SPRI Sports Resorts International (MM)

Sports Resorts International Majority Shareholder Announces Stock Dividend Plan FLINT, Mich., March 15 /PRNewswire/ -- Donald J. Williamson, majority stockholder of Sports Resorts International, Inc. (NASDAQ:SPRI), announces the strategic opportunity to enhance shareholder value by unveiling a plan for a stock dividend of one share of SPRI for each share owned, as well as plans for a Casino, a 500-room hotel and an 80-store shopping mall being proposed as a joint development with the Sault Ste. Marie Tribe of "Chippewa Indians." Donald J. Williamson confirmed an offer for the participation by the Sault Ste. Marie Tribe in the development of the Casino project located on Mount Morris Road, Mount Morris Township, alongside the I-75, in Genesee County, Michigan. The 200-acre site owned by Sports Resorts is located on I-75 with 96,000 cars traveling by per day, which lies within one and a half hours drive of 95% of the population of Michigan, Toledo, Ohio, Sarnia and Windsor, Canada. The proposal calls for the building of a Casino project in a joint venture with the Sault Ste. Marie Tribe of Chippewa Indians, who are experienced in operating casinos and currently own and operate the Greektown Casino in downtown Detroit, along with five other major casinos in the State of Michigan (see http://www.saulttribe-nsn.gov/). The proposal consists of a shopping mall with 80 stores and a 500-room hotel in the first phase that can be enlarged to 1,500 rooms in the second phase and would include a 200,000 square foot casino to be operated by Sault Ste. Marie Tribe Chippewa of Indians subject to granting of the required Casino Gaming License and permits, acceptance of the proposal submitted to the board of directors of SPRI and to the Chippewa Tribe. In order to maximize shareholder value for its stockholders, the majority stockholder of Sports Resorts International, Inc., Donald J. Williamson today announced that he has devised a strategic plan to enhance shareholder value and allow each of its businesses to grow as an independent, publicly traded, emerging growth company focusing on a particular industry sector, and to allow the company to focus all its efforts on development of its proposed Mount Morris Sports Entertainment Complex and Domed Stadium, while The Colonels, Inc., will develop the 500-room hotel, casino and shopping center in a joint venture with the Sault Ste. Marie Tribe of Indians. Donald J. Williamson stated that he will implement the strategic plan by voting in favor of declaring a special stock dividend of one share of SPRI for each share owned, as of the record date to be set as of June 30, 2005, and for spinning off three subsidiaries as independent public companies each concentrating in a specific industry and each having the ability as publicly traded companies to secure additional debt or equity capital required to grow their businesses without the constraints of being private entities owned by a holding company, thus enabling the realization of maximum shareholder value in each business sector. SPRI will, under the proposal made to the Sault Ste. Marie Tribe of Chippewa Indians, implement its business plan that calls for the development of the 200,000 square foot Casino, the 500-room hotel and shopping mall with 80 stores, a truck stop gas station and 3,000 parking spaces. SPRI will immediately commence negotiations to raise up to $100 million in commercial mortgage debt to finance the construction of the stadium the hotel and shopping center. This plan has the potential to be of great benefit to the company, the local community and the Sault Ste. Marie Tribe of Chippewa Indians, who will, upon completion, own and operate the casino and participate in the hotel and shopping center joint venture, a venture that is anticipated to generate total gross revenues of over one billion, two hundred million dollars annually in the facility that would remain open for business 24 hours a day, 7 days a week. This plan will be submitted to the board of directors for approval, and a special shareholders meeting will convene for a vote of stockholders to be held as soon as possible. Once approved by the board of directors, voted upon by shareholders and signed off on by the Sault Ste. Marie Tribe of Chippewa Indians, the strategic plan will be implemented in the following Steps: 1) Sports Resorts International, Inc., will declare a special stock dividend to shareholders of record consisting of one share of common stock, with each shareholder receiving a special bonus share of SPRI for each share of SPRI held as of the record date, the record date to be set for June 30, 2005. 2) The Colonels, Inc., a wholly owned subsidiary, is to be spun off to shareholders of SPRI as a special stock dividend, with each SPRI shareholder of record holding a share of SPRI receiving one share of common stock in The Colonels, Inc., for each share owned on the record date of June 30, 2005. As an independent, publicly traded company, it will apply for its shares to be listed for trading on the Nasdaq small cap market effective July 10 2005, and Donald J. Williamson has offered the tribe an option to purchase up to 12,100,000 shares of common stock of SPRI equal to approximately 25% of the common stock of SPRI at a price per share equal to the closing price of the common stock of SPRI on March 15, 2005, being the date upon which the Casino proposal is submitted to the "Chippewa Indian Tribe" for its acceptance. The Casino proposal and the stock option will be open for acceptance up to 12 noon on June 30, 2005, and will expire unless exercised by the tribe by that time. The Colonels, Inc., will implement its plan to develop that portion of the Mount Morris property that consists of a 200,000 square foot Casino, 500-room hotel and shopping mall with parking for up to 6,000 cars with construction scheduled to commence as soon as possible. Donald J. Williamson estimated that the project will take two years to complete and will ultimately create approximately 5,000 to 8,000 jobs for hotel staff such as desk clerks, chefs, managers, waiters, cleaning staff, porters, as well as highly paid skilled employees to work in the casino as casino dealers, managers, accounting, security officers and support workers. The high unemployment rate in the area is due to shortage of quality jobs, and the local community of Flint, Michigan, and surrounding areas will be a major beneficiary of the economic stimulus, the construction project alone will bring immediate benefits in the job market as construction workers and related trades in plumbing, electrical and roofing are employed at the project site with the major impact on the local job market being experienced one the hotel, casino and shopping center open for trading. Donald J. Williamson and The Colonels, Inc., are to submit the formal proposal to the Chippewa Tribe of Indians that will entail the Tribe entering into an agreement to acquire and operate the 30 acres property together with the 200,000 square foot casino that will be constructed by The Colonels, Inc., and handed over on completion ready for the interior of the Casino to be designed, equipped, and fitted out according to the Tribes own specification and interior theme. Indian gaming is a burgeoning industry and already accounts for over 21 billion in revenues per year throughout the USA, surpassing the revenues of the Las Vegas mega casinos this year for the first time and proving to be economic stimulators in the local communities they are operated. 3) Rugged Liner, Inc., a wholly owned subsidiary (http://www.ruggedliner.com/), will be spun off to the shareholders of record as a special stock dividend with one share of Rugged Liner common stock paid as a special to all shareholders of record as of the record date of June 30, 2005. Rugged Liner will focus on operating its manufacturing business in Owasso, Michigan, as a specialized manufacturer of bedliners and related products. Rugged Liner, Inc., will apply to trade its common shares on the Nasdaq Small cap Market, with trading to commence on July 10, 2005. The record date for the special stock dividend of SPRI and the record date for the special stock dividend of shares in The Colonels, Inc., and Rugged Liner, Inc., will be set for June 30, 2005, and all shareholders will be required to send their share certificate evidencing their shareholding in SPRI to the companies transfer agent in order to have the existing share certificate replaced by a new certificate consisting of the original share plus the dividend share in SPRI and the one share of The Colonels Inc., and one share of Rugged Liner, Inc., to be issued to each shareholder submitting a valid stock certificate representing a share of SPRI owned as of the record date. SPRI will continue to trade on the Nasdaq Small Cap Market under the trading symbol SPRI and to operate its core business operation, Brainerd International Raceway, Inc., as well as pursuing new opportunities in the field of motor sports-related and sports-related fields. See http://www.brainerdraceway.com/ for more information. Shareholders are advised that information regarding the progress of the company and its plans will be available on the corporate website at: http://www.sportsresortsinternational.com/. For further information contact: Brian Mann Tel 310-451-7878 DATASOURCE: Donald J. Williamson CONTACT: Investor Relations, Brian Mann, +1-310-451-7878, for Donald J. Williamson Web site: http://www.brainerdraceway.com/ Web site: http://www.ruggedliner.com/ Web site: http://www.saulttribe-nsn.gov/ Web site: http://www.sportsresortsinternational.com/

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