Printer Friendly

AMERICAN ENTERPRISES REPORTS FIRST QUARTER EARNINGS; MANAGEMENT FEES DOUBLE FROM CASINO OPERATIONS

 LAS VEGAS, Nov. 24 /PRNewswire/ -- American Enterprises Inc. (NASDAQ: ACES) today reported significantly increased revenues and net income for the first quarter ended Oct. 31, 1993. The company has management contracts with two Indian casinos in California.
 For the first quarter of fiscal 1994, American Enterprises reported casino management fee revenues of $370,000, doubling revenues of $185,000 for the first quarter of fiscal 1993. Management is in the early stages of making operational changes to increase revenues, contain expenses and improve profitability of the Cher-Ae Heights Casino, which is in Trinidad, Calif. Consequently, a substantial portion of the management fees for the period were derived from the company's contract with the Table Mountain Casino, located 17 miles north of Fresno, Calif.
 Net income for the quarter ended Oct. 31, 1993 was $222,000, or $0.02 per share, compared with net income of $33,000 for the same period last year. There were 14,747,976 weighted average shares outstanding in the first quarter of fiscal 1994.
 Ronald J. Tassinari, president of American Enterprises, said the current expansion at the Table Mountain Casino will increase the 33,000 square foot facility to in excess of 70,000 square feet, and is expected to be completed in early 1994. "Once the expansion is finished, Table Mountain will be the largest casino in northern California."
 Tassinari said the Trinidad casino is being renovated to include a card room. "We are currently hiring and training card dealers. We expect to have an official opening of the card room by Jan. 31, 1994.
 Future plans for both casinos include the addition of games allowed under Class III gaming. "We hope to see progress on Class III gaming between the State of California and the tribes in 1994," Tassinari said. Although the State of California is appealing a March 1993 court ruling favoring the tribes and expanded gaming, negotiations between the two groups continue, according to Tassinari, in order to obtain a compact with the state which would permit expanded casino gaming.
 The company's financial condition continues to remain sound at Oct. 31, 1993, with assets totalling $3.1 million, $73,000 in current liabilities, no long-term debt and shareholders' equity of $3 million.
 During the quarter, the company employed Robert Gross as director of Casino Operations. He will assist with the oversight of the Table Mountain and Cher-Ae Heights casinos. Gross has over 25 years of experience in the casino industry. "Bob is a great addition to our team," Tassinari said, "He is preparing a complete complement of documents for casino operations. This will expedite the setup process with other tribes and groups as we seek to expand the number of management contracts in the future. We look forward to his contributions."
 The company is actively pursuing similar management consulting contracts and/or ownership of casinos and other gaming opportunities with Indian tribes and other casino and gaming ventures outside of the Indian community.
 -0- 11/24/93
 /CONTACT: Ron Tassinari of American Enterprises, 702-896-8888; or Elizabeth Truax (media) or Sue Caulton (analysts), of the Financial Relations Board, 415-986-1591, for American Enterprises/
 (ACES)


CO: American Enterprises Inc. ST: California, Nevada IN: CNO SU: ERN

TM -- SF004 -- 7537 11/24/93 09:01 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Nov 24, 1993
Words:541
Previous Article:SYNTELLECT APPOINTS NEW VICE PRESIDENT, DOMESTIC SALES AND CORPORATE MARKETING
Next Article:CF INCOME PARTNERS ANNOUNCES AGREEMENT WITH AN AFFILIATE OF JMB REALTY CORP. AND APOLLO REAL ESTATE ADVISORS TO SELL PARTNERSHIP ASSETS
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters