AGTI TO OPEN FIRST OF SEVERAL SLOT PARLORS IN HARBIN THE FIRST TO GENERATE $2,900,000 ANNUALLY
AGTI will own a 50% interest in the first location with the remaining interest going to its local partners and managers which interests are vested only after all of AGTI's capital is returned.
AGTI has paid approximately USD $180,000 for all lease, licensing and renovation costs and has financed the slot machines that will be installed at the site.
The slot machines will be assembled in AGTI's recently announced manufacturing facility in Gaoming thereby significantly reducing import duties. The slot machines are scheduled to arrive in Harbin within 45 days and commence operations immediately following installations.
Harbin, a city of approximately 6 million people, is well known for slot machines where some 300 parlors enjoy an active business. While the market is not close to saturation AGTI's competitive edge to the present competition is that it has secured what locals consider to be one of the best locations in Harbin.
Preliminary forecasts show AGTI will generate annually approximately USD $2,900,000 from the 175 to 200 machines that are being installed. The premise will operate seven days a week 24 hours per day.
AGTI is presently negotiating for two other locations which are significantly larger in size and assuming the first location proceeds as planned, AGTI plans to have several locations in operation in Harbin to constitute an economic business unit. AGTI anticipates holding a greater than 50% interest in the next locations.
"This type of opportunity doesn't come along very often, where the economics of the project show a return of capital in just under three months," says Robert Silzer, chairman, president and chief executive officer of AGTI who also explained, "Already we are in negotiations to open two additional clubs in Harbin. We see this project as a test market and if it is successful in Harbin, we will then expand to other large cities in China." Silzer concluded.
Advanced Gaming Technology Inc. designs manufactures, markets, and services patented and proprietary gaming systems, including technologically advanced electronic bingo systems. Additionally, the company is a developer of international casino and gaming projects in China, the Philippines, the United Kingdom and Europe. Its stock trades under the symbol "AGTI" on the Nasdaq Electronic Bulletin Board.
-0- 3/14/95 R
/CONTACT: John Craig of Advanced Gaming Technology, 604-68GAMES/
CO: Advanced Gaming Technology Inc. ST: British Columbia IN: ENT SU:
VL-MO -- LA001B -- 6999 03/15/95 09:03 EST
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|Date:||Mar 15, 1995|
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