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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): February 13, 1997
Concorde Gaming Corporation
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(Exact name of registrant as specified in its charter)
Colorado 0-8698 84-0716683
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(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
3290 Lien Street
Rapid City, South Dakota 57702
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (605) 341-7738
Not Applicable
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(Former name or former address, if changed since last report)
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Item 2. Acquisition or Disposition of Assets.
(a) On February 13, 1997, Bruce H. Lien Company ("BHL"), a wholly
owned subsidiary of Concorde Gaming Corporation (the "Registrant")
closed the settlement agreement (the "Settlement Agreement")
between BHL and the Three Affiliated Tribes ("TAT"). The
Settlement Agreement provided that in consideration for the
termination of the Management Agreement (the "Management
Agreement") between BHL and TAT, whereby BHL managed the 4 Bears
Casino & Lodge, TAT would pay BHL $8.65 million and the parties
would dismiss, with prejudice, all litigation between BHL and TAT.
The proceeds from the Settlement Agreement were used to pay off
substantially all of the Registrant's debt, other than
approximately $900,000 related to its video lottery operations,
for working capital purposes and to fund future projects.
The consideration received for the Settlement Agreement was
determined through arm's length negotiations.
(b) Not applicable.
Item 7. Financial Statements and Exhibits.
(a) Not applicable.
(b) At this time it is impracticable for the Registrant to provide
the financial statements required by this item. The required
financial statements will be filed with the Securities and Exchange
Commission by an amendment to this Form 8-K not later than sixty
(60) days after the date on which this Current Report on Form 8-K
must be filed.
(c) Exhibits
2.3 Settlement Agreement, dated as of September 27, 1996,
among The Three Affiliated Tribes of the Fort Berthold
Reservation and Bruce H. Lien Company(1)
20 Press Release dated February 14, 1997
____________________
1 Incorporated by reference to the Registrant's Current Report on
Form 8-K dated September 27, 1996.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
CONCORDE GAMING CORPORATION
Date: February 25, 1997 By: /s/ Jerry L. Baum
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Jerry L. Baum, President
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EXHIBIT INDEX
<TABLE>
<CAPTION>
Exhibit No. Exhibit Description
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<S> <C>
2.3 Settlement Agreement, dated as of September 27, 1996, among
The Three Affiliated Tribes of the Fort Berthold Reservation and
The Bruce H. Lien Company(1)
20 Press Release dated February 14, 1997
</TABLE>
____________________
1 Incorporated by reference to the Registrant's Current Report on
Form 8-K dated September 27, 1996.
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EXHIBIT 20
Press Release dated February 14, 1997
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FOR IMMEDIATE RELEASE Contact: Jerry Baum, President and COO
P or
David L. Crabb, CFO
at
February 14, 1997 (605) 341-7738
(Rapid City, SD) Concorde Gaming Corporation (OTC:CGAM) today
announced the closing of the Settlement Agreement between its wholly-owned
subsidiary, Bruce H. Lien Company ("BHL") and The Affiliated Tribes (the
"Tribe"). The Settlement Agreement provides that in consideration for the
termination of the Management Agreement for the 4 Bears Casino & Lodge the
Tribe will pay the Company $8.65 million and the parties will dismiss, with
prejudice, all litigation between the Tribe and BHL. The proceeds from the
Settlement Agreement will be used to pay off substantially all of the Company's
debt, for working capital purposes and to fund future projects. The Company
will retain approximately $900,000 of debt related to its video lottery
operations.
The closing of the Settlement Agreement concludes the Company's
involvement in the 4 Bears Casino & Lodge project effective February 13, 1997.
The Company developed the initial $9.7 million project in 1993. During the
past 43 months the Company's cash flow derived from the management of the 4
Bears Casino & Lodge was approximately $22.5 million.
The Company today reported a net loss of $140,214 for the first
quarter ended December 31, 1996 compared with net income of $145,565 in the
same period a year ago. First quarter revenue was $2,186,888 compare to
$3,000,698 over the same period of 1995, a decrease of 27.1%.
Jerry Baum, President and Chief Operating Officer, said, "The closing
will eliminate the legal uncertainty that has plagued the Company since we
initiated arbitration proceedings against the Tribe almost two years ago. More
importantly, the Company now has approximately $4.5 million available to pursue
other gaming opportunities, including the proposed riverboat casino located
near Lexington, Missouri."
Mr. Baum further stated "First quarter results reflect the impact of
extremely harsh winter weather which affected operations at the 4 Bears Casino
& Lodge and a decrease in revenues from video lottery due to a decrease in the
average revenue per machine."
Concorde Gaming Corporation is a gaming development and management
company with interests in video lottery in South Dakota and Louisiana.
