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Gold/Mining/Energy : Int'l Thunderbird Gaming (INB) -- Ignore unavailable to you. Want to Upgrade?

To: R. Gracie who wrote (458)	6/2/1998 5:56:00 PM
From: R. Gracie	Read Replies (1) \| Respond to of 603

NEWS RELEASE TRANSMITTED BY CANADIAN CORPORATE NEWS FOR: INTERNATIONAL THUNDERBIRD GAMING CORPORATIONVSE, TSE SYMBOL: INB JUNE 1, 1998International Thunderbird Gaming Corp. - First QuarterResults VANCOUVER, BRITISH COLUMBIA--International Thunderbird Gaming Corporation (TSE and VSE - INB) announces the Company's operating results for the first quarter ended March 31, 1998. Subsequent events and updates were reported in previous press releases. The Company's operating results for the first quarter ended March 31, 1998 reflect the continued uncertainty caused by the Pala Tribe Gaming Compact and possible changes to the South Carolina gaming laws combined with the costs of continued international expansion. Total revenues for the three months ended March 31, 1998 were $6.4 million compared to $7.9 million reflecting a 19.2 percent decrease from the same period in 1997. The decrease is attributable to the drop in revenues from domestic product sales in both the California and South Carolina markets. Revenues from product sales were 4.2 percent compared to 22.8 percent of sales in the first quarter of 1997. Revenues from gaming operations, comparing the two quarters, were essentially unchanged. Earnings from operations was 10.8 percent compared to 24.8 percent for the same period in 1997. Net income was 6.8 percent compared to 17.8 percent for the same period in 1997. This decrease in earnings from operations and net income is attributable to the increased costs of wages, travel and professional fees for the expansion of international operations; and the increase in costs of professional and financing fees for the convertible debenture financing the Company ceased pursuing in March of 1998. Fully diluted earnings per share were $0.02 compared to $0.06 for the first three months of 1997. As at May 12, 1998, the California Indian Tribes with which the Company does business, have not elected to sign the "Pala Tribe Compact." The ability for the tribes to enter into negotiations with the state of California will end on May 13, 1998. Beyond this date, the tribes are subject to enforcement action by the U.S. Attorneys. Any enforcement action on these tribes will adversely affect the Company. The South Carolina supreme court is currently considering a decision on a class action lawsuit against the gaming industry to ban video poker considering such machines as lottery devices which are illegal in the state. Legal experts expect the gaming industry will prevail, however, the outcome is uncertain. There is also action in the state's legislature. At this point it is our understanding that the legislature will withhold further debate until a decision is reached by the supreme court. In January 1998, the Company successfully acquired the gaming licenses to four casinos in Panama, the operations of which it intends to take over in June 1998. The Panama acquisition furthers the Company's goal of becoming a leader in the "emerging market" gaming industry. A successful remodeling of Casino Merengue in Aruba has just been completed by the Company's signage division, Calsino. Casino Merengue is poised to become one of the highest caliber casino operations in the Caribbean. The Company's lottery terminals in Guatemala became operational in February and reflect improving results through the end of the quarter. Through the Company's subsidiary, Calsino, opportunities are becoming apparent in both casino and commercial signage. Calsino gives the company greater diversification within and outside the casino industry, while at the same time, lends the Company design expertise to the start up of casino operations in foreign markets. Although conditions in California and South Carolina create some uncertainty, the Company's investment in the Caribbean and Latin America is beginning to show results. The Company has very positive expectations of its existing operations in Guatemala and Aruba and the upcoming opening of our operations in Panama. As management looks forward to the future, we remain dedicated to International Thunderbird's drive to increase revenues and efficiently raise shareholders' value. We will continue to focus on international gaming markets for expansion and opportunities in the signage industry for diversification. A copy of the quarterly report was provided to each security holder who requested it. Information on subsequent events and updates were reported in press releases #980510 and #980511. International Thunderbird Gaming Corporation is an owner and operator of international gaming and lottery facilities and a supplier of gaming terminals and systems. Additional information about the Company is available on its World Wide Web site at www.intltbird.com. Summary consolidated financial statements of the Company follow. On behalf of the Board of Directors Jack R. Mitchell, President and CEO