727346--10/10/2008--GLOBAL_CASINOS

related topics

{stock, price, share}

{regulation, change, law}

{condition, economic, financial}

{cost, regulation, environmental}

{customer, product, revenue}

{debt, indebtedness, cash}

{stock, price, operating}

{capital, credit, financial}

{competitive, industry, competition}

{personnel, key, retain}

{control, financial, internal}

{provision, law, control}

{acquisition, growth, future}

{cost, contract, operation}

We will require additional capital and have no commitments for funding. We have leveraged our assets to secure repayment of debt. If we default in the repayment of the debt, we could forfeit our productive assets. We have not paid several of our debt obligations, and we do not expect to generate sufficient funds from operations to pay those obligations. Risks Related to our Gaming Operations If we fail to comply with gaming regulations, we could loose our gaming license or be subject to substantial fines. Holders of our stock are subject to investigation by the Colorado Gaming Commission. Changes in regulatory environment could have a material adverse effect on our operating results. We face substantial competition from other gaming operations and other forms of gaming that could have a material adverse effect on our future operations. Additional legalization of gaming in Colorado could adversely affect our business. Construction of a new roadway from Interstate 70 to Central City has not had a material beneficial impact on our business. We may face difficulties in attracting and retaining qualified employees for our casinos. Adverse weather, road conditions and infrastructure limitations affect our ability to attract customers. Because we are dependent on two casinos for all of our cash flow, local economic conditions and other local conditions and circumstances beyond our control could adversely affect our business. The recently enacted smoking ban in casinos has had a material adverse impact on gaming operations in Colorado, including our casinos. Increases in the price of gasoline has had a material adverse impact on the gaming industry. We are subject to environmental laws and potential exposure to environmental liabilities, which could be costly. The rate of taxation on gaming profits may increase in the future. Energy and fuel price increases may adversely affect our costs of operations and our revenues. We experience quarterly fluctuations in our results of operations. We have not paid dividends and do not anticipate paying any dividends on our common stock in the foreseeable future. The existence of outstanding convertible preferred stock, options and warrants may impair our ability to raise capital. There are trading risks for low priced stocks. The market price of our securities could be adversely affected by sales of restricted securities. Our ability to issue additional securities without shareholder approval could have substantial dilutive and other adverse effects on existing stockholders and investors in this offering. Our corporate charter makes certain limitations on director liability. Changes in the corporate and securities laws and regulations are likely to increase our costs. If we fail to maintain an effective system of internal controls, we may not be able to accurately report our financial results or prevent fraud. As a result, current and potential shareholders could lose confidence in our financial reporting, which would harm our business and the trading price of our stock. Members of our management have conflicts of interest

Full 10-K form ▸

727346--10/10/2008--GLOBAL_CASINOS_INC