Shares of Vail Resorts, Inc. (MTN, Financial), the largest U.S. operator of ski resorts, decreased in the first quarter, hurt by poor snow conditions in Tahoe. Management does not believe the poor conditions in California will affect season pass sales for its Colorado focused business in the 2014/15 season and considers the earnings hit to be a one-time event. Season pass sales remain strong, with the company continuing to price a mid-single digit increase every year. An opportunity remains to improve earnings over the summer and favorably resolve litigation at its Canyons resort in Utah. (David Baron)
From Baron Funds' first quarter 2014 letter to shareholders.
