Exhibit 18.2
 MANGAS EVEREST S.A.S.
CONSOLIDATED FINANCIAL STATEMENTS
FOR THE NINE MONTHS ENDED DECEMBER 31, 2010
 Index
    
    PageIndependent Auditors Report
    
    
    1Consolidated Statement of Comprehensive Loss
    
    
    2Consolidated Statement of Financial Position
    
    
    3Consolidated Statement of Changes in Equity
    
    
    4Consolidated Statement of Cash Flows
    
    
    5Notes to the Consolidated Financial Statements
    
    
    6  26




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##### 



(CROWE HORWATH LOGO)
    
    GHP Horwath, P.C.
Member Crowe Horwath International
1670 Broadway, Suite 3000
Denver, Colorado 80202
+1 303.831.5000
+1 303.831.5032 Faxwww.GHPHorwath.com
 INDEPENDENT AUDITORS REPORT
 
      
 ()
    
    A GHP Financial Group CompanyGHP Horwath, P.C. is an independent member firm of Crowe Horwath International, a Swiss
verein. Each member firm of Crowe Horwath International is a separate and independent legal
entity.
  1




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##### 



MANGAS EVEREST S.A.S.
CONSOLIDATED STATEMENT OF COMPREHENSIVE LOSS
(EXPRESSED IN THOUSANDS)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
 Notes
    
    
    EUR
    
    
    USDNet gaming revenue
    
    
    
    
    
    
    38,482
    
    
    
    51,447Marketing expenses
    
    
    
    
    
    
    (22,263
    )
    
    
    (29,763
    )Compensation expense
    
    
    
    
    
    
    (12,106
    )
    
    
    (16,184
    )Depreciation and amortization
    
    
    
    
    
    
    (7,555
    )
    
    
    (10,100
    )Administrative expenses
    
    
    
    
    
    
    (5,748
    )
    
    
    (7,686
    )Bank and processor services
    
    
    
    
    
    
    (4,580
    )
    
    
    (6,124
    )Professional services
    
    
    
    
    
    
    (3,302
    )
    
    
    (4,414
    )Management fee-related party
    
    
    12
    
    
    
    (851
    )
    
    
    (1,138
    )Other expense
    
    
    
    
    
    
    (199
    )
    
    
    (266
    )Total expenses
    
    
    
    
    
    
    (56,604
    )
    
    
    (75,675
    )Loss before tax
    
    
    
    
    
    
    (18,122
    )
    
    
    (24,228
    )Income tax expense
    
    
    3
    
    
    
    (559
    )
    
    
    (747
    )Loss after tax
    
    
    
    
    
    
    (18,681
    )
    
    
    (24,975
    )Other comprehensive loss:Foreign exchange differences arising
from translation of foreign currency
financial statements
    
    
    
    
    
    
    118
    
    
    
    158Total comprehensive loss for the period
    
    
    
    
    
    
    (18,563
    )
    
    
    (24,817
    )
  2




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##### 



MANGAS EVEREST S.A.S.
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
(EXPRESSED IN THOUSANDS)
AS OF DECEMBER 31, 2010
 Notes
    
    
    EUR
    
    
    USDAssetsNon-current assetsGoodwill
    
    
    5
    
    
    
    74,352
    
    
    
    99,401Intangible assets, net
    
    
    5
    
    
    
    33,540
    
    
    
    44,840Property, plant and equipment
    
    
    4
    
    
    
    4,329
    
    
    
    5,787Other non-current assets
    
    
    
    
    
    
    906
    
    
    
    1,211Total non-current assets
    
    
    
    
    
    
    113,127
    
    
    
    151,239Current assetsDue from related parties
    
    
    12
    
    
    
    995
    
    
    
    1,330Prepaid and other current assets
    
    
    
    
    
    
    296
    
    
    
    396Payment processor and other receivables
    
    
    
    
    
    
    4,535
    
    
    
    6,063Cash and cash equivalents
    
    
    
    
    
    
    18,698
    
    
    
    24,997Total current assets
    
    
    
    
    
    
    24,524
    
    
    
    32,786Total assets
    
    
    
    
    
    
    137,651
    
    
    
    184,025Equity and liabilitiesEquityShare capital
    
    
    8
    
    
    
    30,906
    
    
    
    41,318Share premium
    
    
    9
    
    
    
    94,010
    
    
    
    125,682Foreign exchange reserve
    
    
    9
    
    
    
    118
    
    
    
    158Retained deficit
    
    
    
    
    
    
    (18,681
    )
    
    
    (24,975
    )Total equity
    
    
    
    
    
    
    106,353
    
    
    
    142,183LiabilitiesCurrent liabilitiesTrade and other payables
    
    
    6
    
    
    
    4,703
    
    
    
    6,287Player account balances
    
    
    
    
    
    
    18,506
    
    
    
    24,741Income tax payable
    
    
    3
    
    
    
    1,236
    
    
    
    1,652Due to related parties
    
    
    12
    
    
    
    4,456
    
    
    
    5,957Total current liabilities
    
    
    
    
    
    
    28,901
    
    
    
    38,637Non-current liabilitiesOther
    
    
    7
    
    
    
    2,397
    
    
    
    3,205Total liabilities
    
    
    
    
    
    
    31,298
    
    
    
    41,842Total equity and liabilities
    
    
    
    
    
    
    137,651
    
    
    
    184,025
  3




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##### 



MANGAS EVEREST S.A.S.
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
(EXPRESSED IN THOUSANDS)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
 Share
    
    
    Share
    
    
    Foreign Exchange
    
    
    Retained
    
    
    TotalCapital
    
    
    Premium
    
    
    Reserve
    
    
    Deficit
    
    
    EquityNotes
    
    
    EUR
    
    
    EUR
    
    
    EUR
    
    
    EUR
    
    
    EURBalance at April 1, 2010
    
    
    
    
    
    
    2
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    2Stock issuance
    
    
    8, 9
    
    
    
    30,904
    
    
    
    94,010
    
    
    
    
    
    
    
    
    
    
    
    124,914Total comprehensive loss
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    118
    
    
    
    (18,681
    )
    
    
    (18,563
    )Balance at December 31, 2010
    
    
    
    
    
    
    30,906
    
    
    
    94,010
    
    
    
    118
    
    
    
    (18,681
    )
    
    
    106,353
  4




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##### 



MANGAS EVEREST S.A.S.
CONSOLIDATED STATEMENT OF CASH FLOWS
(EXPRESSED IN THOUSANDS)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
 Notes
    
    
    EUR
    
    
    USDCash flows from operating activities:Loss after tax
    
    
    
    
    
    
    (18,681
    )
    
    
    (24,975
    )Adjustments for:Depreciation and amortization
    
    
    
    
    
    
    7,555
    
    
    
    10,100Operating loss before working capital changes
    
    
    
    
    
    
    (11,126
    )
    
    
    (14,875
    )Changes in assets and liabilities, net of
business acquisition:Decrease in payment processor and other
receivables
    
    
    
    
    
    
    3,544
    
    
    
    4,738Decrease in prepaid and other current assets
    
    
    
    
    
    
    5,751
    
    
    
    7,689Increase in due from related parties
    
    
    
    
    
    
    (992
    )
    
    
    (1,326
    )Decrease in other non-current assets
    
    
    
    
    
    
    2,232
    
    
    
    2,984Decrease in trade and other payables
    
    
    
    
    
    
    (670
    )
    
    
    (896
    )Increase in accrued liabilities
    
    
    
    
    
    
    1,553
    
    
    
    2,075Increase in due to related parties
    
    
    
    
    
    
    3,327
    
    
    
    4,448Decrease in player account balances
    
    
    
    
    
    
    (7,189
    )
    
    
    (9,611
    )Net cash used in operating activities before tax
    
    
    
    
    
    
    (3,570
    )
    
    
    (4,774
    )Income taxes paid
    
    
    
    
    
    
    (45
    )
    
    
    (60
    )Net cash used in operating activities
    
    
    
    
    
    
    (3,615
    )
    
    
    (4,834
    )Cash flows from investing activitiesAcquisition of property, plant and equipment
    
    
    4
    
    
    
    (731
    )
    
    
    (977
    )Capitalized software development costs
    
    
    5
    
    
    
    (3,040
    )
    
    
    (4,064
    )Net cash used in investing activities
    
    
    
    
    
    
    (3,771
    )
    
    
    (5,041
    )Net decrease in cash and cash equivalents
    
    
    
    
    
    
    (7,386
    )
    
    
    (9,875
    )Cash and cash equivalents at beginning of the
period
    
    
    
    
    
    
    
    
    
    
    Opening cash balance in consolidation of Everest
    
    
    1
    
    
    
    25,867
    
    
    
    34,582Effect of change in foreign exchange rates on
cash and cash equivalents
    
    
    
    
    
    
    217
    
    
    
    290Cash and cash equivalents at end of year
    
    
    
    
    
    
    18,698
    
    
    
    24,997
  5




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 1.
    
    Organization, business and managements plans:
 Organization:
  
   EURCash and cash equivalents
    
    
    25,867Payment processor and other receivables
    
    
    8,082Prepaid expenses
    
    
    6,047Property, plant and equipment (Note 4)
    
    
    5,369Other assets
    
    
    3,138Intangible assets (Note 5)
    
    
    36,259Goodwill (Note 5)
    
    
    74,473Total assets acquired
    
    
    159,235Trade and other payables
    
    
    (5,373
    )Player account balances
    
    
    (25,695
    )Other liabilities
    
    
    (3,129
    )Total liabilities assumed
    
    
    (34,197
    )Retained interest (GigaMedia - 40%)
    
    
    (50,015
    )Purchase price (BetClic - 60%)
    
    
    75,023
  6




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 1.
    
    Organization, business and managements plans (continued):
 Organization (continued):
 
   Business:
  Managements plans
     7




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 2.
    
    Summary of significant accounting policies:
 Statement of compliance:
 
 New accounting standards and interpretations:
  Improvements to IFRSs (2010):
   Revised International Accounting Standard (IAS) 24, related-party disclosures (2009):
   IFRS 9, financial instruments (2013):
   8




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 2.
    
    Summary of significant accounting policies (continued):
 IFRS 9, financial instruments (2013) (continued):
  Critical accounting policies, estimates and judgments:
  Income taxes
    
    Note 3Property, plant and equipment
    
    Note 4Intangible assets and impairment of goodwill
    
    Note 5Derivative liabilities
    
    Note 7Contingencies
    
    Note 14
 Use of estimates:
  Consolidation:
     9




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 2.
    
    Summary of significant accounting policies (continued):
 Functional currency:
 
 Revenue:
  Goodwill:
  Externally acquired intangible assets:
  Internally developed intangible assets  software development expenditures:
   10




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 2.
    
    Summary of significant accounting policies (continued):
 Internally developed intangible assets  software development expenditures (continued):
   Amortization of intangible assets:
  Trademarks/Brand names/Domain names
    
    2  11 yearsInternally-developed software
    
    2  5 yearsPlayer lists
    
    5 years
 Property, plant and equipment:
   Computers and software
    
    3 yearsFurniture and fixtures
    
    5 yearsLeasehold improvements
    
    Term of lease
   11




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 2.
    
    Summary of significant accounting policies (continued):
 Impairment of goodwill, other intangibles and property, plant and equipment:
      Financial assets:
  
    
    Payment processor receivables are short-term monetary assets which are recognized at
fair value less impairment and other related provisions. Provisions are recognized when
there is objective evidence (primarily default or significant delay in payment) that the
Company will be unable to collect all of the amounts due. The amount of such a provision
is the difference between the net carrying amount and the present value of the future
expected cash flows associated with the impaired receivable. Management believes that a
provision for uncollectible accounts was not necessary at December 31, 2010. The
Companys payment processor receivables are primarily due from Payment Service Providers
(PSPs). These PSPs perform credit checks of each player who deposits money on the
website. The PSPs retain a percentage of the deposits to cover any potential
charge-backs. The Company considers the amounts held by the PSPs as fully collectible.
  12




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 2.
    
    Summary of significant accounting policies (continued):
 Financial assets (continued):
 
    
    Cash and cash equivalents are comprised of balances held at financial institutions.
Cash equivalents are short-term, highly liquid investments that are readily convertible
into known amounts of cash. Cash equivalents include unrestricted short-term bank
deposits originally purchased with maturities of three months or less. Cash and cash
equivalents earned an average effective interest rate of 0.5% per annum during the nine
months ended December 31, 2010. These balances are primarily held in US dollars in
financial institutions in Europe.
 Financial liabilities:
  
    
    Player account balances represent the outstanding obligations the Company owes to
its players including net deposits received, undrawn winnings, jackpots, tournament prize
pools and certain promotional bonuses. The carrying amount of player liabilities
approximate their fair value which is based on the net present value of expected future
cash flows.
    
    Trade payables and other short-term monetary liabilities are initially recognized
at fair value and subsequently carried at amortized cost using the effective interest
rate method, unless the effect of discounting would be immaterial. In such cases, they
are stated at cost. Trade payables generally have credit terms of 30 to 60 days.
    
    Derivative financial liabilities are recorded at fair value in which periodic
adjustments to the fair value of the liability are recognized through profit or loss. The
Company has entered into a contract with a media firm that includes a commitment that
meets the definition of a derivative, as the underlying value of the amount owed
correlates to a specific benchmark, which is the calculated value of the Company as
defined in the contract. The liability currently has a carrying amount that approximates
fair value. Fair value was determined by using Level 3 measurements as the fair value was
obtained using inputs for the liability that are not based on observable market data.
See Note 7.
 Provisions and contingent liabilities:
    13




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 2.
    
    Summary of significant accounting policies (continued):
 Provisions and contingent liabilities (continued):
  Income tax:
        14




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 2.
    
    Summary of significant accounting policies (continued):
 Advertising expenses:
  Operating leases:
  Segment reporting:
   3.
    
    Income and other tax expense:
 
 Profit (loss)before income
    
    
    Effective Tax
    
    
    Tax ExpenseJurisdiction
    
    tax
    
    
    Rate
    
    
    (Benefit)United States
    
    
    1,065
    
    
    
    40
    %
    
    
    426United Kingdom
    
    
    94
    
    
    
    45
    %
    
    
    42Malta
    
    
    (19,577
    )
    
    
    5
    %
    
    
    (979
    )Canada
    
    
    276
    
    
    
    33
    %
    
    
    91Other
    
    
    20
    
    
    
    
    
    
    
    (18,122
    )
    
    
    
    
    
    
    (420
    )Allowance on
deferred tax
benefit
    
    
    
    
    
    
    
    
    
    
    979Income tax expense
    
    
    
    
    
    
    
    
    
    
    559
  15




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 3.
    
    Income and other tax expense (continued):
  
  
 4.
    
    Property and equipment:
 Office
    
    
    Leasehold
    
    
    Furniture &Equipment
    
    
    Improvements
    
    
    Fixtures
    
    
    TotalEUR
    
    
    EUR
    
    
    EUR
    
    
    EURNine months ended December 31, 2010Acquisition
    
    
    3,447
    
    
    
    1,486
    
    
    
    436
    
    
    
    5,369Additions
    
    
    730
    
    
    
    1
    
    
    
    
    
    
    
    731Translation differences on gross value
    
    
    (29
    )
    
    
    (4
    )
    
    
    (2
    )
    
    
    (35
    )Depreciation charge
    
    
    (1,440
    )
    
    
    (261
    )
    
    
    (95
    )
    
    
    (1,796
    )Translation differences on amortization
    
    
    46
    
    
    
    11
    
    
    
    3
    
    
    
    60Closing net book amount
    
    
    2,754
    
    
    
    1,233
    
    
    
    342
    
    
    
    4,329At December 31, 2010Cost
    
    
    4,148
    
    
    
    1,483
    
    
    
    434
    
    
    
    6,065Accumulated depreciation
    
    
    (1,394
    )
    
    
    (250
    )
    
    
    (92
    )
    
    
    (1,736
    )Net book amount
    
    
    2,754
    
    
    
    1,233
    
    
    
    342
    
    
    
    4,329
   16




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 5.
    
    Intangibles:
 InternallyDeveloped
    
    
    
    
    
    
    
    
    
    
    OtherGoodwill
    
    
    Software
    
    
    Player List
    
    
    Brand Names
    
    
    Intangibles
    
    
    TotalEUR
    
    
    EUR
    
    
    EUR
    
    
    EUR
    
    
    EUR
    
    
    EURNine months ended December 31, 2010Acquisition
    
    
    74,473
    
    
    
    13,595
    
    
    
    12,859
    
    
    
    9,327
    
    
    
    478
    
    
    
    110,732Additions
    
    
    
    
    
    
    3,040
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    3,040Translation differences on gross value
    
    
    (121
    )
    
    
    (86
    )
    
    
    (21
    )
    
    
    (16
    )
    
    
    (1
    )
    
    
    (245
    )Amortization charge
    
    
    
    
    
    
    (2,967
    )
    
    
    (1,968
    )
    
    
    (649
    )
    
    
    (175
    )
    
    
    (5,759
    )Translation differences on amortization
    
    
    
    
    
    
    64
    
    
    
    42
    
    
    
    14
    
    
    
    4
    
    
    
    124Closing net book amount
    
    
    74,352
    
    
    
    13,646
    
    
    
    10,912
    
    
    
    8,676
    
    
    
    306
    
    
    
    107,892At December 31, 2010Cost
    
    
    74,352
    
    
    
    16,549
    
    
    
    12,838
    
    
    
    9,311
    
    
    
    477
    
    
    
    113,527Accumulated amortization
    
    
    
    
    
    
    (2,903
    )
    
    
    (1,926
    )
    
    
    (635
    )
    
    
    (171
    )
    
    
    (5,635
    )Net book amount
    
    
    74,352
    
    
    
    13,646
    
    
    
    10,912
    
    
    
    8,676
    
    
    
    306
    
    
    
    107,892
   6.
    
    Trade and other payables:
  EURTrade payables
    
    
    805Accrued marketing commissions
    
    
    1,669Accrued professional fees
    
    
    511Deferred rent, current
    
    
    377Other payables
    
    
    1,3414,703
  17




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 6.
    
    Trade and other payables (continued):
   7.
    
    Other non-current liabilities:
  EURDerivative financial instrument  advertising contract (Note 11)
    
    
    1,157Deferred rent, non current
    
    
    1,2402,397
   8.
    
    Share capital:
 
 9.
    
    Reserves:
 Share premium:
   18




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##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 9.
    
    Reserves (continued):
 Foreign exchange reserve
  10.
    
    Retirement plan
  
 11.
    
    Commitments:
  2011
    
    
    2012
    
    
    2013
    
    
    2014
    
    
    TotalEUR
    
    
    EUR
    
    
    EUR
    
    
    EUR
    
    
    EUROffice leases
    
    
    1,726
    
    
    
    1,767
    
    
    
    1,785
    
    
    
    1,316
    
    
    
    6,594M6 advertising contract (Note 7)
    
    
    2,690
    
    
    
    2,350
    
    
    
    2,350
    
    
    
    1,024
    
    
    
    8,414Olympic Lyonnais sponsorship agreements
    
    
    1,625
    
    
    
    2,250
    
    
    
    1,125
    
    
    
    
    
    
    
    5,000Total
    
    
    6,041
    
    
    
    6,367
    
    
    
    5,260
    
    
    
    2,340
    
    
    
    20,008
   
   19




---



##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 11.
    
    Commitments (continued):
  12.
    
    Significant related-party transactions:
  Management fee and key management compensation:
  
 
 License fee:
 
 Related party receivables and payables:
  EURBetClic Enterprises
    
    
    887Gigamedia
    
    
    108995
 
   20




---



##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 12.
    
    Significant related-party transactions (continued):
 Related party receivables and payables (continued):
  EURBetClic
    
    
    2,829BetClic Enterprises
    
    
    500Gigamedia
    
    
    1,1274,456
    
  
 13.
    
    Financial risk management objectives  policies:
    (a) Credit risk:
   21




---



##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 13.
    
    Financial risk management objectives  policies (continued):
 (a) Credit risk (continued):
        (b) Liquidity risk
  (c) Market risk
  (d) Currency risk
   22




---



##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 13.
    
    Financial risk management objectives  policies (continued):
 (d) Currency risk (continued)
  (e) Interest rate risk
  14.
    
    Contingencies:
 Litigation:
 Technical summary of complaints and related actions prior to July 1, 2010:
     
  23




---



##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 14.
    
    Contingencies (continued):
 Litigation (continued):
 Technical summary of complaints and related actions prior to July 1, 2010 (continued):
    Technical summary of complaints and related actions after June 30, 2010:
       24




---



##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 14.
    
    Contingencies (continued):Litigation (continued):
 Technical summary of complaints and related actions after June 30, 2010 (continued):
   
 15.
    
    Capital management:
     25




---



##### 



MANGAS EVEREST S.A.S.
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (Continued)
FOR THE NINE MONTH PERIOD ENDED DECEMBER 31, 2010
(EXPRESSED IN THOUSANDS)
 16.
    
    Investment in subsidiaries:
  Country of
    
    OwnershipName of Subsidiary
    
    Incorporation
    
    Percentage
    
    Principal BusinessOwned by Mangas Everest S.A.S:MCG1 Holding Malta Limited
    
    Malta
    
    
    99.9
    %
    
    Holding CompanyNew CIDC Delaware Corp.
    
    United States
    
    
    100
    %
    
    Software DevelopmentCambridge Interactive Development Corp. Limited
    
    United Kingdom
    
    
    100
    %
    
    Marketing Support ServicesEverest Gaming Marketing Services Limited
    
    United Kingdom
    
    
    100
    %
    
    Marketing Support ServicesGlobal Interactive Services, Inc.
    
    Canada
    
    
    100
    %
    
    IT and Customer Support ServicesOwned by MCG1 Holding Malta Limited:Everest Gaming Limited
    
    Malta
    
    
    99.9
    %
    
    Online GamingCordovan Limited
    
    Gibraltar
    
    
    100
    %
    
    Marketing ServicesApex Star Pacific Limited
    
    British Virgin Islands
    
    
    100
    %
    
    DormantOwned by Everest Gaming Limited:Everest Gaming Financial Services Limited
    
    United Kingdom
    
    
    100
    %
    
    Treasury and Transaction Services
  26