----

----

| x | ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|--------------------------------------------------------------------------------------|

| o | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|---|------------------------------------------------------------------------------------------|

| Nevada(State or other jurisdiction of incorporation or organization)                 |   | 26-0657736(I.R.S. Employer Identification No.) |
|--------------------------------------------------------------------------------------|--------|------------------------------------------------|
|                                                                                 |   |                                           |
| 110 Greene StreetSuite 403New York, New York(Address of principal executive offices) |   | 10012(Zip Code)                                |

----

|        |   |                                                                                                                | Page   |
|-------------|--------|---------------------------------------------------------------------------------------------------------------------|--------|
|        |   | PART I                                                                                                              |   |
| Item 1.     |   | Business.                                                                                                           | 3      |
| Item 1A.    |   | Risk Factors.                                                                                                       | 6      |
| Item 1B.    |   | Unresolved Staff Comments.                                                                                          | 20     |
| Item 2.     |   | Properties.                                                                                                         | 20     |
| Item 3.     |   | Legal Proceedings.                                                                                                  | 20     |
| Item 4.     |   | Reserved.                                                                                                           | 20     |
|        |   |  PART II                                                                                                       |   |
| Item 5.     |   | Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities. | 21     |
| Item 6.     |   | Selected Financial Data.                                                                                            | 21     |
| Item 7.     |   | Management’s Discussion and Analysis of Financial Condition and Results of Operations.                        | 21     |
| Item 7A.    |   | Quantitative and Qualitative Disclosures About Market Risk.                                                         | 29     |
| Item 8.     |   | Financial Statements and Supplementary Data.                                                                        | F-1    |
| Item 9.     |   | Changes in and Disagreements With Accountants on Accounting and Financial Disclosure.                               | 53     |
| Item 9A(T). |   | Controls and Procedures.                                                                                            | 53     |
| Item 9B.    |   | Other Information.                                                                                                  | 54     |
|        |   |  PART III                                                                                                      |   |
| Item 10.    |   | Directors, Executive Officers and Corporate Governance.                                                             | 54     |
| Item 11.    |   | Executive Compensation.                                                                                             | 57     |
| Item 12.    |   | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters.                     | 59     |
| Item 13.    |   | Certain Relationships and Related Transactions, and Director Independence.                                          | 60     |
| Item 14.    |   | Principal Accountant Fees and Services.                                                                             | 61     |
|        |   | PART IV                                                                                                             |   |
| Item 15.    |   | Exhibits and Financial Statement Schedules.                                                                         | 61     |

----

|   | ● | overall economic and business conditions;                                                                   |
|--------|---------|-------------------------------------------------------------------------------------------------------------|
|   |    |                                                                                                        |
|   | ● | the demand for our goods and services;                                                                      |
|   |    |                                                                                                        |
|   | ● | competitive factors in the industries in which we compete;                                                  |
|   |    |                                                                                                        |
|   | ● | changes in tax requirements (including tax rate changes, new tax laws and revised tax law interpretations); |
|   |    |                                                                                                        |
|   | ● | the outcome of litigation and governmental proceedings;                                                     |
|   |    |                                                                                                        |
|   | ● | interest rate fluctuations and other changes in borrowing costs;                                            |
|   |    |                                                                                                        |
|   | ● | other capital market conditions, including availability of funding sources;                                 |
|   |    |                                                                                                        |
|   | ● | potential impairment of our indefinite-lived intangible assets and/or our long-lived assets; and            |
|   |    |                                                                                                        |
|   | ● | changes in government regulations.                                                                          |

Item 1. Business.

----

----

|   | •• | Expanding our core business, both domestically and internationally;Signing, developing and acquiring new talent that can achieve marquee or star status and become premium cable and PPV attractions; |
|--------|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | Increasing the sales of media rights, site rights, and sponsorship for existing series; |
|--------|---------|-----------------------------------------------------------------------------------------|

|   | • | Acquiring other promotional companies in an effort to increase market share; |
|--------|---------|------------------------------------------------------------------------------|

|   | • | Extending our core brand into related merchandising through licensing arrangements with established merchandisers; |
|--------|---------|--------------------------------------------------------------------------------------------------------------------|

|   | • | Creating and distributing other content; |
|--------|---------|------------------------------------------|

|   | • | Acquiring video libraries; |
|--------|---------|----------------------------|

|   | • | Developing our presence in other entertainment and sports-driven categories (not related to boxing) in the areas of merchandising consulting services and properties; |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | •• | Consideration of corporate acquisitions of companies in the sports marketing, management (athletes, entertainers, and television production); andRights-generating businesses (other event-driven sport/entertainment products). |
|--------|----------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Item 1A.  Risk Factors.

----

----

|         | • |   | an increased level of competition for advertising dollars, which may lead to lower sponsorships as we attempt to retain advertisers or which may cause us to lose advertisers to our competitors offering better programs that we are unable or unwilling to match;                                                                                                                  |
|--------------|---------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|    | • |   | unfavorable fluctuations in operating costs, including increased guarantees to performers and athletes, which we may be unwilling or unable to pass through to our customers via ticket prices;                                                                                                                                                                                      |
|    | • |   | our competitors may offer more favorable terms than we do in order to obtain agreements for new venues or to obtain events for the venues they operate;                                                                                                                                                                                                                              |
|    | • |   | technological changes and innovations that we are unable to adopt or are late in adopting that offer more attractive entertainment alternatives than we currently offer, which may lead to reduction in attendance at live events, a loss of ticket sales or to lower ticket prices;                                                                                                 |
|         | • |   | other entertainment options available to our audiences that we do not offer;                                                                                                                                                                                                                                                                                                         |
|    | • |   | unfavorable changes in labor conditions which may require us to spend more to retain and attract key employees; and                                                                                                                                                                                                                                                                  |
|    | • |   | unfavorable shifts in population and other demographics which may cause us to lose audiences as people migrate to markets where we have a smaller presence, or which may cause sponsors to be unwilling to pay for sponsorship and advertising opportunities if the general population shifts into a less desirable age or geographical demographic from an advertising perspective. |

----

----

----

|         | • |   | licensing, permitting and zoning, including noise ordinances;                      |
|--------------|---------|--------|------------------------------------------------------------------------------------|
|    | • |   | human health, safety and sanitation requirements;                                  |
|    | • |   | requirements with respect to the service of food and alcoholic beverages;          |
|    | • |   | working conditions, labor, minimum wage and hour, citizenship and employment laws; |
|    | • |   | compliance with the ADA and the DDA;                                               |
|    | • |   | sales and other taxes and withholding of taxes;                                    |
|    | • |   | privacy laws and protection of personally identifiable information;                |
|    | • |   | historic landmark rules; and                                                       |
|    | • |   | environmental protection laws.                                                     |

----

|         | • |   | availability of financing on favorable terms;                               |
|--------------|---------|--------|-----------------------------------------------------------------------------|
|    | • |   | unforeseen changes in design;                                               |
|    | • |   | increases in the cost of construction materials and labor;                  |
|    | • |   | additional land acquisition costs;                                          |
|    | • |   | fluctuations in foreign exchange rates;                                     |
|    | • |   | litigation, accidents or natural disasters affecting the construction site; |
|    | • |   | national or regional economic changes;                                      |
|    | • |   | environmental or hazardous conditions; and                                  |
|    | • |   | undetected soil or land conditions.                                    |

----

----

| ·   | our ability to establish and strengthen brand awareness; |
|--------------------|----------------------------------------------------------|

| ·   | our success in promoting our performers and events; |
|--------------------|-----------------------------------------------------|

| ·   | the amount and timing of costs relating to our marketing efforts or other initiatives; |
|--------------------|----------------------------------------------------------------------------------------|

| ·   | our ability to enter into favorable contracts with entertainers, athletes and venues, content distributors, developers, and other parties; |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | acquisition-related costs; |
|--------------------|----------------------------|

| ·   | our ability to compete in a highly competitive market; and |
|--------------------|------------------------------------------------------------|

| ·   | economic trends specifically affecting the entertainment and sports business, as well as general economic conditions in the markets we serve. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | our inability to recruit new performers and athletes with commercial promise and to enter into production and promotional agreements with them; |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | the loss of talent and/or popularity of our existing performers and athletes; |
|--------------------|-------------------------------------------------------------------------------|

| ·   | increased competition to maintain relationships with existing performers and athletes; |
|--------------------|----------------------------------------------------------------------------------------|

| ·   | non-renewals of current agreements with existing performers and athletes; and |
|--------------------|-------------------------------------------------------------------------------|

| ·   | poor performance or negative publicity of existing performers and athletes. |
|--------------------|-----------------------------------------------------------------------------|

----

|         | • |   | integrating the operations, financial reporting, technologies and personnel of acquired companies;                       |
|--------------|---------|--------|--------------------------------------------------------------------------------------------------------------------------|
|    | • |   | managing geographically dispersed operations;                                                                            |
|    | • |   | the diversion of management’s attention from other business concerns;                                              |
|    | • |   | the inherent risks in entering markets or lines of business in which we have either limited or no direct experience; and |
|    | • |   | the potential loss of key employees, customers and strategic partners of acquired companies.                             |

----

----

----

| ·   | changes in our industry; |
|--------------------|--------------------------|

| ·   | competitive pricing pressures; |
|--------------------|--------------------------------|

| ·   | our ability to obtain working capital financing; |
|--------------------|--------------------------------------------------|

| ·   | additions or departures of key personnel; |
|--------------------|-------------------------------------------|

| ·   | limited “public float” following the Share Exchange, in the hands of a small number of persons whose sales or lack of sales could result in positive or negative pricing pressure on the market price for our common stock; |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | sales of our common stock; |
|--------------------|----------------------------|

| ·   | our ability to execute our business plan; |
|--------------------|-------------------------------------------|

| ·   | operating results that fall below expectations; |
|--------------------|-------------------------------------------------|

| ·   | loss of any strategic relationship; |
|--------------------|-------------------------------------|

| ·   | regulatory developments; |
|--------------------|--------------------------|

| ·   | economic and other external factors; |
|--------------------|--------------------------------------|

| ·   | period-to-period fluctuations in our financial results; and |
|--------------------|-------------------------------------------------------------|

| ·   | inability to develop or acquire new or needed technology. |
|--------------------|-----------------------------------------------------------|

----

----

Item 1B. Unresolved Staff Comments

Item 2. Properties.

Item 3. Legal Proceedings.

Item 4. Reserved.

----

Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities.

| Year Ended December 31, 2010         |   |  High |   |  Low |
|--------------------------------------|--------|------------|--------|-----------|
| 1st Quarter Ended March 31, 2010     |   | $          | 0.32   |      | $ | 0.22 |
| 2nd Quarter Ended June 30, 2010      |   | $          | 0.32   |      | $ | 0.32 |
| 3rd Quarter Ended September 30, 2010 |   | $          | 0.58   |      |   | 0.32 |
| 4th Quarter Ended December 31, 2010  |   | $          | 2.00   |      |   | 0.58 |

| Year Ended December 31, 2011                              |   |  High |   |  Low |
|-----------------------------------------------------------|--------|------------|--------|-----------|
| 1st Quarter Ended March 31, 2011 (through March 11, 2011) |   | $          | 1.75   |      | $ | 0.60 |

Item 6.  Selected Financial Data.

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations.

----

----

|   | · | Revenue from ticket sales is recognized when the event occurs. Advance ticket sales and event-related revenues for future events are deferred until earned, which is generally once the events are conducted. The recognition of event-related expenses is matched with the recognition of event-related revenues. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Revenue from participation guarantee fees, sponsorship, advertising, television/cable distribution agreements, promoter and advisory service agreements is recognized in accordance with the contract terms, which are generally at the time events occur. |
|--------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Revenue from the sale of products is recognized at the point of sale at the live event concession stands. |
|--------|--------|-----------------------------------------------------------------------------------------------------------|

----

----

| Live events expenses       |   | $      | 2,000  |   |
|----------------------------|--------|--------|--------|--------|
| Sales and marketing        |   |   | 7,800  |   |
| General and administrative |   |   | 43,251 |   |
|                       |   |   |   |   |
| Total                      |   | $      | 53,051 |   |

|   | · | Live events expenses: For the period from November 30, 2009 (Inception) to December 31, 2009, live events operations expenses were $2,000. Live events operations expenses consist primarily of wages and consultants’ fees related to day-to-day administration of the Company’s live events, fighter recruiting and signing bonuses. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | Sales and marketing: For the period from November 30, 2009 (Inception) to December 31, 2009, sales and marketing costs were $7,800. Sales and marketing expenses primarily consist of marketing, advertising and promotion expenses directly and indirectly related to live events. Indirect expenses consist of Internet and print advertising. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | · | General and administrative expenses: For the period from November 30, 2009 (Inception) to December 31, 2009, general and administrative expenses were $43,251. General and administrative expenses include consulting, travel expense, office expense, supplies, telephone and communications expenses, and other expenses. In addition, this also includes compensation expense of $22,500 which was primarily attributable to contributed services provided by one of our officers valued at $22,500. |
|--------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                             |   | $      |    |   | % of Total |   |
|-------------------------------------------------------|--------|--------|---------|--------|----------------------|--------|
| Live events – ticket sales and related revenues |   | $      | 772,250 |   |                 |   | 85 | % |
|                                                  |   |   |    |   |                 |   |   |   |
| Television rights fee                                 |   |   | 101,889 |   |                 |   | 11 | % |
|                                                  |   |   |    |   |                 |   |   |   |
| Advertising – sponsorships                      |   |   | 32,500  |   |                 |   | 4 | % |
|                                                  |   |   |    |   |                 |   |   |   |
| Total                                                 |   | $      | 906,639 |   |                 |   | 100 | % |

| Cost of revenues                       |   | $      | 444,648   |   |
|----------------------------------------|--------|--------|-----------|--------|
| Sales and marketing                    |   |   | 139,130   |   |
| Live events expenses                   |   |   | 503,346   |   |
| Compensation expense and related taxes |   |   | 782,348   |   |
| Consulting fees                        |   |   | 359,760   |   |
| General and administrative             |   |   | 689,184   |   |
|                                   |   |   |      |   |
| Total                                  |   | $      | 2,918,416 |   |

| ·   | Cost of revenues: Cost of revenues for live event production was $444,648 for the period from February 10, 2010 (Inception) to December 31, 2010. Live event production costs consist principally of fighters’ purses, production cost of live events, venue rental and related expenses. We expect cost of revenues for live events to increase for the next fiscal year as we promote more events. |
|--------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Sales and marketing: For the period from February 10, 2010 (Inception) to December 31, 2010, sales and marketing costs were $139,130. Sales and marketing expenses primarily consist of marketing, advertising and promotion expenses directly and indirectly related to live events. Indirect expenses consist of internet and print advertising. |
|--------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Live events expenses: For the period from February 10, 2010 (Inception) to December 31, 2010, live events operations expenses were $503,346. Live events operations expenses consist primarily of wages and consultants’ fees related to day-to-day administration of the Company’s live events, fighter recruiting, signing bonuses and training expenses. |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Compensation expense and related taxes: Compensation expense includes salaries and stock-based compensation to our employees. For the period from February 10, 2010 (Inception) to December 31, 2010, compensation expense and related taxes were $782,348 and were primarily attributable to contributed services provided by one of our officers valued at $90,000 and stock-based compensation expense of $228,333 which is attributable to stock options granted to our chief executive officer, executive vice president, and two directors. Such increase is also due to the hiring of three executive employees and three additional support staff. We anticipate that compensation levels will remain the same for the next fiscal year |
|--------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Consulting fees: For the period from February 10, 2010 (Inception) to December 31, 2010, we incurred consulting fees of $359,760 which were primarily attributable with the issuance of our common stock for services rendered to consultants for investor relations and advisory services of $240,000 and stock-based compensation expense of $107,500 which is attributable to stock options granted to four consultants. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | General and administrative expenses: For the period from February 10, 2010 (Inception) to December 31, 2010, general and administrative expenses were $689,184. For the period from February 10, 2010 (Inception) to December 31, 2010, general and administrative expenses consisted of the following: |
|--------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

| Rent                             |   | $      | 35,584  |   |
|----------------------------------|--------|--------|---------|--------|
| Bad debt expenses                |   |   | 70,500  |   |
| Professional fees                |   |   | 154,033 |   |
| Telephone                        |   |   | 17,506  |   |
| Travel/Entertainment             |   |   | 282,392 |   |
| Depreciation                     |   |   | 8,928   |   |
| Other general and administrative |   |   | 120,241 |   |
|                             |   | $      | 689,184 |   |

----

----

|                     |   | Payments Due by Period |    |
|-------------------------------|--------|---------------------------------------|---------|
|                          |   | Total                                 |    |   | Less than 1year |   |   | 1-3 Years |   |   | 4-5Years |   |   | 5 Years+ |   |   |
| Contractual Obligations:      |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |
|                          |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Production agreement          |   | $                                     | 198,000 |   |   | $ | - |   |   | $ | 198,000 |   |   | $ | - |   |   | $ | - |   |   |
|                          |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Operating lease               |   |                                  | 280,248 |   |   |   | 62,904 |   |   |   | 200,061 |   |   |   | 17,283 |   |   |   | - |   |   |
|                          |   |                                  |    |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |   |
| Total Contractual Obligations |   | $                                     | 478,248 |   |   | $ | 62,904 |   |   | $ | 398,061 |   |   | $ | 17,283 |   |   | $ | - |   |   |

Item 7A. Quantitative and Qualitative Disclosures About Market Risk.

----

Item 8. Financial Statements and Supplementary Data.

|                                                     | Page                                                                                                                   |
|----------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------|
| Reports of Independent Registered Public Accounting Firm | F-2 to F-3                                                                                                             |
|                                                     |                                                                                                                   |   |   |
| Consolidated Financial Statements:                       |                                                                                                                   |
|                                                     | Consolidated Balance Sheets at December 31, 2010 and 2009                                                         | F-4 |
|                                                     |                                                                                                                   |   |   |
|                                                     | Consolidated Statements of Operations –                                                                     |   |
|                                                     |                                                                                                                   | For the period from February 10, 2010 (Inception) to December 31, 2010 and for the period from November 30, 2009 (Inception) to December 31, 2009  | F-5 |
|                                                     |                                                                                                                   |   |   |
|                                                     | Consolidated Statements of Changes in Members’ Deficit/ Stockholders’ Equity (Deficit) –   |   |
|                                                     |                                                                                                                   | For the period from November 30, 2009 (Inception) to December 31, 2009 | F-6  |
|                                                     |                                                                                                                   | For the period from February 10, 2010 (Inception) to December 31, 2010 | F-7  |
|                                                     |                                                                                                                   |   |   |
|                                                     | Consolidated Statements of Cash Flows –                                                                          |   |
|                                                     |                                                                                                                   | For the period from February 10, 2010 (Inception) to December 31, 2010 and for the period from November 30, 2009 (Inception) to December 31, 2009 | F-8  |
|                                                     |                                                                                                                   |   |   |
| Notes to Consolidated Financial Statements               | F-9 to F-23                                                                                                       |

----

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

----

----

THE EMPIRE SPORTS AND ENTERTAINMENT HOLDINGS CO. AND SUBSIDIARY

|                                                                                                               |   |         |                                                                                                                                                                            |   |         | Predecessor  |
|--------------------------------------------------------------------------------------------------------------------|--------|--------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|--------------|--------------|
|                                                                                                               |   | December 31, |                                                                                                                                                                            |   | December 31, |
|                                                                                                               |   | 2010         |                                                                                                                                                                            |   | 2009         |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         | (see Note 1) |
| ASSETS                                                                                                             |
| CURRENT ASSETS:                                                                                                    |   |         |                                                                                                                                                                            |   |         |         |   |
|     Cash and cash equivalents                                                                  |   |  $      |                     509,550                                                 |   |         |  $      |                        - |
|     Restricted cash - current portion                                                          |   |         |                     560,000                                                 |   |         |         |                        - |
|     Accounts receivable, net                                                                   |   |         |                     293,990                                                 |   |         |         |                        - |
|     Notes and loan receivable                                                                  |   |         |                     123,544                                                 |   |         |         |                        - |
|     Advances, participation guarantees, and other receivables, net                             |   |         |                     526,296                                                 |   |         |         |                  15,386 |
|     Prepaid expenses                                                                           |   |         |                     143,106                                                 |   |         |         |                        - |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|       Total Current Assets                                                           |   |         |                   2,156,486                                                           |   |         |         |                  15,386 |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
| OTHER ASSETS:                                                                                                      |   |         |                                                                                                                                                                            |   |         |         |   |
|     Restricted cash - long-term portion                                                        |   |         |                     500,000                                                 |   |         |         |                        - |
|     Property and equipment, net                                                                |   |         |                       33,524                                      |   |         |         |                        - |
|     Advances - net of current portion                                                          |   |         |                       49,153                                      |   |         |         |                        - |
|     Deposits                                                                                   |   |         |                       38,509                                      |   |         |         |                        - |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|       Total Other Assets - Net                                                       |   |         |                     621,186                                                 |   |         |         |                        - |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|      Total Assets                                                                         |   | $            |                   2,777,672                                                           |   |         | $            |                  15,386 |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
| LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)                                                                     |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
| CURRENT LIABILITIES:                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|     Accounts payable and accrued expenses                                                      |   | $            |                     101,329                                                 |   |         | $            |                        - |
|     Loan payable - related party                                                               |   |         |                              - |   |         |         |                  30,435 |
|     Due to related party                                                                       |   |         |                              - |   |         |         |                  15,502 |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|         Total Liabilities                                                  |   |         |                     101,329                                                 |   |         |         |                  45,937 |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
| Commitments and Contingencies                                                                                      |   |         |                                                                                                                                                                            |   |         |         |   |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
| STOCKHOLDERS' EQUITY (DEFICIT):                                                                                    |   |         |                                                                                                                                                                            |   |         |         |   |
|     Preferred stock ($.0001 Par Value; 50,000,000 Shares Authorized;                           |   |         |                                                                                                                                                                            |   |         |         |   |
|         None Issued and Outstanding)                                       |   |         |                              - |   |         |         |                        - |
|     Common stock ($.0001 Par Value; 500,000,000 Shares Authorized;                             |   |         |                                                                                                                                                                            |   |         |         |   |
|         22,135,805  and none shares issued and outstanding as of |   |         |                                                                                                                                                                            |   |         |         |   |
|         December 31, 2010 and 2009, respectively)                          |   |         |                         2,213                           |   |         |         |                        - |
|     Additional paid-in capital                                                                 |   |         |                   4,749,678                                                           |   |         |         |                  22,500 |
|     Accumulated deficit                                                                        |   |         |                 (2,075,548)                                                                     |   |         |         |                (53,051) |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|      Total Stockholders' Equity (Deficit)                                                 |   |         |                   2,676,343                                                           |   |         |         |                (30,551) |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |
|      Total Liabilities and Stockholders' Equity (Deficit)                                 |   | $            |                   2,777,672                                                           |   |         | $            |                  15,386 |
|                                                                                                               |   |         |                                                                                                                                                                            |   |         |         |   |

----

THE EMPIRE SPORTS AND ENTERTAINMENT HOLDINGS CO. AND SUBSIDIARY

|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    | Predecessor                                                                                                                                                                                                                                                                                                                                             |    |
|--------------------------------------------------------------------------------|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------|
|                                                                           |   |    | For the Period from                                                                                                                                                                                                                                                       |    |   |    | For the Period from                                                                                                                                                                                                                                                                                                                                     |    |
|                                                                           |   |    |  February 10, 2010 (Inception)                                                                                                                                                                                                                                       |    |   |    |  November 30, 2009 (Inception)                                                                                                                                                                                                                                                                                                                     |    |
|                                                                           |   |    |  to December 31, 2010                                                                                                                                                                                                                                                |    |   |    |  to December 31, 2009                                                                                                                                                                                                                                                                                                                              |    |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    | (see Note 1)                                                                                                                                                                                                                                                                                                                                            |    |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
| Net revenues                                                                   |   | $       | 906,639                                                                                                                                                                                                                                                                   |    |   | $  |       -                                                                                                                                                                                                                                                                                                                   |    |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
| Operating expenses:                                                            |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
|    Cost of revenues                                             |   |    |                                           444,648       |    |   |    |                                                          - |    |
|    Sales and marketing expenses                                 |   |    |                                           139,130       |    |   |    |                                                   7,800                                       |    |
|    Live events expenses                                         |   |    |                                           503,346       |    |   |    |                                                   2,000                                       |    |
|    Compensation and related taxes                               |   |    |                                           782,348       |    |   |    |                                                 22,500                                                  |    |
|    Consulting fees                                              |   |    |                                           359,760       |    |   |    |                                                          - |    |
|    General and administrative expenses                          |   |    |                                           689,184       |    |   |    |                                                 20,751                                                  |    |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
|          Total operating expenses |   |    |                                         2,918,416                 |    |   |    |                                                 53,051                                                  |    |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
| Loss from operations                                                           |   |    |                                       (2,011,777                            | )  |   |    |                                                (53,051                                                       | )  |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
| Interest expense and other financial costs,                                    |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
|   net of interest income of $8,241                                   |   |    |                                            (10,720 | )  |   |    |                                                          - |    |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
| Net loss                                                                       |   | $  |  (2,022,497                                                                                                                                                                                                                                                          | )  |   | $  |                                           (53,051                                                                                     | )  |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
| NET LOSS PER COMMON SHARE:                                                     |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
|   Basic and Diluted                                                  |   | $  |  (0.11                                                                                                                                                                                                                                                               | )  |   | $  |                                                      -                         |    |
|                                                                           |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
| WEIGHTED AVERAGE COMMON SHARES                                                 |   |    |                                                                                                                                                                                                                                                                      |    |   |    |                                                                                                                                                                                                                                                                                                                                                    |    |
|     OUTSTANDING - Basic and Diluted                        |   |    |                                       18,708,047                            |    |   |    |                                                        -             |    |

----

GOLDEN EMPIRE, LLC

|                                   |    |                                                                                                                                                    |           |   |    |                                                                                                                                                                                                          |              |   |    |                                                                                                                                                                                       |  Total    |   |
|----------------------------------------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------|----------------|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------|--------|
|                                   |    |                                                                                                                                                    |  Members' |   |    |                                                                                                                                                                                                          |  Accumulated |   |    |                                                                                                                                                                                       |  Members' |   |
|                                   |    |                                                                                                                                                    |  Interest |   |    |                                                                                                                                                                                                          |  Deficit     |   |    |                                                                                                                                                                                       |  Deficit  |   |
|                                   |    |                                                                                                                                                    |           |   |    |                                                                                                                                                                                                          |              |   |    |                                                                                                                                                                                       |           |   |
| Balance, November 30, 2009 (Inception) | $  |  -                                                                                                                                                 |           |   | $  |   -                                                                                                                                                                                                 |              |   | $  |  -                                                                                                                                                                                    |           |
|                                   |    |                                                                                                                                                    |           |   |    |                                                                                                                                                                                                          |              |   |    |                                                                                                                                                                                       |           |   |
| Members' contribution                  |    |                   22,500                                      |           |   |    |                                   - |              |   |    |                               22,500 |           |
|                                   |    |                                                                                                                                                    |           |   |    |                                                                                                                                                                                                          |              |   |    |                                                                                                                                                                                       |           |   |
| Net loss                               |    |                          - |           |   |    |                           (53,051                                           | )            |   |    |                              (53,051      | )         |
|                                   |    |                                                                                                                                                    |           |   |    |                                                                                                                                                                                                          |              |   |    |                                                                                                                                                                                       |           |   |
| Balance, December 31, 2009             | $  |  22,500                                                                                                                                            |           |   | $       | (53,051                                                                                                                                                                                                       | )            |   | $  |  (30,551                                                                                                                                                                              | )         |

----

THE EMPIRE SPORTS AND ENTERTAINMENT HOLDINGS CO. AND SUBSIDIARY

|                                                        |   |                                                                                                                                                          | Common Stock            |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |  Total         |    |
|-------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------|---------|----------------------------------------------------------------------------------------------------|------------------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------|---------|
|                                                        |   |                                                                                                                                                          |  $0.0001 Par Value |    |                                                                                               |  Additional |    |                                                                                                                                                                                              |  Accumulated     |    |                                                                                                                                                                                                          |  Stockholders' |    |
|                                                        |   |                                                                                                                                                          |  Shares            |    |                                                                                               |  Amount     |    |                                                                                                                                                                                              |  Paid-in Capital |    |                                                                                                                                                                                                          |  Deficit       |    |   |  Equity |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Balance, February 10, 2010 (Inception)                      |   |                           - |                    | $  |   -                                                                                      |             | $  |   -                                                                                                                                                                                     |                  | $  | -                                                                                                                                                                                                             |                | $  |   - |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Contribution of capital and net assets                      |   |                           - |                    |    |                 -  |             |    |                           22,500                                |                  |    |                           (53,051                                           | )                   |    |                      (30,551 | )  |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Common stock issued to founders                             |   |              12,090,000                                                                      |                    |    |            1,209                            |             |    |                                 - |                  |    |                                   - |                |    |                          1,209 |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Issuance of common stock for cash                           |   |                6,512,000                                                           |                    |    |               651            |             |    |                      3,689,698                                                           |                  |    |                                   - |                |    |                   3,690,349 |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Issuance of common stock in satisfaction of loans payable   |   |                  600,000                                                 |                    |    |                 60 |             |    |                         359,940                                           |                  |    |                                   - |                |    |                      360,000 |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Issuance of common stock for services                       |   |                  420,000                                                 |                    |    |                 42 |             |    |                         251,958                                           |                  |    |                                   - |                |    |                      252,000 |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Contributed officer services                                |   |                           - |                    |    |                 -  |             |    |                           90,000                                |                  |    |                                   - |                |    |                        90,000 |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Stock-based compensation in connection with options granted |   |                           - |                    |    |                 -  |             |    |                         335,833                                           |                  |    |                                   - |                |    |                      335,833 |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Recapitalization of Company including stock dividend        |   |                2,513,805                                                           |                    |    |               251            |             |    |                              (251                | )                     |    |                                   - |                |    |                               - |   |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Net loss                                                    |   |                           - |                    |    |                 -  |             |    |                                 - |                  |    |                      (2,022,497                                                                      | )                   |    |                  (2,022,497 | )  |
|                                                        |   |                                                                                                                                                          |                    |    |                                                                                               |             |    |                                                                                                                                                                                              |                  |    |                                                                                                                                                                                                          |                |    |   |   |   |
| Balance, December 31, 2010                                  |   |              22,135,805                                                                      |                    | $  | 2,213                                                                                              |             | $  |  4,749,678                                                                                                                                                                                   |                  | $  |  (2,075,548                                                                                                                                                                                              | )                   | $  | 2,676,343 |   |

----

THE EMPIRE SPORTS AND ENTERTAINMENT HOLDINGS CO. AND SUSIDIARY

|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              | Predecessor                         |   |
|-------------------------------------------------------------------------|-----------------------------------------------|----------------------------------------------------------------|---------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------|--------|
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        | For the Period from                 |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              | For the Period from                 |   |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |  February 10, 2010 (Inception) |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |  November 30, 2009 (Inception) |   |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |  to December 31, 2010          |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |  to December 31, 2009          |   |
| CASH FLOWS FROM OPERATING ACTIVITIES:                                   |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                | (see Note 1)                                                                                                                                                                                                                                                                                                                                      |          |
|                                                                    | Net loss                                      |                                                           |                                                                | $                                                                                                                                                                                                                                                                                                                                      | (2,022,497 | )                                                                                                                                                                                                                                                                                                                                      |                                | $                                                                                                                                                                                                                                                                                                                                            |  (53,051 | )                                                                                                                                                                                                                                                                                                                                            |
|                                                                    | Adjustments to reconcile net loss to net cash |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |
|                                                                    |                                          | used in operating activities:                                  |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |
|                                                                    |                                          | Depreciation                                                   |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                 8,928                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Bad debts                                                      |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                70,500                                            |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Amortization of promotional advances                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                37,275                                            |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Contributed officer services                                   |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                90,000                                            |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                22,500                                                  |                                |
|                                                                    |                                          | Common stock issued for services                               |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                              252,000                                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Stock-based compensation                                       |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                              335,833                                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    | Changes in operating assets and liabilities:  |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |
|                                                                    |                                          | Restricted cash - current portion                              |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                            (560,000                                                                  | )                                   |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Accounts receivable                                            |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                            (324,490                                                                  | )                                   |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Advances, participation guarantees, and other receivables, net |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                            (637,338                                                                  | )                                   |                                                                                                                                                                                                                                                                                                                                              |          |                                              (15,386                                                             | )                              |
|                                                                    |                                          | Prepaid expenses                                               |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                            (143,106                                                                  | )                                   |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Other assets                                                   |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                              (38,509                                                       | )                                   |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Restricted cash - long-term portion                            |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                            (500,000                                                                  | )                                   |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Accounts payable and accrued expenses                          |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                              101,329                                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| NET CASH USED IN  OPERATING ACTIVITIES                        |                                          |                                                           |                                                                |                                          (3,330,075                                                                            | )     |                                                                                                                                                                                                                                                                                                                                        |                                |                                              (45,937                                                             | )        |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| CASH FLOWS FROM INVESTING ACTIVITIES:                                   |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |
|                                                                    |                                          | Advances on notes and loan receivable                          |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                            (123,544                                                                  | )                              |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Purchase of property and equipment                             |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                              (42,452                                                       | )                              |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| NET CASH USED IN INVESTING ACTIVITIES                                   |                                          |                                                           |                                                                |                                            (165,996                                                                  | )     |                                                                                                                                                                                                                                                                                                                                        |                                |                                                         - |          |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| CASH FLOWS FROM FINANCING ACTIVITIES:                                   |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |
|                                                                    |                                          | Proceeds from issuance of common stock to founders             |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                 1,209                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Proceeds from sale of common stock, net of issuance cost       |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                           3,690,349                                                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Proceeds from loan payable                                     |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                              160,000                                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Proceeds from loan payable - related party                     |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                        - |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                30,435                                                  |                                |
|                                                                    |                                          | Proceeds from note payable - related party                     |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                              468,500                                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Principal repayments on note payable                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                            (298,935                                                                  | )                              |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Payments on related party advances                             |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                            (178,866                                                                  | )                              |                                                                                                                                                                                                                                                                                                                                              |          |                                                         - |                                |
|                                                                    |                                          | Proceeds from related party advances                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                              163,364                                                       |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                15,502                                                  |                                |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| NET CASH PROVIDED BY FINANCING ACTIVITIES                               |                                          |                                                           |                                                                |                                           4,005,621                                                                       |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                45,937                                                  |          |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| NET INCREASE IN CASH AND CASH EQUIVALENTS                               |                                          |                                                           |                                                                |                                              509,550                                                       |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                         - |          |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| CASH AND CASH EQUIVALENTS- beginning of period                          |                                          |                                                           |                                                                |                                                        - |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                         - |          |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| CASH AND CASH EQUIVALENTS- end of period                                |                                          |                                                           | $                                                              | 509,550                                                                                                                                                                                                                                                                                                                                     |       |                                                                                                                                                                                                                                                                                                                                        | $                              |  -                                                                                                                                                                                                                                                                                                                                           |          |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| SUPPLEMENTAL DISCLOSURE OF CASH FLOW  INFORMATION:            |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |
|                                                                    | Cash paid for:                                |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |
|                                                                    |                                          |                                                           | Interest                                                            |                                                                                                                                                                                                                                                                                                                                        |       | $                                                                                                                                                                                                                                                                                                                                      |  1,065                         |                                                                                                                                                                                                                                                                                                                                              |          | $                                                                                                                                                                                                                                                                                                                                            | -                                   |   |
|                                                                    |                                          |                                                           | Income taxes                                                        |                                                                                                                                                                                                                                                                                                                                        |       | $                                                                                                                                                                                                                                                                                                                                      |   -                       |                                                                                                                                                                                                                                                                                                                                              |          | $                                                                                                                                                                                                                                                                                                                                            |  -                             |   |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
| SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND FINANCING ACTIVITIES: |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
|                                                                    |                                          |                                                           | Issuance of common stock for payment of loans payable               |                                                                                                                                                                                                                                                                                                                                        |       | $                                                                                                                                                                                                                                                                                                                                      | 360,000                             |                                                                                                                                                                                                                                                                                                                                              |          | $                                                                                                                                                                                                                                                                                                                                            |   -                       |   |
|                                                                    |                                          |                                                           |                                                                |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
|                                                                    |                                          |                                                           | Carrying value of assumed assets, liabilities and certain promotion |                                                                                                                                                                                                                                                                                                                                        |       |                                                                                                                                                                                                                                                                                                                                        |                                |                                                                                                                                                                                                                                                                                                                                              |          |                                                                                                                                                                                                                                                                                                                                              |                                |   |
|                                                                    |                                          |                                                           |   rights agreement contributed from Golden Empire, LLC         |                                                                                                                                                                                                                                                                                                                                        |       | $                                                                                                                                                                                                                                                                                                                                      | (30,551                             | )                                                                                                                                                                                                                                                                                                                                            |          | $                                                                                                                                                                                                                                                                                                                                            | -                                   |   |

----

THE EMPIRE SPORTS & ENTERTAINMENT HOLDINGS CO. AND SUBSIDIARY

----

----

|   | Level 1: | Observable inputs such as quoted market prices in active markets for identical assets or liabilities                                          |
|--------|---------------|-----------------------------------------------------------------------------------------------------------------------------------------------|
|   | Level 2: | Observable market-based inputs or unobservable inputs that are corroborated by market data                                                    |
|   | Level 3: | Unobservable inputs for which there is little or no market data, which require the use of the reporting entity’s own assumptions.  |

|                                                        |   | Level 1 |          | Level 2 |   | Level 3       |   | Total  |   |
|-------------------------------------------------------------|--------|---------|---------------|---------|--------|---------------|--------|--------|--------|
| Assets:                                                     |   |    |          |    |   |          |   |   |   |
| Advances receivable (including promotion rights agreements) |   | $       |  — |    | $      |  — |   | $      | 15,386 |   | $ | 15,386 |   |

| Liabilities:         |   |   |          |   |   |          |   |   |   |
|----------------------|--------|--------|---------------|--------|--------|---------------|--------|--------|--------|
| Note payable         |   | $      |  — |   | $      |  — |   | $      | 30,435 |   | $ | 30,435 |   |
| Due to related party |   | $      |  — |   | $      |  — |   | $      | 15,502 |   | $ | 15,502 |   |

----

----

| ·   | Revenue from ticket sales is recognized when the event occurs. Advance ticket sales and event-related revenues for future events are deferred until earned, which is generally once the events are conducted. The recognition of event-related expenses is matched with the recognition of event-related revenues. |
|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Revenue from participation guarantee fee, sponsorship, advertising, television/cable distribution agreements, promoter and advisory service agreements is recognized in accordance with the contract terms, which are generally at the time events occur. |
|--------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| ·   | Revenue from the sale of products is recognized at the point of sale at the live event concession stands. |
|--------------------|-----------------------------------------------------------------------------------------------------------|

|                                             |   | $      |    |   | % of Total |   |
|-------------------------------------------------------|--------|--------|---------|--------|----------------------|--------|
| Live events – ticket sales and related revenues |   | $      | 772,250 |   |                 |   | 85 | % |
|                                                  |   |   |    |   |                 |   |   |   |
| Television rights fee                                 |   |   | 101,889 |   |                 |   | 11 | % |
|                                                  |   |   |    |   |                 |   |   |   |
| Advertising – sponsorships                      |   |   | 32,500  |   |                 |   | 4 | % |
|                                                  |   |   |    |   |                 |   |   |   |
| Total                                                 |   | $      | 906,639 |   |                 |   | 100 | % |

----

|                                    |   | For the Period from February 10, 2010 toDecember 31, 2010 |       |
|-----------------------------------------|--------|-----------------------------------------------------------|------------|
| Numerator:                              |   |                                                      |       |
| Net loss                                |   | $                                                         | (2,022,497 | ) |
|                                    |   |                                                      |       |   |
| Denominator:                            |   |                                                      |       |   |
| Denominator for basic loss per share    |   |                                                      |       |   |
| (weighted-average shares)               |   |                                                      | 18,708,047 |   |
|                                    |   |                                                      |       |   |
| Denominator for dilutive loss per share |   |                                                      |       |   |
| (adjusted weighted-average)             |   |                                                      | 18,708,047 |   |
|                                    |   |                                                      |       |   |
| Basic and diluted loss per share        |   | $                                                         | (0.11      | ) |

----

----

|                           | Estimated life |   | December 31,2010 |   |
|--------------------------------|----------------|--------|------------------|--------|
| Furniture and fixtures         | 5 years        |   | $                | 14,057 |   |
| Office and computer equipments | 5 years        |   |             | 21,145 |   |
| Leasehold improvements         | 5 years        |   |             | 7,250  |   |
|                           |           |   |             | 42,452 |   |
| Less: accumulated depreciation |           |   |             | (8,928 | ) |
|                           |           |   | $                | 33,524 |   |

----

----

----

|                                                             | For the period from February 10, 2010 (inception) to December 31, 2010 |   |
|------------------------------------------------------------------|------------------------------------------------------------------------|--------|
|                                                             | Number of Options and Warrants                                         |   |   | Weighted Average Exercise Price |   | Weighted Average Remaining Contractual Life (Years) |   |
| Balance at beginning of period                                   | -                                                                      |   | $ | - |   | - |   |
| Granted                                                          | 3,050,000                                                              |   |   | 0.60 |   | 9.45 |   |
| Exercised                                                        | -                                                                      |   |   | - |   | - |   |
| Forfeited                                                        | (200,000)                                                              |   |   | 0.60 |   | 9.51 |   |
| Cancelled                                                        | -                                                                      |   |   | - |   | - |   |
| Balance outstanding and non-vested balance at the end of year    | 2,850,000                                                              |   | $ | 0.60 |   | 9.45 |   |
|                                                             |                                                                   |   |   |   |   |   |   |
| Options exercisable at end of year                               | -                                                                      |   | $ | - |   |   |   |
| Weighted average fair value of options granted during the period |                                                                   |   | $ | 0.60 |   |   |   |

| Years ending December 31: |   |    |
|---------------------------|--------|---------|
| 2011                      |   | 62,904  |   |
| 2012                      |   | 64,764  |   |
| 2013                      |   | 66,663  |   |
| 2014                      |   | 68,634  |   |
| 2015 and thereafter       |   | 17,283  |   |
|                      | $      | 280,248 |   |

----

----

|                                                         |   |    | December 31, 2010 |    |
|--------------------------------------------------------------|--------|---------|-------------------|---------|
| Tax benefit computed at "expected" statutory rate  |   | $  |  (687,649    | )  |
| State income taxes, net of benefit                      |   |    |  (135,275    | )  |
| Permanent differences                              |   |    |  30,600      |    |
| Increase in valuation allowance                         |   |    |  792,324     |    |
| Net income tax benefit                                  |   | $  |              |    |

|                                      | December 31,2010                                                                                                                   |   |
|-------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------|--------|
|                                      |                                                                                                                               |   |
| Computed "expected" tax expense (benefit) |                 (34.0)%                            |   |
| State income taxes                        | (7.0)%                                                                                                                             |   |
| Other permanent differences               | 2%                                                                                                                                 |   |
| Change in valuation allowance             | 39.0%                                                                                                                              |   |
|                                      |                                                                                                                               |   |
| Effective tax rate                        |                      0.0% |   |

|                         |
|------------------------------|
| Deferred tax assets:         |   |   |   |
| Net operating loss carryover | $  | 654,632 |   |
| Stock based compensation     |   |                              137,692 |   |
| Less: valuation allowance    |   | (792,324 | )  |
| Net deferred tax asset       | $  |                                      - |   |

----

| Current:                   |    |                                                                                                                                                                                                                                                    |   |
|----------------------------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
|   Federal        | $  |  -                                                                                                                                                                                                                                                 |   |
|   State          |    |                                          - |   |
|    Subtotal |    |                                          - |   |

| Deferred:                                                   |    |                                                                                                                                                                                                                                        |    |
|-------------------------------------------------------------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------|
|   Federal                                         |    |                               687,649                                                 |    |
|   State                                           |    |                              135,275                                                       |    |
|   Permanent differences                           |    |                              (30,600                                                       | )  |
|    Subtotal                                  |    |                              792,324                                                       |    |
| Change in valuation allowance                               |    |                              792,324                                                       |    |
|    Provision for (benefit from) income taxes | $  |                                        - |    |

----

----

Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure.

| ITEM 9A(T). | CONTROLS AND PROCEDURES |
|-------------|-------------------------|

----

Item 9B. Other Information.

Item 10. Directors, Executive Officers and Corporate Governance.

| Name             |   | Age    |   | Position with the Company                                  |
|------------------|--------|--------|--------|------------------------------------------------------------|
|             |   |   |   |                                                       |
| Sheldon Finkel   |   | 66     |   | Chairman and Chief Executive Officer                       |
|             |   |   |   |                                                       |
| Barry Honig      |   | 39     |   | Co-Chairman                                                |
|             |   |   |   |                                                       |
| Gregory D. Cohen |   | 41     |   | President, Chief Operating Officer, Secretary and Director |
|             |   |   |   |                                                       |
| Adam Wasserman   |   | 46     |   | Chief Financial Officer                                    |
|             |   |   |   |                                                       |
| Peter Levy       |   | 50     |   | Executive Vice President                                   |

----

----

----

Item 11. Executive Compensation.

| Name and Principal Position                                                       |   | Year                                                                                                             |   | Salary($) |   | Bonus($)                         |   | OptionAwards($) |   | All Other Compensation($) |   | Total($) |   |
|-----------------------------------------------------------------------------------|--------|------------------------------------------------------------------------------------------------------------------|--------|-----------|--------|----------------------------------|--------|-----------------|--------|---------------------------|--------|----------|--------|
|                                                                              |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
| Sheldon Finkel,                                                                   |   |                                                                                                             | 2010   |      |   |     $250,000 |   |            | ___    |                      |   | $510,000 |   | $ | -- |   |   |   $760,000 |   |
| Chairman of the Board of Directors of the Company and Chief Executive Officer (1) |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
|                                                                              |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
|                                                                              |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
| Adam Wasserman, Chief Financial Officer (2)                                       |   |                                                                                                             | 2010   |      |   | --                               |   |            | --     |                      |   | --       |   |   | $41,250 |   |   |   $41,250 |   |
|                                                                              |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
|                                                                              |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
| Gregory D. Cohen, President, Chief Operating Officer, Secretary and Director (3)  |   |                                                                                                             | 2010   |      |   | $90,000                          |   |            | --     |                      |   | $360,000 |   |   | -- |   |   |  $450,000 |   |
|                                                                              |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
|                                                                              |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
| Betty Soumekh                                                                     |   |                                                                                                             | 2010   |      |   | --                               |   |            | --     |                      |   | --       |   |   | -- |   |   | -- |   |
| Former President and Chief Executive Officer (4)                                  |   |                                                                                                             | 2009   |      |   |                             |   |            |   |                      |   |     |   |   |   |   |   |   |   |
|                                                                              |   |                                                                                                             |   |      |   |                             |   |            |   |                      |   |     |   |
| (1)                                                                               |   | Mr. Finkel was appointed as our Chairman and Chief Executive Officer on September 29, 2010.                      |   |
| (2)                                                                               |   | Mr. Wasserman was appointed as our Chief Financial Officer on November 11, 2010.                                 |   |
| (3)                                                                               |   | Mr. Cohen was appointed as our President, Chief Operating Officer, Secretary and Director on September 29, 2010. |   |
| (4)                                                                               |   | Ms. Somekh resigned from her position as President and Chief Executive Officer on September 29, 2010.            |   |

----

|             | Option Award                                                       | Stock Award                                                         |
|------------------|--------------------------------------------------------------------|---------------------------------------------------------------------|
| Name             | Number of Securities Underlying Unexercised Options(#) Exercisable | Number of Securities Underlying Unexercised Options(#)Unexercisable | Equity Incentive Plan Awards:Number of Securities Underlying Unexercised Unearned Options | Option Exercise Price($) | Option Expiration Date | Number of Shares or Units of Stock That Have Not Vested | Market Value of Shares or Units of Stock That Have Not Vested($) | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested(#) | Equity Inventive Plan Awards: Market or Payout Value of Unearned Shares, Units or Other Rights That Have Not Vested($) |
| Sheldon Finkel   | --                                                                 | --                                                                  | 850,000 | $0.60 | September 29, 2020 | -- | -- | -- | -- |
| Gregory D. Cohen | --                                                                 | --                                                                  | 600,000 | $0.60 | September 29, 2020 | -- | -- | -- | -- |
| Peter Levy       | --                                                                 | --                                                                  | 250,000 | $0.60 | September 29, 2020 | -- | -- | -- | -- |

----

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters.

| Name ofBeneficial Owner                                              |   | Number of Shares BeneficiallyOwned |   | PercentageBeneficially Owned (1) |
|----------------------------------------------------------------------|--------|------------------------------------|--------|----------------------------------|
|                                                                 |   |                               |   |                             |   |
| Executive Officers and Directors:                                    |   |                               |   |                             |   |
|                                                                 |   |                               |   |                             |   |
| Sheldon Finkel                                                  |   |  2,150,000                    |   | (2)                              |  9.7% |
|                                                                 |   |                               |   |                             |   |
| Barry Honig                                                     |   |  3,803,333                    |   | (3)                         |  17.2% |
|                                                                 |   |                               |   |                             |   |
| Gregory D. Cohen                                                |   |  2,100,000                    |   | (4)                         |  11.7% |
|                                                                 |   |                               |   |                             |   |
| Adam Wasserman                                                  |   |  16,000                       |   |                             |  * |
|                                                                 |   |                               |   |                             |   |
| Peter Levy                                                      |   |  0                            |   | (5)                              |  0 |
|                                                                 |   |                               |   |                             |   |
| All executive officers and directors as a group (five persons)  |   |  8,069,333 (2)(3)(4)(5)       |   |                             |  36.4% |

| * (1) | Less than 1% Based on 22,135,805 shares of our common stock outstanding on March 11, 2011. |
|------------|-------------------------------------------------------------------------------------------------|

| (2)  | Does not include (i) 850,000 shares of our common stock issuable upon exercise of outstanding options that are not currently exercisable, and (ii) 400,000 shares of common stock held by Mr. Finkel's adult son, William Finkel.  |
|-----------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|      |                                                                                                                                                                                                                                    |
| (3)  | Does not include 400,000 shares of our common stock issuable upon exercise of outstanding options that are not currently exercisable.                                                                                              |
|      |                                                                                                                                                                                                                                    |
| (4)  | Does not include 600,000 shares of our common stock issuable upon exercise of outstanding options that are not currently exercisable.                                                                                              |
|      |                                                                                                                                                                                                                                    |
| (5)  | Does not include 250,000 shares of our common stock issuable upon exercise of outstanding options that are not currently exercisable.                                                                                         |
|      |                                                                                                                                                                                                                                    |

----

|                                                                               |   | Number of securities to be issued upon exercise of outstanding options, warrants and rights |      | Weighted-average exercise price of outstanding options, warrants and rights |   | Number of securities remaining available for future issuance under equity compensation plans |   |
|------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------|-----------|-----------------------------------------------------------------------------|--------|----------------------------------------------------------------------------------------------|--------|
|     Equity compensation plans approved by security holders     |   |                                                                                        | 2,800,000 |                                                                        | $      | 0.60                                                                                         |   |   | 200,000 |   |
|     Equity compensation plans not approved by security holders |   |                                                                                        | 250,000   |                                                                        |   | 0.60                                                                                         |   |   |   - |   |
| Total                                                                              |   |                                                                                        | 3,050,000 |                                                                        | $      | 0.60                                                                                         |   |   | 200,000 |   |

Item 13. Certain Relationships and Related Transactions, and Director Independence.

----

Item 14. Principal Accountant Fees and Services.

Item 15. Exhibits and Financial Statement Schedules.

| Exhibit No.  |        Description                                                                                                                                                                                           |   |
|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| 2.1               | Share Exchange Agreement dated as of September 29, 2010, by and among The Empire Sports & Entertainment Holdings Co., The Empire Sports & Entertainment, Co. and the shareholders of The Empire Sports & Entertainment Co. (1) |   |
| 3.1               | Amended and Restated Articles of Incorporation (2)                                                                                                                                                                                         |   |
| 3.2               | Amended and Restated Bylaws (2)                                                                                                                                                                                                            |   |
| 10.1              | The Empire Sports & Entertainment Holdings Co. 2010 Equity Incentive Plan (1)(6)                                                                                                                                                       |   |
| 10.2              | Form of 2010 Incentive Stock Option Agreement (1)(6)                                                                                                                                                                                       |   |
| 10.3              | Form of 2010 Non-Qualified Stock Option Agreement (1)(6)                                                                                                                                                                                   |   |
| 10.4              | Employment Agreement Sheldon Finkel (1)(5)                                                                                                                                                                                                 |   |
| 10.5              | Employment Agreement Gregory D. Cohen (1)(5)                                                                                                                                                                                               |   |
| 10.6              | Agreement of Conveyance, Transfer and Assignment of Assets and Assumption of Obligations, dated as of October 8, 2010, by and between The Empire Sports & Entertainment Holdings Co. and Excel Global Holdings Co. (5)                 |   |
| 10.7              | Form of Stock Purchase Agreement, dated as of October 8, 2010, by and between The Empire Sports & Entertainment Holdings Co., and the shareholders listed therein (5)                                                                  |   |
| 10.8              | Employment Agreement Peter Levy                                                                                                                                                                                                            |   |
| 16.1              | Letter from Gumbiner Savett Inc. dated October 21, 2010 (3)                                                                                                                                                                                |   |
| 21.1              | List of Subsidiaries                                                                                                                                                                                                                       |   |
| 31.1              | Section 302 Certification of Principal Executive Officer                                                                                                                                                                                   |   |
| 31.2              | Section 302 Certification of Principal Financial Officer                                                                                                                                                                                   |   |
| 32.1              | Section 906 Certification of Principal Executive Officer and Principal Financial Officer                                                                                                                                                   |   |

| (1)   | Incorporated herein by reference to the copy of such document included as an exhibit to our Current Report on Form 8-K filed on October 5, 2010. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (2)   | Incorporated herein by reference to the copy of such document included as an exhibit to our Current Report on Form 8-K filed on October 4, 2010. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (3)   | Incorporated herein by reference to the copy of such document included as an exhibit to our Current Report on Form 8-K filed on October 26, 2010. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

| (4)   | Incorporated herein by reference to the copy of such document included as an exhibit to our Current Report on Form 8-K filed on October 12, 2010. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

| (5)   | Management contract. |
|-----------------|----------------------|

| (6)   | Management compensatory plan. |
|-----------------|-------------------------------|

----

|                       | THE EMPIRE SPORTS & ENTERTAINMENT HOLDINGS CO. |                                                                        |
|----------------------------|----------------------------------------------------|-----------------------------------------------------------------------------|
|                       |                                               |                                                                        |   |
|                       |                                               |                                                                        |   |
| Date: March 14, 2011       | By:                                           |   /s/ Sheldon Finkel                                                   |   |
|                       |                                               | Name: Sheldon Finkel                                                        |   |
|                       |                                               | Title: Chairman and Chief Executive Officer (Principal Executive Officer)   |   |
|                       |                                               |                                                                        |   |
|                       |                                               |                                                                        |   |
| Date: March 14, 2011  | By:                                           | /s/ Adam Wasserman                                                          |   |
|                       |                                               | Name: Adam Wasserman                                                        |   |
|                       |                                               | Title: Chief Financial Officer (Principal Financial and Accounting Officer) |   |

| Name                      |   | Capacity                                                             |   | Date           |
|---------------------------|--------|----------------------------------------------------------------------|--------|----------------|
|                      |   |                                                                 |   |           |
|   /s/ Sheldon Finkel |   |                                                                 |   |           |
| Sheldon Finkel            |   | Chairman and Chief Executive Officer (Principal Executive Officer)   |   | March 14, 2011 |
|                      |   |                                                                 |   |           |
|   /a/ Adam Wasserman |   |                                                                 |   |           |
| Adam Wasserman            |   | Chief Financial Officer (Principal Financial and Accounting Officer) |   | March 14, 2011 |
|                      |   |                                                                 |   |           |
|   /s/ Barry Honig    |   |                                                                 |   |           |
| Barry Honig               |   | Co-Chairman                                                          |   | March 14, 2011 |
|                      |   |                                                                 |   |           |
|                      |   |                                                                 |   |           |
| Gregory D. Cohen          |   | President, Chief Operating Officer, Secretary and Director           |   | March 14, 2011 |
|                      |   |                                                                 |   |           |
|                      |   |                                                                 |   |           |
|                      |   |                                                                 |   |           |

----

| Exhibit No.  |        Description                                                                                                                                                                                           |   |
|-------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|
| 2.1               | Share Exchange Agreement dated as of September 29, 2010, by and among The Empire Sports & Entertainment Holdings Co., The Empire Sports & Entertainment, Co. and the shareholders of The Empire Sports & Entertainment Co. (1) |   |
| 3.1               | Amended and Restated Articles of Incorporation (2)                                                                                                                                                                                         |   |
| 3.2               | Amended and Restated Bylaws (2)                                                                                                                                                                                                            |   |
| 10.1              | The Empire Sports & Entertainment Holdings Co. 2010 Equity Incentive Plan (1)(6)                                                                                                                                                       |   |
| 10.2              | Form of 2010 Incentive Stock Option Agreement (1)(6)                                                                                                                                                                                       |   |
| 10.3              | Form of 2010 Non-Qualified Stock Option Agreement (1)(6)                                                                                                                                                                                   |   |
| 10.4              | Employment Agreement Sheldon Finkel (1)(5)                                                                                                                                                                                                 |   |
| 10.5              | Employment Agreement Gregory D. Cohen (1)(5)                                                                                                                                                                                               |   |
| 10.6              | Agreement of Conveyance, Transfer and Assignment of Assets and Assumption of Obligations, dated as of October 8, 2010, by and between The Empire Sports & Entertainment Holdings Co. and Excel Global Holdings Co. (5)                 |   |
| 10.7              | Form of Stock Purchase Agreement, dated as of October 8, 2010, by and between The Empire Sports & Entertainment Holdings Co., and the shareholders listed therein (5)                                                                  |   |
| 10.8              | Employment Agreement Peter Levy                                                                                                                                                                                                            |   |
| 16.1              | Letter from Gumbiner Savett Inc. dated October 21, 2010 (3)                                                                                                                                                                                |   |
| 21.1              | List of Subsidiaries                                                                                                                                                                                                                       |   |
| 31.1              | Section 302 Certification of Principal Executive Officer                                                                                                                                                                                   |   |
| 31.2              | Section 302 Certification of Principal Financial Officer                                                                                                                                                                                   |   |
| 32.1              | Section 906 Certification of Principal Executive Officer and Principal Financial Officer                                                                                                                                                   |   |

| (1)   | Incorporated herein by reference to the copy of such document included as an exhibit to our Current Report on Form 8-K filed on October 5, 2010. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (2)   | Incorporated herein by reference to the copy of such document included as an exhibit to our Current Report on Form 8-K filed on October 4, 2010. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------|

| (3)   | Incorporated herein by reference to the copy of such document included as an exhibit to our Current Report on Form 8-K filed on October 26, 2010. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

| (4)   | Incorporated herein by reference to the copy of such document included as an exhibit to our Current Report on Form 8-K filed on October 12, 2010. |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------|

| (5)   | Management contract. |
|-----------------|----------------------|

| (6)   | Management compensatory plan. |
|-----------------|-------------------------------|

----