The News Release is out and looks good:
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Applied Gaming enters into supplemental warrant indenture
Applied Gaming Solutions of Canada Inc AGC
Shares issued 13,741,440 May 27 close $1.20
Fri 28 May 99 News Release
Mr. David Aftergood reports Applied Gaming Solutions of Canada has recently entered into a supplemental warrant indenture to ensure that the warrant indenture and the warrant certificate issued pursuant to the company's prospectus dated Nov. 12,1998, and the amendment to the prospectus dated Jan. 11, 1999, reflect the disclosure in the prospectus.
The purpose of the amendments is to clarify that the warrants are exercisable at an exercise price of $1 until July 12, 1999, and thereafter at a price of $1.25 until the expiry of the warrants on Jan. 11, 2000. The special warrant indenture applies to the warrants that were issued as part of the recently completed public offering, which was closed on Jan.28, 1999.
Progress Report on the Hanoi
As well, the company is pleased to report the progress to date in Hanoi,Vietnam. The central computer room has been completed and all the equipment has been installed and tested. All of the Ovation retail terminals are in place and have been wired into the local phone system. The user acceptance testing of the entire on-line system began last week and is in its final stages. The company estimates that the user acceptance testing should take no more than a couple of weeks.
The television advertising campaign that began in mid-April is currently geared toward educating the Vietnamese players on how to play the new lottery games. As well, the commercials inform the general public of the prize potential, which is considerably larger than the present manual paper lottery program. The final phase of advertising has begun and is geared toward building up excitement around the launch date.
The local retailers have completed the training course on the Ovation lottery terminals. The retailers are now enrolled in a refresher course, which when finished will complete all the necessary training in order to operate the Ovation retail terminals.
A launch ceremony is being planned by the CLCH and AGS for the inaugural first ticket printed off the system as well as a larger event for the first Loto 6/36 draw. The CLCH and AGS are arranging for Vietnamese and Canadian dignitaries as well as the media to be present for both events.
Other News
On a further note, Automated Wagering International Inc., (AWI), has exercised its option under the terms of its amended sales and service agreement with AGS dated Jan. 29, 1999, to receive payment for outstanding balances calculated as a percentage of gross revenues payable to AGS by the Hanoi lottery. AGS anticipates the principal amount owing to AWI will be paid by the end of the 1999 fiscal year, after which AWI will participate in these revenues at a reduced percentage.
"The execution of this option reflects AWI's continued confidence in the cash flow potential of the lottery and allows AGS greater financial flexibility in pursuit of its expansion plan," said David Aftergood, president and chief executive officer of AGS.
In an unrelated development, to date the company has not yet received the first instalment of the proceeds from the sale of Quantum Data Supplies Ltd. The amount of $175,000 was due on Feb. 28, 1999, and AGS management is uncertain as to its collectibility.
(c) Copyright 1999 Canjex Publishing Ltd.
canada-stockwatch.com
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Very interesting last paragraph...
Later...Gator
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