Item 8.01 Other Matters.
On June 23, 2008, the Company signed a non-binding Letter of Intent with Casinos Austria International Holding, GMBH ("CAI") to form a joint venture partnership to develop, build and operate a destination casino resort at the Company's Diamondhead, Mississippi property. On September 22, 2008, the Company, at the request of CAI, extended the terms of the Letter of Intent through December 21, 2008. On November 4, 2008, CAI informed the Company that, although it still believed in the project and hoped to continue as soon as the economic situation improved and allowed for acceptable financing for the project, it was ceasing its activities with respect to the project until such time as the market recovered and successful financing for the project was available. On December 19, 2008, CAI requested that the Company extend the terms of the Letter of Intent through February 21, 2009 and the Company agreed to the request. On February 19, 2009, the Company informed CAI that it would not be extending the terms of the Letter of Intent following its expiration date. On February 23, 2009, CAI notified the Company that it understood the Company's position and was thankful for its continuous support. CAI further informed the Company that it was still keenly interested in developing the project with the Company, that unfortunately, the financial markets had still not changed for the better, and that regardless of the world's crisis, it was still looking for financing for the project. In the meantime, the two companies intend to stay in communication. |
