-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, K5/4Kg7kBpaKL0snVJwqbs9t86Y53BFQvN9tSfMd3JEkALkzofILpne7QQ1gpqOO 2OMScdyXhUI1s7altIm+KQ== 0001011034-00-000011.txt : 20000218 0001011034-00-000011.hdr.sgml : 20000218 ACCESSION NUMBER: 0001011034-00-000011 CONFORMED SUBMISSION TYPE: 8-K/A PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19991220 ITEM INFORMATION: FILED AS OF DATE: 20000217 FILER: COMPANY DATA: COMPANY CONFORMED NAME: GLOBAL CASINOS INC CENTRAL INDEX KEY: 0000727346 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-MISCELLANEOUS AMUSEMENT & RECREATION [7990] IRS NUMBER: 870340206 STATE OF INCORPORATION: UT FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 8-K/A SEC ACT: SEC FILE NUMBER: 000-15415 FILM NUMBER: 548043 BUSINESS ADDRESS: STREET 1: 5373 NORTH UNION BLVD., SUITE 100 STREET 2: SUITE 100 CITY: COLORADO SPRINGS STATE: CO ZIP: 80918 BUSINESS PHONE: 7195904900 MAIL ADDRESS: STREET 1: 5373 NORTH UNION BLVD STREET 2: SUITE 100 CITY: COLORADO SPRINGS STATE: CO ZIP: 80918 FORMER COMPANY: FORMER CONFORMED NAME: MORGRO CHEMICAL CO DATE OF NAME CHANGE: 19920703 8-K/A 1 8-K/A-1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 8-K/A-1 AMENDMENT 1 TO CURRENT REPORT Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934 Date of Report (Date of earliest event reported): December 20, 1999 GLOBAL CASINOS, INC. ------------------------------- (Exact name of registrant as specified in its charter) Utah 0-15415 87-0340206 - ------------- ---------------- -------------------- (State or other juris- (Commission file number) (IRS Employer diction of incorporation Identification No.) or organization) 5373 North Union Boulevard, Suite 100, Colorado Springs, Colorado 80918 ------------------------------------------------------------------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (719) 590-4900 -------------------------------------------------------------------- -------------------------------------------------------------- (Former name or former address, if changed since last report) ITEM 7: FINANCIAL STATEMENTS AND EXHIBITS - ------- --------------------------------- (1) Financial Statements -------------------- (a) On December 30, 1999, Global Casinos, Inc (Global) sold all of the issued and outstanding shares of capital stock of its wholly-owned subsidiary, Global Pelican, N.V., a St. Maarten Limited Liability Company, to Arufinance, N.V., an Aruba Corporation, (Arufinance) pursuant to a Stock Purchase Agreement dated as of December 30, 1999 (the Agreement) among Global and Arufinance. (b) Arufinance acquired all of the capital stock issued and outstanding of Global Pelican, N.V. from Global for a negotiated purchase price of $1,000. In addition to the stock sale, Global retained accounts receivables in the form of outstanding and uncollected markers totaling $69,200, transferred by Global Pelican to Global, and the related allowance for doubtful accounts of $69,200. Global also agreed to assume and pay an outstanding accounts payable account to vendor, Aristocrat, in the amount of $41,888 for certain gaming devices located in the Global Pelican casino. This account payable was to be paid by the 30th of January, 2000. (c) Arufinance acquired all of the remaining assets and liabilities of Global Pelican, N.V. as part of the stock purchase, effective with the closing date of December 30, 1999. The accompanying consolidated financial statements illustrate the effect of the disposition of the subsidiary ("Pro Forma") on the Company's financial position and results of operations. The consolidated balance sheet as of December 31, 1999 is based upon the historical balance sheets of the Company and assumes that the disposition took place on December 30, 1999. The consolidated statements of income for the six months ended December 31, 1999 are based on the historical statements of income of the Company for this period. The pro forma consolidated statements of income assume the disposition took place on July 1, 1999. The accompanying consolidated pro forma financial statements should be read in connection with the historical financial statements of Global Casinos, Inc. (b) Exhibits -------- Item Title ---- ----- 1. Pro forma financial information (a) Global Casinos, Inc Consolidated Balance Sheet as of December 31, 1999 (b) Global Casinos, Inc. Consolidated Statement of Income For the Six Months Ended December 31, 1999 (c) Notes to Pro Forma Consolidated Financial Statements SIGNATURE 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 hereunto duly authorized. GLOBAL CASINOS, INC. Date: February 17, 2000 By: /s/ Stephen G. Calandrella ------------------------------- Stephen G. Calandrella, President EX-1 2 PRO FORMA FINANCIAL INFORMATION GLOBAL CASINOS, INC. CONSOLIDATED PRO FORMA BALANCE SHEET December 31, 1999 (unaudited)
Consolidated Adjustments As Reported ------------ ------------ ------------ Assets ------ Current assets: Cash $ 445,028 $ (139,395) (1) $ 305,633 Accounts receivable Trade, net of allowance for doubtful accounts of $70,000 at December 31, 1999 388,129 (43,216) (1) 344,913 Related parties 3,954 3,954 Inventory 231,866 (2,000) (1) 229,866 Prepaid rent 75,000 (75,000) (1) - Current portion of notes receivable 66,812 66,812 Marketable trading securities 782,271 782,271 Asset held for sale 200,000 200,000 Other 113,356 (11,855) (1) 101,501 ------------ ------------ ------------ Total current assets 2,306,416 (271,466) 2,034,950 ------------ ------------ ------------ Land, buildings and equipment: Land 517,950 517,950 Buildings 4,081,022 4,081,022 Equipment 2,441,806 (566,275) (1) 1,875,531 ------------ ------------ ------------ 7,040,778 (566,275) 6,474,503 Accumulated depreciation (2,140,105) 373,542 (1) (1,766,563) ------------ ------------ ------------ 4,900,673 (192,733) 4,707,940 ------------ ------------ ------------ Other assets: Leasehold rights and interests and contract rights, net of amortization of $980,649 at December 31, 1999 1,309,288 1,309,288 Goodwill, net of amortization of $349,026 1,815,479 1,815,479 Hotel credits 507,072 507,072 Notes receivable, net of current portion, including receivables in default 174,713 174,713 Other assets, net of amortization of $0 at December 31, 1999 58,102 58,102 Restricted cash 140,449 (140,449) (1) - ------------ ------------ ------------ 4,005,103 (140,449) 3,864,654 ------------ ------------ ------------ $ 11,212,192 $ (604,648) 10,607,544 ============ ============ ============ Liabilities and Stockholders' Equity ------------------------------------ Current liabilities: Accounts payable $ 546,391 $ (16,514) (1) $ 529,877 Accrued expenses: Wages and taxes 525,076 (386,706) (1) 138,370 Casino license fees 1,335,719 (1,335,719) (1) - Interest, including $13,000 to related parties at December 31, 1999 356,204 (1,829) (1) 354,375 Other 401,606 401,606 Note payable 230,855 230,855 Current portion of long-term debt, including debt in default and $580,433 to related parties at December 31, 1999 1,838,347 1,838,347 Other 40,000 40,000 ------------ ------------ ------------ Total current liabilities 5,274,198 (1,740,768) 3,533,430 Long-term debt, less current portion 2,729,888 2,729,888 Commitments and contingencies Stockholders' equity: Preferred stock-convertible: 10,000,000 shares authorized Class A - $2 par value, non- voting, 96,500 shares issued and outstanding 193,000 193,000 Class B - $.01 par value, non-voting, 283,801 shares issued and outstanding at Sept 30, 1999 2,708 2,708 Class C - $.01 par value, voting: 487,172 shares issued and outstanding 4,872 4,872 Common stock - $.05 par value; 50,000 shares authorized; 1,546,360 shares issued and outstanding 77,318 77,318 Additional paid-in capital 12,661,551 12,661,551 Accumulated deficit (7,459,103) 1,136,120 (1) 8,595,223 ------------ ------------ ------------ 5,480,346 1,136,120 4,344,226 ------------ ------------ ------------ $ 11,212,192 $ (604,648) 10,607,544 ============ ============ ============
See Notes to Pro Forma Consolidated Financial Statements (Unaudited) GLOBAL CASINOS, INC. PRO FORMA CONSOLIDATED STATEMENT OF INCOME Six Months Ended December 31, 1999 (unaudited)
Consolidated Adjustments ProForma ------------ ------------ ------------ Revenues: Casino $ 2,370,477 $ (704,485) (2) $1,665,992 Bingo 1,963,304 1,963,304 Food and beverage 65,653 (13,823) (2) 51,830 Other 49,543 $ (29,819) (2) 19,724 ------------ ------------ ------------ 4,448,977 (748,127) 3,700,850 ------------ ------------ ------------ Expenses: Cost of sales 1,088,707 (23,273) (2) 1,065,434 Operating, general, and administrative 3,208,835 (992,139) (2) 2,216,696 Depreciation and amortization 499,449 (80,256) (2) 419,193 ------------ ------------ ------------ 4,796,991 (1,095,668) 3,701,323 ------------ ------------ ------------ Income from operations (348,014) 347,541 (2) (473) ------------ ------------ ------------ Other income (expense): Interest income 24,404 24,404 Interest expense, including $6,000 to related parties at December 31, 1999 (217,706) 8,692 (3) (209,014) Net realized gain on sale of marketable trading securities 134,780 134,780 Adjustment to market value of marketable securities (90,742) (90,742) Gain on disposition of subsidiary 1,136,120 1,136,120 ------------ ------------ ------------ 986,856 8,692 995,548 ------------ ------------ ------------ Income (loss) before extra- ordinary item 638,842 356,233 995,075 Extraordinary item - gain from restructuring of debt 55,436 55,436 ------------ ------------ ------------ Net income (loss) 694,278 356,233 1,050,511 Dividends on Class B and C Preferred Stock (139,131) (139,131) ------------ ------------ ------------ Net income (loss) available to common stockholders $ 555,147 $ 356,233 911,380 ============ ============ ============ Income (loss) per common share - basic and diluted: Income (loss) from continuing operations $ 0.32 $ 0.55 Extraordinary item 0.04 0.04 ------------ ------------ Net income (loss) available to common stockholders $ 0.36 $ 0.59 ============ ============ Weighted average shares outstanding 1,546,360 1,546,360 ============ ============
See Notes to Pro Forma Consolidated Financial Statements (Unaudited) GLOBAL CASINOS, INC. and SUBSIDIARIES EXPLANATORY NOTES TO PRO FORMA ADJUSTMENTS DECEMBER 31, 1999 NOTE A - The pro forma adjustments to the consolidated balance sheet are as follows: (1) To reflect the sale of Global Pelican N.V. casino subsidiary stock pursuant to the Stock Purchase Agreement, effective as of December 30, 1999, as a pro forma adjustment as of the September 30, 1999 interim date. The components of the sale transaction and related adjustments to assets and liabilities excluded from the sale are as follows:
Pelican Casino Balance Sheet as of 12/30/99: Cash $ 138,395 Accounts Receivable, net of allowance for doubtful accounts of $78,316 43,216 Inventory 2,000 Prepaid Rent 75,000 Furniture and Equipment 566,275 Accumulated Depreciation (373,542) Other Current Assets 11,855 Restricted Cash 140,449 ------------ Total Assets $ 603,648 Accounts payable 16,514 Accrued expenses: Wages and taxes 386,706 Casino license fees 1,335,719 Interest 1,829 Current Portion of Long-term Debt 41,888 ------------ Total Liabilities $ 1,782,656 ------------ Excess of Liabilities over Assets 1,179,008 Assets and Liabilities Excluded from the Sale: Uncollected Markers, net of allowance for doubtful accounts of $69,200 - Current portion of Long-term debt retained by Global Casinos (41,888) ------------ Adjusted Excess of Liabilities over Assets $ 1,137,120 Sale Price of Stock (1,000) ------------ Gain on Disposition of Subsidiary $ 1,136,120 ============
NOTE B - The pro forma adjustments to the consolidated statements of income are as follows: (2) To reflect the sale of Pelican Casino subsidiary stock pursuant to the Stock Purchase Agreement, dated December 30, 1999. The condensed statement of income for the subsidiary for the six months ended December 31, 1999 are as follows:
Six Months Ended December 31, 1999 ----------------- Revenues: Casino $ 704,485 Food and Beverage 13,823 Other 29,819 ------------ 748,127 ------------ Expenses: Cost of sales 23,273 Operating, general, and administrative 992,139 Depreciation and amortization 80,256 ------------ 1,095,668 ------------ Income from operations (347,541) Other income (expense): Interest expense (6,279) ------------ Net loss available to common stockholders $ (353,820) ============
(3) To adjust consolidated interest expense for reduction in borrowings required to fund Pelican operating losses:
Interest on Long-term debt @ 11.21 % $ 2,413 ============
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