CONVERTIBLE PROMISSORY NOTE


$450,000.00                                     Anchorage, Alaska
                                                   March 31, 1998

     FOR VALUE RECEIVED, GLOBAL ALASKA INDUSTRIES, INC., an Alaska
corporation, and its successors and assign, (the "Maker" or
"Company") promises to pay to the order of MARK GRIFFIN (the
"Holder") at 3707 Woodland Drive, #4, Anchorage, Alaska  99517, or
at such other place as Holder may from time to time designate in
writing, the principal sum of Four Hundred Fifty Thousand Dollars
($450,000) in lawful money of the United States of America,
together with interest on so such thereof as is from time to time
outstanding at the rate hereinafter provided, and payable as
hereinafter provided.

     1.   Novation.  This Note is given in substitution and lieu of
that certain promissory note made by Maker and given to Holder
dated August 1, 1997 in the original principal amount of $4,000,000
(the "First Note"), which First Note upon execution hereof shall be
null and void.

     2.   Interest Rate.  The unpaid principal balance of this
Convertible Promissory Note ("Note") shall bear interest commencing
March 31, 1998 at the rate of eight percent (8%) per annum, simple
interest.

     3.   Payment.  Principal and interest due under this Note
shall be payable as follows:

          a.   Commencing upon (i) full payment of all dividends by
Global Casinos, Inc., a Utah corporation ("Global"), to Holder,
accruing under Global's Series B Convertible Preferred Stock
("Preferred Stock") and (ii) redemption of all the Preferred Stock,
owned by Holder, and continuing monthly thereafter until the Note
is paid in full, the principal and accrued interest shall be
payable in equal monthly installments of $63,383.72 each.

          b.   In addition, Maker shall be obligated to pay a
amount equal to fifty percent (50%) of its annual earnings before
interest, taxes, depreciation and amortization ("EBITDA"), in
excess of $1,300,000 per year (the "Mandatory Payment").   At
Global's option, the Mandatory Payment shall be treated as a
redemption of a portion of Preferred Stock.  Notwithstanding the
above, Maker shall not pay this Note in full by means of Mandatory
Payments, but shall be permitted to credit such payments as
interest on the outstanding principle balance.

     4.   Maturity Date.  The total outstanding principal balance
hereof, together with accrued and unpaid interest, shall be due and
payable September 15, 2004.

     5.   Default, Penalty, Interest and Attorney Fees.  Any
default in the provisions of that certain Stock Purchase and Sale
Agreement dated August 1, 1997 as amended by the Agreement to
Convert Debt executed and entered into contemporaneous with this
Note for which consideration is being given, shall be deemed a
breach of and default in the terms and conditions of this Note.
Said Stock Purchase and Sale Agreement and Agreement to Convert
Debt are incorporated herein by reference as stating Maker's
obligations and continuing responsibility during the term of this
Note, in addition to the specific terms and provisions stated
herein.

     Default shall include, but not be limited to:

          a.   non-payment of any monthly dividend payable pursuant
to the Certificate of Designations, Preferences, and Rights of
Series B Convertible Preferred Stock of Global Casinos, Inc. dated
March 31, 1998 (the "Certificate" and "Series B Preferred Stock"
respectively) within ten (10) days of the due date thereof;

          b.   non-payment of any respective installment and/or
applicable late payment penalty described in this Note within ten
(10) days of the due date thereof;

          c.   any default in the Stock Pledge Agreement dated
August 1, 1997, as amended March 31, 1998; or

          d.   any default in the General Security Agreement dated
August 1, 1997 as amended;

          e.   in the event Global fails to redeem a number of
shares of Series B Preferred Stock pursuant to the Minimum Monthly
Optional Redemption described in the Certificate, and there does
not exist a public trading market for the Global common stock
issuable upon conversion of the Series B Preferred Stock
satisfactory to Holder; or

          f.   any default under the Agreement to Convert Debt
between Maker and Holder.

     In the event that any installment and/or applicable late
payment penalties have not been paid to and received by the Holder
within ten (10) days of date due, Holder may declare a default and
may further declare the entire then outstanding balance due and
owing; fully accelerating total payments of all principal,
penalties, and interest thereon.

     In the event any payment due hereunder shall not have been
paid to and received by the Holder hereof within seven (7) business
days of the due date of such payment, a late payment penalty of Ten
Thousand Dollars ($10,000.00) shall immediately become due and
owing in addition to the payment, or payments then overdue.

     Upon default hereunder, the balance of the principal remaining
unpaid, interest accrued thereon, and all other costs and fees
shall bear interest at the rate of Twelve percent (12%) per annum
from the date of default, or the date of advance, as applicable.
Holder shall have the right to immediately seize, and take
possession thereof, of any and all collateral, inventory,
furniture, fixtures and equipment, as well as accounts receivables
and assets given as security for the sale and purchase evidenced by
the terms of this Note and the Stock Purchase and Sales Agreement
as amended by the Agreement to Convert Debt incorporated herein.
In the event of default, the Maker and all other parties liable
hereon agree to pay all costs of collection, seizure of security
interest given, including reasonable attorney's fees.

     6.   Escrow.  All original documents executed herewith, to
include Stock Purchase and Sales Agreement as amended by the
Agreement to Convert Debt, this Note, and the original executed
stock in Alaska Bingo Supply, Inc. shall be placed in escrow with
the First National Bank of Anchorage, Main Branch, with all
payments made pursuant to the agreement of the parties being paid
and recorded through said escrow.

     7.   Conversion.

          a.   Optional Conversion Right.  Subject to and in
compliance with the provisions of this paragraph 6, all or any
portion of the principal amount outstanding on the Note may, at the
option of the Holder, be converted into fully-paid and non-
assessable shares of common stock of Global ("Common Stock"), $.005
par value.

          b.   Time of Optional Conversion.  The date upon which
the holder may convert the Note to Common Stock shall be any time
commencing the earlier (i) one year from the date hereof or (ii)
the effective date of a Registration Statement registering for sale
under the Securities Act of 1933, as amended, the issuance of the
Common Stock upon conversion through and including the maturity
date of the Note, or its prior pre-payment, whichever occurs first.

          c.   Applicable Conversion Value.  Subject to the
adjustments provided for herein, the price per share at which the
Note may be converted into common stock (the "Applicable Conversion
Value") shall be Ten Dollars ($10.00) per share of Common Stock.

          d.   Adjustments for Capital Reorganization,
Reclassification or Transfer or Assets.  In the event the Common
Stock issuable upon conversion of the Note shall be changed into
the same or different number of shares of any class or classes of
stock, whether by capital reorganization, reclassification or
otherwise, or in the event Global shall at any time issue Common
Stock by way of dividend or other distribution on any stock of
Global, or subdivide or combine the outstanding shares of Common
Stock, then in each such event the Holder shall have the right
thereafter, but not the obligation, to exercise such Note and
receive the kind and amount of shares of stock and other securities
and property receivable upon such reorganization, reclassification
or other change by holders of the number of shares of Common Stock
into which such Note might have been exercised immediately prior to
such organization, reclassification or change.  In the case of any
such reorganization, reclassification or change, the Conversion
Value shall also be appropriately adjusted so as to maintain the
aggregate Conversion Value.  Further, in case of any such
consolidation or merger of Global with or into another corporation
in which consolidation or merger Global is not the continuing
corporation, or in case of any sale or conveyance to another
corporation of the property of Global as an entirety, or
substantially as an entirety, Global shall cause effective
provision to be made so that the Holder shall have the right
thereafter, by converting the Note, to purchase the kind and amount
of shares of stock and other securities and property receivable
upon such consolidation, merger, sale or conveyance by holders of
the number of share of Common Stock into which such Note might have
been exercised immediately prior to such consolidation, merger,
sale or conveyance, which provision shall provide for adjustments
which shall be as nearly equivalent as may be practicable to the
adjustments provided for in this Note.  The foregoing provisions
shall similarly apply to successive reclassifications, capital
reorganizations and changes of shares of Common Stock and to
successive consolidations, mergers, sales or conveyances.
Notwithstanding the foregoing, no adjustment of the Conversion
Value shall be made as a result of or in connection with (1) the
issuance of Common Stock of Global pursuant to options, warrants
and share purchase agreements now in effect or hereafter
outstanding or created, (2) the establishment of option plans of
Global, the modification, renewal or extension of any plan now in
effect or hereafter created, or the issuance of Common Stock upon
exercise of any options pursuant to such plans, (3) the issuance of
Common Stock in connection with an acquisition, consolidation or
merger of any type in which Global is the continuing corporation,
or (4) the issuance of Common Stock in consideration of such cash,
property or service as may be approved by the Board of Directors of
Global and permitted by applicable law.

          e.   Continuation of Terms.  Upon any reorganization,
consolidation or merger referred to in this paragraph 6, the Note
shall continue in full force and effect until conversion by the
Holder and the terms hereof shall be applicable to the shares of
stock and other securities and property receivable on the
conversion of any note after the consummation of such
reorganization, consolidation, merger of any similar event and
shall be binding upon the issuer of any such stock or other
securities, including, in the case of any such transfer, the person
acquiring all or substantially all of the properties or assets of
Global whether or not such person shall have expressly assumed the
terms of the Note.

          f.   Exercise of Conversion Privilege.  To exercise its
conversion privilege or in the event of the automatic conversion of
the Note, the Holder shall surrender such Note, or recognize
partial prepayment therefor, being converted to Global at its
principal office, and shall give written notice to Global at that
office that Holder is delivering the Note for conversion or
recognizing partial prepayment.  Such notice shall also state the
name or names (with address or addresses) in which the certificate
or certificates for shares of Common Stock issuable upon such
conversion shall be issued.  The Note, if  surrendered for
conversion shall be accompanied by proper assignment thereof to the
Company or in blank.

          g.   Notice of Record Date.  In the event of:

               (1)  any taking by Global of a record of the
               holders of any class of securities for the purpose
               of determining the holders thereof who are entitled
               to receive any dividend or other distribution, or
               any right to subscribe for, purchase or otherwise
               acquire any shares of stock of any class or any
               other securities or property, or to receive any
               other right, or

               (2)  any capital reorganization of Global, any
               reclassification or recapitalization of the capital
               stock of Global, any merger or consolidating of
               Global or a transfer of all or substantially all of
               the assets of the company to any other corporation,
               or any other entity or person, or

               (3)  any voluntary or involuntary dissolution,
               liquidation or winding up of Global,

then and in each such event Global shall mail or cause to be mailed
to the Holder a notice specifying  (i) the date on which any such
record is to be taken for the purpose of such dividend,
distribution or right and a description of said dividend,
distribution or right, (ii) the date on which any such
reorganization, reclassification, recapitalization, transfer,
consolidation, merger, dissolution, liquidation or winding up is
expected to become effective and (iii) the time, if any, that is to
be fixed, as to when the holders of record of common stock (or
other securities) shall be entitled to exchange their shares of
common stock (or other securities) for securities or other property
deliverable upon such reorganization, reclassification,
recapitalization, transfer, consolidation, merger, dissolution,
liquidation or winding up.  Such notice shall be mailed at least
thirty (30) days prior to the date specified in such notice on
which such action is to be taken.

          h.   In the event Holder exercises the right of
conversion granted herein, if the underlying shares of Common Stock
(the "Conversion Shares") are not eligible to be resold in market
transactions in reliance upon Rule 144, or a successor rule, under
the Securities Act, then Holder shall have a one-time demand
registration right on Form S-3 to have registered for resale under
the Securities Act the Conversion Shares issuable upon such
conversion.

     8.   Interest Calculation.  Daily interest shall be calculated
on a 365-day year and the actual number of days in each month.

     9.   Prepayment.  This Note may not be prepaid, in whole or in
part, at any time without the prior written consent of Holder.

     10.  Nonrecourse Obligation.  The obligation of Maker to pay
all sums of principal, interest and other amounts due and owing
under this Note is secured by  Stock Pledge Agreement dated August
1, 1997 as amended on even date covering one hundred percent (100%)
of the issued and outstanding shares of common stock of ALASKA
BINGO SUPPLY, INC., an Alaskan corporation ("ABS"); and  a General
Security Agreement and Financing Statement covering all of the
tangible and intangible assets of ABS.  This Note and Maker's
obligation hereunder shall be deemed to be nonrecourse as to Maker;
and in the event of Maker's default hereunder, Holder's sole and
exclusive remedies shall be to exercise its rights under this Note
and the Stock Pledge Agreement and General Security Agreement, and
under no circumstances shall Maker have any liability for any
deficiency which may result following Holder's exhaustion of such
remedies.

          Upon default of any provision referenced herein, Holder
may immediately retake all documents held in escrow, with or
without notice, seize and take possession of all collateral and
assets given as security for and in consideration of the terms and
conditions of this Note.

     11.  Costs of Collection.  Maker agrees that if, and as often
as, this Note is placed in the hands of an attorney for collection
or to defend or enforce any of the Holder's rights hereunder or
under any instrument securing payment of this Note, Maker shall pay
to Holder its reasonable attorney's fees and all court costs and
other expenses incurred in connection therewith, regardless of
whether a lawsuit is ever commenced or whether, if commenced, the
same proceeds to judgment or not.  Such costs and expenses shall
include, without limitation, all costs, reasonable attorneys' fees,
and expenses incurred by Holder in connection with any insolvency,
bankruptcy, reorganization, foreclosure, deed in lieu of
foreclosure or similar proceedings involving Maker or any endorser,
surety, guarantor, or other person liable for this Note which in
any way affect the exercise by Holder of its rights and remedies
under this Note, or any other document or instrument securing,
evidencing, or relating to the indebtedness evidenced by this Note.

     12.  Application of Payments.  Any payment made against the
indebtedness evidenced by this Note shall be applied against the
following items in the following order:  (1) costs of collection,
including reasonable attorney's fees incurred or paid and all
costs, expenses, default interest, late charges and other expenses
incurred by Holder and reimbursable to Holder pursuant to this Note
(as described herein); (2) default interest accrued to the date of
said payment; (3) ordinary interest accrued to the date of said
payment; and  finally, outstanding principal.

     13.  Assignment of Note .  This Note may be assigned by Maker
to any entity that acquires Maker or substantially all Maker's
assets.

     14.  Non-Waiver.  No delay or omission on the part of Holder
in exercising any rights or remedy hereunder shall operate as a
waiver of such right or remedy or of any other right or remedy
under this Note.  A waiver on any one or more occasion.

     15.  Maximum Interest.  In no event whatsoever shall the
amount paid, or agreed to be paid, to Holder for the use,
forbearance, or retention of the money to be loaned hereunder
("Interest") exceed the maximum amount permissible under applicable
law.  If the performance or fulfillment of any provision hereof, or
any agreement between maker and Holder shall result in Interest
exceeding the limit for Interest prescribed by law, then the amount
of such Interest shall be reduced to such limit.  If, from any
circumstance whatsoever, Holder should receive as Interest an
amount which would exceed the highest lawful rate, the amount which
would be excessive Interest shall be applied to the reduction of
the principal balance owing hereunder (or, at the option of Holder,
be paid over to Maker) and not to the payment of Interest.

     16.  Purpose.  Maker certifies that the debt evidenced by this
Note is obtained for business or commercial purposes and that the
proceeds thereof will not be used primarily for person, family,
household, or agricultural purposes.  This Note is issued "in
substitution" for the Convertible Promissory Note dated August 1,
1997 given by Maker to Holder, for the purpose stated in the
General Security Agreement dated August 1, 1997, and such security
agreement and related financing statement remain in full force and
effect.

     17.  Waiver of Presentment.  Maker and the endorsers,
sureties, guarantors and all persons who become liable for all or
any part of this obligation shall be jointly and severally liable
for such obligation and hereby jointly and severally waive
presentment and demand for payment, notice of dishonor, protest and
notice of protest, and any and all lack of diligence of delays in
collection or enforcement hereof.

     18.  Governing Law.  As an additional consideration for the
extension of credit, Maker and each endorser, surety, guarantor,
and any other person who may become liable for all or any part of
this obligation understand and agree that the indebtedness
evidenced by this Note is made in the State of Alaska and the
provisions hereof will be construed in accordance with the laws of
the State of Alaska, and such parties further agree that in the
event of default, this Note may be enforced in the Superior Court
for the State of Alaska sitting in Anchorage, Alaska, and they do
hereby submit to the jurisdiction of such court regardless of their
residence or where this Note or any endorsement hereof may be
executed.

     19.  Binding Effect.  The term "Maker" as used herein shall
include the original Maker of this Note and any party who may
subsequently become liable for the payment hereof as an assumer
with the consent of the Holder, provided that Holder may, at its
option, consider the original Maker of this Note alone as Maker
unless Holder has consented in writing to the substitution of
another party as Maker.  The term "Holder" as used herein shall
mean Holder or, if this Note is transferred, the then Holder of
this Note.

     20.  Relationship of Parties.  Nothing herein contained shall
create or be deemed or construed to create a joint venture or
partnership between Maker and Holder, Holder is acting hereunder as
a seller only.

     21.  Severability.  Invalidation of any of the provisions of
this Note or of any paragraph, sentence, clause, phrase, or word
herein, or the application thereof in any given circumstance, shall
not affect the validity of the remainder of this Note.

     22.  Amendment.  This Note may not be amended, modified, or
changed, except only by an instrument in writing signed by both of
the parties.

     23.  Time of the Essence.  Time is of the essence for the
performance of each and every obligation of Maker hereunder.


     IN WITNESS WHEREOF, the undersigned has executed this Note
effective as of the 31st day of March, 1998.

                                      GLOBAL ALASKA INDUSTRIES, INC.
                                      an Alaska corporation



                                      By:/s/Stephen G. Calandrella
                                         Stephen G. Calandrella, President

Consent as to Paragraphs 3, 5 and 7:

GLOBAL CASINOS, INC., a Utah corporation


By:/s/Stephen G. Calandrella
   Stephen G. Calandrella, President