American Wagering Completes Sale of Hotel
PR Newswire - July 07, 1999 09:00
LAS VEGAS, July 7 /PRNewswire/ -- American Wagering, Inc. (Nasdaq: BETM) today announced the completion of the sale of the Company's Howard Johnson Hotel and Casino located in Las Vegas to Gold Rush Casino and Hotel LLC. The selling price was approximately $4.3 million in cash and the Company expects to record a gain of approximately $300,000 on their second quarter financial results. The closing of this transaction also ends the litigation the Company had experienced with the landlord of the property in regards to the ground lease.
Commenting on the transaction, American Wagering, Inc. CEO Victor Salerno said, "The completion of the sale of our hotel allows the Company to focus entirely on the growth of the sports betting business as well as the launch of new products. This sale firms up the Company's balance sheet, allows us to record a gain on our financial results and at the same time, we will continue to lease the casino from Gold Rush Casino and Hotel LLC for a period of 2 years."
American Wagering, Inc. owns and operates Leroy's Horse and Sports Place, the licensed bookmaker with the largest number of sports book locations (45) in the state of Nevada; CBS, the dominant supplier of sports and race book equipment and software in Nevada and creator and operator of Mega$ports. The Company also operates a 150 room hotel/casino complex in Las Vegas and operates an Australian subsidiary to operate Mega$ports on the Internet.
The statements contained in this release, which are not historical facts contain forward-looking information with respect to plans, projections or future performance of American Wagering, Inc., the occurrence of which involves certain risks and uncertainties, including that American Wagering takes financial risks on the outcome of sporting events as a principal betting against the patrons; an increase or decrease in handle is not necessarily indicative of an increase or decrease in revenues or profits. Investors should also examine other uncertainties detailed in American Wagering's filings with the SEC.
SOURCE American Wagering, Inc.
/CONTACT: Bob Ciunci of American Wagering, Inc., 702-735-5529; or Alan
Woinski of Gaming Venture Corp., U.S.A., 201-947-4642/
/Web site: casinocenter.com
(BETM)
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