Frequently Asked Questions about the Meridian Holdings, Inc., Dividend Distribution and IPO Subscription Program 

Q: What is the Meridian Holdings, Inc. Subscription Program?
A: The Meridian Holdings, Inc., Subscription Program was developed to allow Meridian Holdings, Inc., shareholders who own at least 100 shares in a single account on a given record date the opportunity to participate in a portion of the IPO of a Meridian Holdings, Inc., partner company.

Q: Will Meridian Holdings, Inc., shareholders be able to participate in the IPOs of all Meridian Holdings, Inc.,  partner companies?
A: No. It is our goal to negotiate for the ability to use the Meridian Holdings, Inc., Subscription Program in the IPOs of our partner companies. However, there may be some offerings in which it would not be feasible to allocate a portion of the shares to the Meridian Holdings, Inc., Subscription Program because of the size of the offering, the timing of the offering, the nature of Meridian Holdings, Inc.'s role in the company, or other reasons.

Q: How will you allocate this opportunity to purchase IPO shares to Meridian Holdings, Inc., shareholders?
A: The offering ratio will vary from time to time but will be based on the number of shares being offered under the program by the IPO company in relation to the number of Meridian Holdings, Inc., shares outstanding at the time of an offering.

Q: Will I need to own a minimum number of shares to participate in the Meridian Holdings, Inc., Subscription Program?
A: Only holders of 100 or more shares of Meridian Holdings, Inc., stock in a single account on the record date for an offering will be eligible to participate. This minimum applies to each account, not the aggregate of all accounts. Therefore, if you hold 50 shares of Meridian Holdings, Inc., stock in one account and 50 shares in a different account, you will not be considered to be the owner of 100 shares of Meridian Holdings, Inc. stock.

Q: How will I know when a record date has been set?
A: We will announce record dates by issuing a press release, updating our Web site and our investor relations line, and distributing e-mail alerts to people who sign up for this on our Web site. We will set record dates WITHOUT ANY ADVANCE NOTICE.

Q: I heard you set a record date for an offering. Why haven't I received any information yet?
A: The record date only determines who will receive an offer to purchase shares in the program. No offers will be distributed until a preliminary prospectus is available, which will be approximately two to three weeks before the offering is expected to go effective.

Q: What information will I receive for each offering?
A: Approximately three weeks before an offering is expected to price, the subscription offer will be mailed to you or delivered to your brokerage account if you hold your Meridian Holdings, Inc., shares in street name. We also will distribute a preliminary prospectus for the IPO company and an offering letter that further explains the Meridian Holdings, Inc. Subscription Program. These materials will include:
* an anticipated price range 
* the period of time during which we expect the offering to price 
* the terms of the offering and 
* a description of the IPO company and the risks involved in an investment. 
The anticipated price range and expected offering dates will be estimates and cannot be guaranteed. After the offering goes effective and the IPO price has been set, we also will distribute a final prospectus for the IPO company. 

Q: If I hold my Meridian Holdings, Inc., shares in a brokerage account, can you send the prospectus and subscription information directly to me instead of sending it through my broker?
A: The existing distribution channels do not permit us to distribute these materials to you directly. However, you will be able to view a copy of the prospectus on our Web site at www.meho.com once it becomes available.

Q: What happens if I move my Meridian Holdings, Inc. shares to a different brokerage account after the record date for an offering but before I've received the subscription offer?
A: The offer can only be distributed to the account in which your Meridian Holdings, Inc., shares were held on the record date for an offering. However, if you transfer your account to a different brokerage account after the record date for an offering but before the subscription offer is received, the Depository Trust Company has a procedure in place through which your broker can request that the subscription offer be moved to your new account as long as no actual transfer of beneficial ownership has occurred. Likewise, the subscription offer can only be distributed to you directly if you are holding your Meridian Holdings, Inc. shares in certificate form on the record date for an offering.

Q: What if I don't receive any information from my broker?
A: You should be sure your broker is familiar with this program and can provide you with prompt information. If the subscription offer does not show up in your brokerage account or you do not receive the preliminary prospectus and offer letter during the timeframe when we expect to have these materials available, you should be sure to at least call your broker for further information at that time.

Q: How will I know when the offering prices and what the expiration date for the offering will be?
A: When the offering is declared effective by the SEC and the offering price is set, Meridian Holdings, Inc., * will issue a press release to the wire services * post this information on our web page at www.meho.com * send, by US mail, notification about such an approval if your mailing address is on  file. You will have to monitor these media to know when to deliver your subscription and payment.

Q: How much time will I have to make a decision?
A: We will distribute the preliminary prospectus approximately two to three weeks before an offering is expected to price. No subscriptions or payment can be accepted prior to the date the offering is declared effective and the IPO price is set. Once the IPO prices, Meridian Holdings, Inc. shareholders will have no more than four business days from when the IPO prices to subscribe to the offering. Since brokers will require some time to process subscriptions from Meridian Holdings, Inc. shareholders who hold their shares in street name, brokers most likely will stop accepting subscriptions earlier than the third business day after the IPO prices. 

Q: How do I subscribe for shares under this program?
A: If your Meridian Holdings, Inc., shares are held in a brokerage account, you must deliver subscription instructions and payment through your broker. Only your broker will be able to subscribe on your behalf. If you hold your Meridian Holdings, Inc. shares directly, you must follow the instructions in the materials you will receive directly from Meridian Holdings, Inc. and submit your subscription form and payment to the offering agent noted on the subscription form. In either case, you will have to monitor one of the sources on which Meridian Holdings, Inc. will publicize the offering price and expiration date to know when to deliver your subscription and payment. Time will not permit us to notify you directly. You will be able to find this information in the press release, on Meridian Holdings, Inc.'s Web site, in e-mail alerts if you signed up for this on Meridian Holdings, Inc.'s Web site, or through our automated investor relations line. All subscriptions and payments must be received by the offering agent by 6:00 p.m. EST on the third business day after the IPO price has been set.

Q: If I don't wish to purchase the shares offered to me, can I sell or transfer the subscription offer I receive?
A: No. You will not be able to sell or transfer the subscription offer.

Q: What if I'm on vacation or otherwise unavailable when the IPO is priced?
A: If you will not be available when an offering is expected to price, you should leave instructions with someone who will be able to act on your behalf or contact your broker to determine how to make certain you will be able to subscribe in a timely manner. The offering agent will stop accepting subscriptions under the program at 6:00 p.m. EST on the third business day after the offering has priced.

Q: Can I buy more shares of the IPO company than I've been offered?
A: No. We do not offer an oversubscription privilege under the Meridian Holdings, Inc. Subscription Program.

Q: When will the shares purchased in the Meridian Holdings, Inc. Subscription Program be issued?
A: Approximately six to seven business days after the IPO price has been set, the shares of the IPO company purchased in the Meridian Holdings, Inc. Subscription Program are electronically distributed for delivery into street name shareholder accounts and stock certificates are mailed to direct Meridian Holdings, Inc. shareholders.

Q: What are the tax consequences of receipt of the Dividend or  an IPO Subscription offer and its exercise?
A: Meridian Holdings, Inc. shareholders should consult their own tax advisors about the federal, state and other tax consequences of  both the dividend distribution and the IPO subscription  programs. Nevertheless, we believe that, as a result of having the opportunity to participate in the Meridian Holdings, Inc., Subscription Program, Meridian Holdings, Inc., shareholders will be considered to have received neither a taxable distribution of property nor an adjustment to the basis in their Meridian Holdings, Inc. shares. If a Meridian Holdings, Inc. shareholder exercises the subscription offer, we believe the basis in the shares of the IPO company acquired upon exercise will be the public offering price plus any processing fees incurred by the shareholder in connection with the exercise of the subscription offer. The Internal Revenue Service is not bound by this position.Please feel free to ask any questions and hopefully we will be able to answer them in the FAQ section in a timely manner, to help minimize shareholder concerns and uncertainties.We welcome you all on-board !Thank  YouManagement.