Las Vegas Discount Golf & Tennis, Inc.

Overview

Las Vegas attracts more than 30 million visitors from around the world every year. Its resident population is 1.8 million and growing at the rate of 68,000 per year. Entertain-ment, both on stage & at the casino, is its main business. Over the past decade, Las Vegas has been emphasizing the family as its new marketing target & has been polishing its image. All-American SportPark (also traded on NASDAQ as AASP) is designed to attract tourist, conventioneers, and all members of the family to a healthy, active, hands-on environment which brings major sports icons to the general public.

History

LVDG began in 1974 when Vaso Boreta opened a retail sporting goods store in Las Vegas. This outlet, still owned by Vaso Boreta, who is LVDG chairman & president, began distributing catalogs & developing a mail order business for the sale, principally of golf, & to a lesser extent, tennis products. In 1984, it began franchising the concept & grew to 43 outlets by early 1997. LVDG management recognized its limitations in the golf business and sold its golf distribution assets in 1995 to focus on the develop-ment of the All-American SportPark.

All-American SportPark (NASDAQ/AASP) until 12/14/98 was called Saint Andrews Golf Corp. (NASDAQ/SAGC). It was founded in 1984 by Ron Boreta, son of Vaso Boreta. In develop-ment since late 1994, the AASP initial facility located in Las Vegas has evolved into a major attraction & opened to the public on 10/9/98 with extremely positive reviews.

Business/Products

The main thrust of LVDG is the All-American SportPark, a family oriented sports theme park which includes: 1. A licensed Major League Baseball Slugger Stadium where guests step up to the plate & take their shot at being a pro by hitting the ball over Fenway Park's "Green Monster" outfield wall. 2. A licensed NASCAR SpeedPark (NASCAR's 1997 & 1998 Winston Cup Champion, Jeff Gordon serves as spokesperson) with three tracks for family, junior, & adult go-kart racing. The NASCAR

SpeedPark is comprised of three different track formats that also accommodate three different 5/8 scale Go-Karts. The High-Performance Road Course & the Sprint Track allow guests a chance to be a professional driver during their SpeedPark experience. 3. A 100,000 square foot Pavilion containing a Pepsi sponsored 2,000 seat Allsport arena, retail shops, video arcade, food courts, meeting rooms, special events space, & leased tenant facilities. The arena can be used for indoor professional beach volleyball, roller hockey, basketball, tennis, cultural & civic events, annual Superbowl activities, music & entertainment events, as well as serving as a roller & in-line skating rink.

Major features include the "Boston Garden Experience," a 10,000 sq. ft. two level interactive sports bar replicating great basketball & hockey memorabilia. Also included is a 40-foot rock climbing facility. The 42 acre balance of the site is the Callaway Golf CenterTM, now fully owned by AASP, which is comprised of a lighted nine-hole par 3 golf course, a 110-tee two-story driving range, & a 20,000 square foot clubhouse with bar, restaurant, St. Andrews retail shop, & training center. The par 3 course is a real challenge, not only to casual golfers, but to pros as well.

The park is strategically located near the McCarran airport (the third busiest in the U.S.) south of the Mandalay Bay Hotel on "The Strip," & borders Route I-215 that loops around the city of Las Vegas.

Market

The initial AASP facility is in a prime, heavily travelled tourist area which hosts more than 30 million visitors each year. Along with a rapidly growing resident population, this represents a huge potential for sport-loving, activity seeking fans & their families. In addition, the park sponsors Monday Night Football evenings in its arena; offers bigscreen telecasts, special events, live TV programming, tennis exhibitions -- & other special events which attract thousands of attendees.

The All-American SportPark concept spans several major industries. The size of the sports entertainment market is about $70 billion with a growth rate of 10% per year. Sports related merchandise retailing is estimated to be a $31 billion industry with a 3% growth rate. The amusement park & attraction industry is a $6 billion market with a growth of 10% forecasted. Interest in the All-American SportPark concept has sparked inquiries & investment discussions in most major tourist areas of the country, as well as in Japan, Korea, Brazil, Spain, & Germany. A tie-in with large mall developers & major sport organizations is ongoing. LVDG's prospects are increasingly positive as these activities move forward.

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