DOTX News Dotronix, Inc. Purchases 1,037,500 Shares of Grand Sierra Resort Corporation
MINNEAPOLIS--(BUSINESS WIRE)--June 28, 2006--Dotronix, Inc. (OTCBB:DOTX) announced today that it has purchased 1,037,500 shares of Grand Sierra Resort Corporation ("Grand Sierra") common stock.
On Friday, 6/23/2006 Grand Sierra officially purchased the Reno Hilton from Harrah's Entertainment, Inc. (NYSE:HET). The Reno Hilton is a hotel, casino and entertainment complex situated on approximately 145 acres in Reno Nevada.
Now that the acquisition is complete, a renovation and repositioning program is being initiated, as a part of this Grand Sierra intends to convert 825 rooms of the hotel (located on the top eleven floors of the twenty seven story structure) into condominium hotel units and sell them separately. The integration of a condominium hotel into resorts is reflective of a successful industry trend which has rapidly spread from the East Coast to the West Coast over the past recent years. According to a spokesperson for Grand Sierra the company has recently begun taking presale deposits for these units and currently has commitments for 37% of the units with another 20% that are pending. (www.grandsierracondos.com)
"The Grand Sierra Resort project continues to attract us. We believe this projected $1.8 billion redevelopment of the Reno Hilton into a 145-acre world-class resort will provide additional opportunities to bring value to our shareholders," said Russell W. Mitchell Chairman and CEO of Dotronix, Inc.
In connection with the pursuit of these opportunities, Dotronix intends to spin off its newly created pharmaceutical subsidiary PuraMed BioSciences Inc. as a stock dividend to the shareholders of Dotronix, Inc. with the anticipated record date for this distribution to be July 14, 2006.
This news release contains forward-looking statements that are based on management's expectations, estimates, projections and assumptions. Words such as "expects," "anticipates," "plans," "believes," "intends," "proposed," "estimates" and variations of these words and similar expressions are intended to identify forward-looking statements, which include but are not limited to projections of revenues, earnings, trends, proposed transactions and redevelopment. Forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended. These statements are not guarantees of future performance and involve certain risks and uncertainties, which are difficult to predict. Therefore, actual future results may differ materially from what is forecast in forward-looking statements due to a variety of factors.
