LARGO, Fla., March 31, 2011 /PRNewswire/ -- Diamondhead Casino
Corporation (OTCBB: DHCC) (the "Company") entered into a Letter of
Intent on December 10, 2010, to sell
twenty-five acres of its Diamondhead,
Mississippi property to Phoenix Gaming and Entertainment,
LLC ("Phoenix"), to be used, in
part, for the construction of a casino. The Agreement was scheduled
to expire on April 1, 2011 if no
Definitive Agreement was in place by that date. Inasmuch as
Phoenix has been unable to arrange
financing for its proposed project, the Letter of Intent has
expired and the time frame to reach a Definitive Agreement will not
be extended further. However, Phoenix remains interested in reaching a
Definitive Agreement with DHCC and the parties will remain in
discussion. Under the Letter of Intent, DHCC was allowed to and did
enter into discussions with other interested parties and is
currently in discussions with these parties as well.
James Ahearn, who serves as
Chairman and Chief Executive Officer of Phoenix, stated: "Phoenix remains extremely interested in this
project and is actively pursuing financing. DHCC and Phoenix plan to meet in the immediate future
to explore additional options in order to accomplish this casino
development."
The Company also reported that it had no plans to modify options
to purchase a total of 650,000 shares of Common Stock held by
current or former Officers, Directors and/or employees of the
Company, exercisable at a strike price of $2.70 per share, which are due to expire on
April 13, 2011.
DHCC owns, through its wholly-owned subsidiary, Mississippi
Gaming Corporation, approximately 404 acres of land in Diamondhead, Mississippi. The property
is lien-free and debt-free and is zoned for a casino and other
commercial uses. The property fronts Interstate 10 for
approximately two miles and the Bay of St.
Louis for approximately two miles.
Cautionary Statement Regarding Forward-Looking
Statements
The Private Securities Litigation Reform Act of 1995 provides a
"safe harbor" for forward-looking statements so long as those
statements are identified as forward-looking and are accompanied by
meaningful cautionary statements identifying important factors that
could cause actual results to differ materially from those
projected in such statements.
All statements, trend analysis and other information contained
in this release relative to performance, trends in operations
or financial results, plans, expectations, estimates and beliefs,
as well as other statements including words such as "anticipate,"
"believe," "plan," "estimate," "expect," "intend," "will," "could"
and other similar expressions, constitute forward-looking
statements under the Private Securities Litigation Reform Act of
1995. In connection with certain forward-looking statements
contained in this release and those that may be made in the future,
there are various factors that could cause actual results to differ
materially from those set forth in any such forward-looking
statements. The forward-looking statements contained in this
release were prepared by management and are qualified by, and
subject to, permitting, significant business, economic, financial,
competitive, environmental, regulatory and other uncertainties and
contingencies, all of which are difficult or impossible to predict
and many of which are beyond the control of the Company.
Accordingly, there can be no assurance that the
forward-looking statements contained in this release will be
realized. The forward-looking statements in this release reflect
the opinion of the management as of the date of this release.
Readers are hereby advised that developments subsequent to this
release are likely to cause these statements to become outdated
with the passage of time or other factors beyond the control of the
Company. The Company does not intend, however, to update the
guidance provided herein prior to its next release or unless
otherwise required to do so. Readers of this release should
consider these facts in evaluating the information contained
herein. In addition, the business and operations of the Company are
subject to substantial risks, including but not limited to risks
relating to liquidity and cash flows, which increase the
uncertainty inherent in the forward-looking statements contained in
this release. The inclusion of the forward-looking statements
contained in this release should not be regarded as a
representation that the forward-looking statements contained in the
release will be achieved. In light of the foregoing, readers of
this release are cautioned not to place undue reliance on the
forward-looking statements contained herein.
Additional information concerning the potential risk factors
that could affect the Company's future performance are described
from time to time in the Company's periodic reports filed with the
SEC, including, but not limited to, its Annual Report on Form 10-K,
Amendments thereto, and Quarterly Reports on Form 10-Q.
For further information, contact:
Gregory Harrison, Vice-President
Diamondhead Casino Corporation
Cell: (301) 775-3602
SOURCE Diamondhead Casino Corporation
