OLATHE, Kan., June 30 /PRNewswire-FirstCall/ -- Butler National
Corporation (OTC Bulletin Board: BUKS) and its wholly-owned subsidiary,
Butler National Service Corporation, a recognized provider of professional
management services in the gaming industry, announce the Kansas Supreme
Court ruling affirming the constitutionality of the Kansas Expanded Lottery
Act. (KELA)
The Court, in a 22-page unanimous opinion, ruled that "while the state
is not the exclusive owner and operator of all aspects of the lottery
enterprise under KELA, the state owns and operates the enterprise itself
and owns and operates key elements of the lottery," thus complying with
1986 constitutional amendments.
The Court also ruled that several key provisions in KELA bring the act
into compliance with the 1986 amendments, which is the legislation
authorizing horse and dog racing and the state-owned and operated lottery.
"The payment of gaming revenues directly to the state, the ownership by the
state of software licenses, the central monitoring of electronic games, and
the authority to enter into management contracts and to supervise the
managers constitute substantial indicia of ownership by the state and
concomitant operation," the Court ruled.
Clark D. Stewart, President and CEO of Butler National said, "This is
another significant advancement toward the ultimate step of developing
tourism and economic benefits to Kansas through the destination casino
facilities. The Court's decision reinforces the will of the people of
Kansas."
Butler National is proposing to manage the Boot Hill Casino and Resort,
a destination casino and resort located in Dodge City within the Southwest
Gaming Zone. Butler National plans to present its proposal to the Lottery
Gaming Facility Review Board in Dodge City on July 31, 2008. The Management
Contract does not become effective until approved by the Lottery Gaming
Facility Review Board and the Kansas Racing and Gaming Commission. If
selected by the Review Board, the approval may be completed between October
and December 2008.
The Boot Hill Casino and Resort plan includes 800 slot machines, 20
table games, a 124-room luxury hotel, a spa, an Olympic size swimming pool,
restaurants, and a 500-seat conference center/entertainment venue
implemented in a phased approach. The estimated project cost is $92.9
million.
"With the State Supreme Court ruling, we are confident Butler National
Service Corporation is the best applicant to manage a destination casino
known as the Boot Hill Casino and Resort in the Southwest Gaming Zone. We
believe Butler National is positioned to be the applicant selected by the
Lottery Gaming Facility Review Board," concluded Mr. Stewart.
Our Business:
About Butler National Corporation
Butler National Corporation operates in the Aerospace and Services
business segments. The Aerospace segment focuses on the manufacturing of
support systems for "Classic" commercial and military aircraft including
the Butler National TSD for the Boeing 737 and 747 Classic aircraft,
switching equipment for Boeing/Douglas Aircraft, weapon control systems for
Boeing Helicopter and performance enhancement structural modifications for
Learjet, Cessna, Dassault and Hawker/Beechcraft business aircraft. Services
include electronic monitoring of water pumping stations, temporary employee
services, Indian gaming services and administrative management services.
Forward-Looking Information:
There is no assurance that Butler National will be awarded a contract
to manage a state-owned facility for Kansas. Senate Bill 66 provides for a
fairly complex applicant review and selection process. Butler National
plans to use its best efforts to acquire rights to manage a gaming facility
on behalf of the State of Kansas.
The information set forth above may include "forward-looking"
information as outlined in the Private Securities Litigation Reform Act of
1995. The Cautionary Statements and Risk Factors, filed by the Company as
Exhibit 99 to the Company's Annual Report on Form 10-K and Section 1A of
Form 10-K, are incorporated herein by reference and investors are
specifically referred to such Cautionary Statements and Risk Factors for
discussion of factors, which could affect the Company's operations, and
forward-looking statements contained herein.
Reference Information:
The Lottery Commission forwarded ten signed contracts of developers
seeking to become lottery gaming facility managers in Kansas to the Lottery
Gaming Facility Review Board. Information about the contracts approved by
the Lottery Commission is available on the Kansas Lottery internet site
under the respective gaming zones at http://www.kslottery.net.
FOR MORE INFORMATION CONTACT:
Craig Stewart, Investor Relations Phone (214) 498-7775
Butler National Corporation
19920 W. 161st Street
Olathe, KS 66062
Jim Drewitz, Public Relations Phone (830) 669-2466
Creative Options Communications
jim@jdcreativeoptions.com
For more information, please visit the Company web site:
http://www.butlernational.com
SOURCE Butler National Corporation
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Related links:
http://www.butlernational.com
http://www.kslottery.net
CONTACT:
Craig Stewart, Investor Relations of Butler
National Corporation, +1-214-498-7775; or Jim Drewitz, Public
Relations of Creative Options Communications, +1-830-669-2466,
jim@jdcreativeoptions.com, for Butler National Corporation
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