PDSG - Mover on this 19.1mill Settlement News...
PDS Gaming Announces Receipt of $19.1 Million Settlement With The Resort at Summerlin
LAS VEGAS, Dec. 27 /PRNewswire/ -- PDS Gaming Corporation-Nevada ("PDS"),
a wholly owned corporate subsidiary of PDS Gaming Corporation
(Nasdaq: "PDSG"), a diversified gaming company that finances, leases, sells,
manufactures and refurbishes gaming equipment for the casino industry and
operates gaming facilities, today announced that the definitive settlement it
previously reached with The Resort at Summerlin, Limited Partnership and The
Resort at Summerlin, Inc. ("Resort at Summerlin") has become final and funds
were received today from the bankruptcy estate.
In October 2001, the Resort at Summerlin filed suit against PDS in Federal
Bankruptcy Court, disputing the characterization of certain leases held by PDS
for much of the resort's gaming equipment and other personal property. On
November 21, 2001, an agreement was reached between the parties ("Settlement
Agreement") whereby PDS would receive $19.1 million for the sale of its leased
equipment and for full resolution of all claims by either party. The
Settlement Agreement was approved and entered into record by the Federal
Bankruptcy Court on Friday, December 14, 2001. The approval was subject to a
statutory ten-day appeal process that expired on December 24, 2001.
"The settlement is an acceptable resolution of this matter," stated Johan
Finley, Chief Executive Officer of PDS Gaming Corporation. "The expense and
exposure associated with allowing this matter to go to trial would have been
significant. We are pleased that the case is behind us and we can move
forward with our strategy to increase recurring revenues through
diversification within the gaming industry."
PDS Gaming Corporation provides customized finance and leasing solutions,
used gaming devices and digital table game products to the casino industry in
the United States. The Company also operates The Gambler casino in Reno,
Nevada and plans to acquire additional gaming facilities. PDS Gaming
Corporation is headquartered in Las Vegas, Nevada, and its common stock trades
on The Nasdaq Stock Market under the symbol "PDSG."
This press release includes statements that may constitute
"forward-looking" statements, usually containing the words "believe,"
"estimate," "project," "expect" or similar expressions. These statements are
made pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Forward-looking statements inherently involve
risks and uncertainties that could cause actual results to differ materially
from the forward-looking statements. Factors that would cause or contribute
to such differences include, but are not limited to, changes in regulation of
the gaming industry, continued acceptance of the Company's products and
services in the marketplace, competitive factors, dependence upon third-party
vendors, changes in interest rates, and other risks detailed in the Company's
periodic report filings with the Securities and Exchange Commission. By
making these forward-looking statements, the Company undertakes no obligation
to update these statements for revisions or changes after the date of this
release.
For additional information, please contact:
Martha Vlcek, Chief Financial Officer of PDS Gaming Corporation
at (702) 736-0700
Or
RJ Falkner & Company, Investor Relations Counsel at (800) 377-9893 or via
e-mail at info@rjfalkner.com |
