I asked this same question over at MLS, got some interesting replies. I think the most revealing was from Decalman, its the text of the letter sent to exhibitors regarding the demise of the GATS:
Hobbies Unlimited
Great Western and Atlantic Train Shows
PO Box 489
Kernville, CA
Dear Exhibitor ,
After an intensive financial analysis, Hobbies Unlimited has determined to terminate the Great Western and Atlantic Train Shows. We have concluded that there are far better opportunities for Hobbies Unlimited than sponsoring Model Train Shows. Hobbies Unlimited will be focusing on higher growth hobbies than model railroading and higher margin segments than the consumer show business. We will soon be relocating Hobbies Unlimited headquarters out of California to a more business friendly state.
Neither John Geoghegan nor Hobbies Unlimited will be involved in any future train show business.
Thank you for your past support. If you are interested in exhibiting at a train show we suggest you contact any of the train shows listed on our web site www.gwaats.com
Thank you for your cooperation in this matter.
Sincerely
John Geoghegan
Sounds like someone got real burned by something.
Heres a link to the rest of the replies
http://www.mylargescale.com/forum/topic.asp?TOPIC_ID=38643