NorAm Gaming & Entertainment Inc., Corporate and Operations Update
MIAMI, Sept. 20 /PRNewswire/ -- NorAm Gaming and Entertainment's (OTC Bulletin Board: NORE -
news) new CEO, Julius Csurgo referenced the current projects as follows: ``I am extremely
excited about the prospects for NorAm and the projects we are working on, the potential they
present should benefit the company greatly.''
``The El Salvador contract is expected to close the first week in October. We are presently finishing a private placement for
capital to purchase the 200 machines required for the Airport slot machine contract. These machines are expected to be fully
operational by the end of October and conservatively should be generating about $30.00 US per day/per machine. We expect
to generate around $50,000.00 per month, after operational expenses.
``The Grande Resorts acquisition in now in the last aspects of the Company's due diligence, with most legal documents being
prepared to close this transaction by October 15. This acquisition will result in a significant income stream generating
approximately $1.2 million of net revenue per year to the Company. Due to confidentiality agreements signed by the parties,
NorAm cannot reveal specific details concerning the transaction; however, we can say that the acquisition will bring a
significant interest in 6 operating casinos in the region and should provide the Company a solid base to build from.''
Mr. Csurgo outlined the restructuring of the Company into these distinct operating divisions along with specific management for
each division. ``The Company's interests will be comprised of gaming, Internet Projects and real estate acquisition. The real
estate division will focus predominantly in resort areas with an eye on casino facilities or obtain management contracts, with a
view toward re-branding the facilities under its Grande Resorts theme.''
The Company is presently in negotiations to purchase Online Casino and Sports Book operations to launch its Internet Division.
NorAm also intends to build and establish a growing network of online affiliates where possible.
With regard to the Internet project already announced, Mr. Csurgo said, ``Previous announcements concerning our Internet
Charity site are still intended to be completed and will move forward along with our expansion program. The growth potential
for Bingo in the Central and South American market is already very large and we are presently looking to acquire two
operations within the region.''
VLTs (Video Lottery Terminals), also represent a major growth potential for the Company. With the placement of 200 machines
in El Salvador, 650 machines for the Grande Resorts and negotiations pending for the installation of 900 additional units over
the next 6 months, the Company will be well positioned to generate significant VLT revenues starting in 2001.
The Company is also actively raising capital for investment and has met with several accredited investors in an attempt to
raise US $5,000,000.00; to finance growth plans over the next 6 months. |
