Publicly traded Monaco, one of the nation's leading manufacturers of recreational vehicles, previously had loaned $8 million on the three projects and co-guaranteed $10 million in bank debt on the Las Vegas project. The assets of the projects are held in three distinct, wholly-owned subsidiary corporations of ORA and the acquisitions were completed as a stock purchase for each of the three subsidiaries, according to Monaco CFO Marty Daley.

Daley says the existing liabilities of these entities include approximately $3 million of accounts payable and accrued liabilities along with debt of $8.0 million owed to Monaco and $20.6 million owed to financial institutions. The $8.0 million note payable to Monaco will be eliminated against Monaco's corresponding $8.0 million note receivable as part of consolidating these new subsidiaries. Daley says Monaco financed the payoff of the $20.6 million notes payable by obtaining a $22 million three-year term loan as an amendment to our current credit agreement.

Monaco has reached a tentative agreement to sell the property in Naples, currently undeveloped, for net proceeds of approximately $7 million. If the sale is completed, $3.0 million of the net proceeds will pay down Monaco's new $22 million term loan and the remaining $4 million will reduce Monaco's borrowings on its revolving line of credit.