Friday, October 20, 2006

Brisbane-based online gambling company Global Approach's share price has
slid a further 7% today despite assuring investors it is renewing its focus
on European and Asian markets. The share price has slipped 60% since
September 11 to 4 cents, and a $2.1 million net profit projection for 2007
is "unlikely to be achieved".
The company has now announced a major corporate restructure, with directors
taking "sizeable salary cuts" to offset new US laws. The laws prohibit the
processing of transactions from US customers. Global Approach is also
considering merger and acquisition options. According to Global managing
director James Canning-Ure, the US market makes up to 50% of net gaming
revenues. "We plan to offset any potential revenue loss by continuing our
expansion into the European and Asian markets," Canning-Ure says.
"Fortunately our company's global approach means we have not relied upon the
US market and therefore continue to have excellent growth prospects going
forward. The company has recently launched a Japanese-language site, as well
as a UK-focused casino brand.