Casinos Austria International Holding, GMBH Extends Letter of Intent with Diamondhead Casino Corporation
Monday September 22, 12:06 pm ET
LARGO, Fla., Sept. 22 /PRNewswire/ -- Diamondhead Casino Corporation (OTC Bulletin Board: DHCC - News; the "Company") announced today that it had extended the terms of a Letter of Intent with Casinos Austria International Holding, GMBH ("Casinos Austria"), to form a joint venture partnership to develop, build and operate a destination casino resort in Diamondhead, Mississippi. The non-binding Letter of Intent, which expired on September 21, 2008, was extended through December 21, 2008. While Casinos Austria has completed substantial due diligence and is pleased with the results and findings obtained to date, it requires additional time to complete its remaining due diligence.
Paul Herzfeld, Chief Executive Officer of Casinos Austria, commenting on the extension stated: "We are excited about the prospects for the Diamondhead site and are in the midst of conducting our legal, engineering and related due diligence. We have a long history and long working relationship with the Company and its current President and CFO which gives us an added level of comfort. However, recent hurricanes and adverse weather conditions in the area have interfered with our ability to conduct the required due diligence."
The joint venture, if consummated, would cover fifty acres within a 404-acre tract of land owned by Mississippi Gaming Corporation, a wholly-owned subsidiary of the Company. The Diamondhead tract fronts Interstate 10 for approximately two miles and the Bay of St. Louis for approximately two miles and is located in Hancock County, Mississippi. The property is debt-free and lien-free. The property is zoned as a Special Use District-Waterfront Gaming District by Hancock County. On October 17, 2005, following Hurricane Katrina, Mississippi passed legislation allowing casinos to be built up to 800 hundred feet from the mean high water line of certain bodies of water. The new law applies to the Diamondhead property.
About Casinos Austria
The origins of the casino industry in Austria date back to 1934, when the first casino was opened in Baden near Vienna, closely followed by further casinos across the country. Casinos Austria today owns and operates the twelve casinos in Austria.
Following its initial success in the Austrian market, Casinos Austria was approached by the Dutch Government in 1976 and entrusted with establishing a casino industry in The Netherlands. This project was the starting point for a new success story: Casinos Austria International (CAI). Originally founded in 1977 to consolidate the company's international activities, CAI is today a leading player in the global gaming industry, having realized over 215 casino projects in more than 35 different countries, including 80 casinos on board cruise ships on all seven seas. In 2007, CAI casinos welcomed 19.9 million guests.
Worldwide, the Casinos Austria Group now operates casinos in 18 different countries as well as on board international cruise ships. Experience, integrity, respectability, financial stability and a multicultural team are all important contributing factors to CAI's continued success. The Casinos Austria Group currently employs over 13,000 people from 35 different nations around the globe. The group turnover in 2007 amounted to EUR 3.5 billion.
CAI specializes in casino expertise and thereby offers an extensive portfolio of know-how and services for all phases of casino development from evaluation and planning through to building and management. Our casino projects are considered to be "traditionally innovative" and are based on the proven sound combination of traditional values and innovative concepts.
Casinos Austria Group's future plans include continued expansion together with strengthening of its existing international presence as well as the establishment of new casinos in markets that plan to introduce legal gaming.
About Diamondhead Casino Corporation
Diamondhead Casino Corporation "Diamondhead"), through its wholly-owned subsidiary, Mississippi Gaming Corporation, owns and intends to develop, in cooperation with a joint venture partner or partners, approximately 404 acres of land in Diamondhead, Mississippi. The Company intends to develop the property as a destination casino resort and hotel with condominiums and other amenities. |
