American Wagering Completes Acquisition
American Wagering, Inc. (OTC BB:BETM.OB) (the "Company") today announced that the Company's wholly owned subsidiary AWI Gaming, Inc. ("AWIG") completed the acquisition of, and commenced operations at, Sturgeon's Inn & Casino in Lovelock, Nevada ("Sturgeon's") on March 1, 2006. The acquisition of Sturgeon's is expected to be immediately accretive to the Company's fiscal 2007 operating results.
Victor Salerno, the Company's CEO and President, said, "We are excited about closing a strategically important acquisition that helps us to both diversify and provide us with strong growth potential. We expect the Sturgeon's operation will help us achieve both near- and long-term earnings accretion and will help pave the way to future hotel/casino acquisitions."
Salerno continued, "Our enthusiasm for acquiring Sturgeon's is driven by a desire to diversify and solidify our earnings, as well as a desire for cross-selling and promotional opportunities among our various subsidiaries. In addition, we are optimistic that already-identified cost reductions and cost synergies among our subsidiaries will improve our earnings and cash flow in fiscal 2007."
Bruce Dewing, President of AWIG, said, "Lovelock is a vibrant community expected to increase in population dramatically over the next several years. We are proud to be the newest member of the Lovelock community and look forward to providing a complete entertainment experience with unparalleled gaming and dining choices combined with superior service. We hope to model future hotel/casino acquisitions on our experiences and successes at Sturgeon's."
About Sturgeon's Inn & Casino
Sturgeon's is a full service hotel, casino and restaurant operation located adjacent to Interstate 80 in Lovelock, Nevada (approximately 90 miles east of Reno, Nevada). The facility contains over 65,000 square feet including the following:
-- Casino area with 124 gaming devices, bar, cashier's cage, count rooms, vault area, video arcade, lounge area and public restrooms.
-- Restaurant area with total seating of 118, full kitchen, dish wash area, private dining or meeting area, storage areas and cashier's counter.
-- Motel with 74 units, covered porte-cochere, registration desk and lobby, indoor swimming pool, housekeeping and storage areas, laundry room and manager's apartment.
-- Banquet room known as the "Center Club" with stage, light and sound equipment, chairs, tables and storage areas.
The main facility is located on 3.580 acres, which includes the above facilities plus paved public parking. Adjacent to the main parcel is a gravel parking lot of 0.432 acres, bringing the total land area to 4.012 acres.