarter, which partly mitigates the risk of weather variability. We expect Alterra's S&P Global...
