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Non-Tech : NORE - High Tech Bingo Equipment - Online Bingo -- Ignore unavailable to you. Want to Upgrade?

To: george eberting who wrote (7676)	3/7/2001 12:54:03 PM
From: Elizabeth A Rice	Read Replies (1) \| Respond to of 7701

NorAm Gaming & Entertainment Inc. Enters Into Agreement to Purchase 45% Interest in Honduras Slot Operation for $1.6 Million MIAMI--(BUSINESS WIRE)--March 7, 2001--NorAm Gaming & Entertainment Inc. (OTCBB:NORE - news) Julius Csurgo, CEO, announced today that the company has entered into an agreement to purchase a 45% interest in Casino 777 from Catuca S.A. for $1.6 million. The agreement is structured as a convertible debenture with conversion rights up to 3 years to a Preferred Series of stock. The conversion price is set at $2.00 in year one, $5.00 in year two and $7.50 in year three. This Preferred Series has a 10 to 1 conversion ratio of common stock, but cannot be converted to common stock for two years from the date of conversion to preferred. ``Casino 777 is the company's first `Slotsino.' We consulted on this project and since it's grand opening Casino 777 has exceeded revenue projections. This transaction will bring immediate revenues to the company since this `Slotsino' has been operating for over 3 months,'' said Csurgo. Casino 777, located in Tegucigalpa, the capital city of Honduras, is an upscale boutique ``Slotsino'' with 100 slot machines in operation and also offering food and beverage services. Csurgo added, ``With gross revenues projected to be around $2.5 million annually we feel that we can bring 15 percent to the bottom line for NorAm. If all goes as planned this transaction could mean $0.01 - $0.015 (EPS). This is in line with our business plan which projects that every 100 unit `Slotsino' the company acquires brings a minimum of $0.01 EPS based on the current common stock that is outstanding.'' The closing of the transaction is expected to take place within 30 days. NorAm Gaming & Entertainment is a multi-faceted gaming company concentrating on the Latin American marketplace. The statement contained in this release, which are not historical facts, contain forward looking statements with respect to plans, projections or future performance of the company, the occurrence of which involves certain risk and uncertainty that could cause the company's actual results to differ materially from expected results. Such risk include the timing of implementation of the scope and success of the program described here.