Project Overview:

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Project Overview Montenegro, a Jewel of the
Adriatic, with its superior location and its
proximity to Mediterranean Sea and European
Capitols such as Rome, Paris, Vienna, Prague and
Moscow, and its extraordinary history and wild
beauty is strategically position to become an
exclusive luxury destination.
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The Vision Our project goal is to position our
development as the preeminent entertainment
destination in the region. This resort will grow
the market exponentially by exposing the
international traveler to a new all encompassing
entertainment destination. Although this may
sound bold, it is a proven formula when executed
correctly. For example, there are many
intrinsically less desirable locations that are
now internationally known. For instance, Las
Vegas and Palm Springs, both located in the
barren Mohave Desert, began their assent to their
current status of international recognition
without the natural advantages currently
possessed by the country of Montenegro. They were
able to do so because of the eventual
establishment of a critical mass of gambling,
retail, dining, entertainment, hotel and housing
elements. The natural beauty of Montenegro's
beaches, forests, mountains, valleys and rivers
as well as the unusually kind and loving nature
of its people give this country and our project a
significant advantage in paralleling, on a
fast-track basis, the evolution of Las Vegas and
Palm Springs. To put it simply, our project is
a perfect fit and a natural evolution of the
current trend in Montenegro.
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Initial Development In the first phase of our
project, we would develop a brand-name hotel and
condo high-rise tower with 450 rooms. In
addition, the hotel would house a fully
integrated 25,000 square foot casino, 15,000
square foot Spa and conference rooms. A
world-class nightclub and lounge along with
internationally recognized restaurants would
compliment our high-end retail amenities. As
part of the facility, we would build a high-end
outdoor retail, dining and entertainment village,
surrounding a major open-air courtyard that would
be the center point for many resort activities
including outdoor dining, music and Montenegrin
folk events. Outside would be many acres of
unbelievable resort pools, with air-conditioned
cabanas and misting systems. We will also develop
an outdoor concert/event venue. This will be the
foundation for our entertainment model and the
anchor for future development.
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Economics Financially, we estimate that the
initial resort will drive operating revenues in
excess of 80 million annually. This does not
take into consideration condominium sales, which
we estimate at 110 million in the first phase.
The business decision to build this type of
destination is obvious it is much more efficient
and profitable than a traditional resort. In
addition, we estimate that this property will
employ at least 600 Montenegrins permanently and
several thousand during construction. Due to
the type of destination we are creating and the
tip income that is associated with it, our
employees will earn unparalleled incomes when
compared to similar positions in Montenegro. This
will enable us to select our personnel from the
best of the best of potential local employees.
We truly believe that this is a great business
opportunity for our company and for Montenegro.
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• Planning Development Summary
• Preliminary Planning and Analysis
• Although we are convinced that this project is a
  winner and will be successful from both a
  financial and an aesthetic standpoint, we are
  business men and as such believe in the critical
  nature of proper planning and due diligence.
  Consequently, we will take advantage of Mr. Gomes
  and Mr. Mizzi's relationships and experience and
  will engage world-class companies to perform the
  following preliminary studies.
• Market study and overview
• Feasibility Study
• Infrastructure Analysis
• Land Planning and Architectural Design Concepts
• Licenses and Certificates

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• Pre-construction Condominium Sales and Marketing
• Corporate Brand Launch
• Website Development
• Local Bank Relationship
• Establishment of Sale offices
• World Wide and Local Marketing
• On Site Sales Efforts

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• Pre-opening Resort Sales and Marketing
• Reservations
• Sales and Groups
• Casino Marketing
• Direct marketing programs
• Personnel Training
• Systems Selection

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• Investor Contribution Summary
• Land Contribution - Approximately 75 acres of
  land in Montenegro containing prime beach
  frontage for resort development.
• Debt - Approximately 107 million not including
  the cost of land will be needed to complete the
  first phase of the resort project, and will
  consist of the following components
• 25 acres of prime beach front property
• Luxurious hotel and condo structure
• 450 units 300 hotel rooms, 125 rentable condo
  units and 25
• villas
• World Class Casino 25,000 square feet of
  integrated casino
• space (master planned for expansion)
• Spa/Gym 15,000 square feet

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• Restaurants One Café, two fine dining
  restaurants, and one
• pool bar and grill
• Retail Village Activity and lounging plaza,
  stores, market
• place, indoor/outdoor restaurants, logo shop,
  trendy beach
• recreation wear, fashion boutiques, etc.
• Pool 6 acres of resort pools, cabanas and beach
  club
• Bars Lounges Casino Lounge, Pool Bar, Ultra
• Lounge/Nightclub
• Repayment - The majority of the debt will be
  repaid by profits from condo and residential
  sales. We estimate that 40 of the condo units
  will be sold prior to the completion of
  construction and the remaining units will be sold
  during the first year of operation.

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Montenegro Development Group (MGD) is
developing a leading five-star resort and casino,
with a Spa and conference facilities, along with
well-known restaurants and nightclubs which would
carry an internationally recognized brand that
would target the high-end segment of the market.
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Montenegro Development Group (MGD) is consisted
of a unique group of experts from hotels
resorts, investment banking, legal and
international fields that are committed to taking
the Montenegro Hotel Resort project to a
completion. MDG has unique local insights,
practical knowledge of governmental and municipal
procedures and regulations, and knowledge of the
region and its ongoing transition and reform to
the North-Atlantic integration.
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Key Players for Montenegro Resort
Development BNG International Holdings, Ltd.,
and its affiliated entities is a private,
global, investment and development boutique with
diversified interests in real estate, energy, oil
and gas and digital media communications
sectors. Mr. NEBOJSA BUKUMIROVICH, President/CEO
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Key Players for Montenegro Resort
Development IMPACT RESORT GROUP LLC, a
full-service gaming-management company,
specializing in the development and operation of
emerging resort and gaming destinations. Mr.
DENIS GOMES, Chairman/CEO Mr. ADAM MIZZI,
President Mr. WILLIAM SCHIERBERL, Esq.
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Key Players for Montenegro Resort
Development FELS HOTEL GROUP JOACHIM Jon
FELS, President/CEO
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Where is Montenegro? Geographically located on
the edge of the South-East Adriatic, Montenegro
is a Southern European and a Mediterranean
country. It is one of the most southern
European states and it comes out on the south
part of the Adriatic Sea. On about 500km from
Rome, 1.500 km from Paris, and Berlin, and
about 2.000 km west from Moscow, Montenegro lies
on the Balkan Peninsula in the very heart of
Europe.
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Where is Montenegro? Geographic and climate
diversity and its geographic position make
Montenegro a destination which offers morning
bath in the waters of the Mediterranean and
afternoon skiing like the one in the Alps.
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History of Montenegro Just as the nature, the
history of Montenegro is very colorful. The
turbulent life of Montenegro was spiced up by
many people, but its permanent strive for
freedom remained dominant throughout its
history. Every part of Montenegro will tell the
curious traveler many interesting stories from
the various periods in time - from the grand
Roman Empire to the modern times. Although its
territory is rather small, this proud country
has a lot to say when it comes to its history.
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Where is our focus? The Gulf of Kotor
(Montenegrin Boka kotorska Italian Bocche di
Cattaro) in western Montenegro, is a winding bay
on the Adriatic Sea. The gulf, sometimes called
Europe's southernmost fjord, is in fact a
submerged river canyon of the disintegrated
Bokelj River which used to run from the high
mountain plateaus of Mount Orjen.
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The Gulf of Kotor is an important tourist
attraction in Montenegro. It has been inhabited
since antiquity and has well preserved medieval
towns. The picturesque towns of Kotor, Risan,
Perast and Herceg Novi are - along with their
natural surroundings - major tourist attractions.
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The religious heritage of the land around the
gulf its numerous Catholic and Orthodox
Christian churches and monasteries makes it one
of the major pilgrimage sites of the whole
region. Montenegro Development Group is focused
on the development opportunities in the Gulf of
Kotor and has identified numerous land
acquisitions in the Bay as well as outside of the
Bay indicated by the error.
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The Bay is perceived to become one of the most
exlusive places in Europe and has already
attracted some signature projects that will
transform the region. Just recently, Peter Munk
has anounced USD 700 million investment in the
mega-marina for luxury yachts. New Russian
billionaires such as oil tycoon Roman Abramovic,
alumminum magnat Oleg Deripaska and Mayor of
Moscow Lushkov have purchased large chunks of
land and are building their exlusive hideways.
Formula One Champion Michaell Shumacher has also
made a second home in Montenegro by purchasing a
splendid waterfront property where he is building
his own villa. Montenegro and Bay of Kotor in
particular are emerging as a new playground for
the global jet-set rich and famous and is likely
to develop along the patterns of French Riviera.
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Why Montenegro? During the last few years,
Montenegro has undergone dramatic changes in many
long-standing systems and practices - ranging
from adoption of the new laws and regulation,
labor mobility to foreign business presence. The
aim of Why Montenegro? is to provide the kind of
basic current information that will help the
potential investor understand what today's
Montenegro has to offer and why it merits a
closer consideration.
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5 good reasons to invest in Montenegro Reason 1
Montenegro is the first Independent State in the
21st Century As the government charts
Montenegro's future economic policies, it should
remember how an open economy and
business-friendly environment can benefit the
people and provide an example for other regional
countries. Montenegro, as an independent state,
has more opportunities to attract foreign
capital. However, the main incentive for foreign
investors to invest in Montenegro is developing
economic freedoms, stable currency (Euro),
macroeconomic predictability, protected ownership
rights etc.
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Reason 2 Easy Start Up and No Restrictions for
Foreign Investors You can set up limited
liability company in Montenegro within four
working days, with founding capital of one Euro,
and by submitting three documents Founding
agreement, Bylaw and Form. Legal framework of
Montenegro for encouraging foreign investments
For the purposes of performing business
activities in the Republic of Montenegro foreign
investors can invest into other forms of
organization for performing activities or
services.
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Reason 3 Stable Macro-economy and Good Market
Opportunities In recent years, Montenegro has
made much progress. The government replaced the
Yugoslav dinar with the Euro, which
significantly reduced exchange rate risk for
companies doing business in Montenegro. Inflation
has declined sharply, reaching just 1.8 per cent
in 2005. The republic credit rating has been
evaluated at BB and 87 of government property
has been privatized. The movement of capital is
free and the corporate tax rate is 9 per cent.
Personal income tax rates, between 15.5 per cent
and 23.5 per cent, are among the lowest in
Europe. Montenegro's flat value-added tax of 17
per cent is also low compared to the rest of
Europe.
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Reason 4 Strong Currency Montenegro adopted
Euro in the same time when it was introduced in
EU countries. The local currency was abandoned in
November 1999. Initially, we introduced the
German mark and then the Euro. If you make an
investment you know exactly how much is your
profit, since inflation in Montenegro is
calculated on a Euro base. Therefore, your
business calculations are going to be straight,
without risk of inflation of the local currency.
Not to mentioned that transactions costs caused
by money exchange are avoided.
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Reason 5 Favorable Tax Climate The corporate
tax rate is 9 per cent. Personal income tax
rates, between 15.5 per cent and 23.5 per cent,
are among the lowest in Europe. Montenegro's flat
value-added tax of 17 per cent (and 7 per cent
for tourism) is also low compared to the rest of
Europe. There are a few tax incentives in tax
system of Montenegro such as in case of taxpayer
who hires new employees, tax base shall be
reduced by the amount of earnings paid to the new
employees a newly established legal entity that
conducts a production activity in an economically
underdeveloped municipality is exempt from paying
tax for the first three years and in case of
reinvesting from profit.
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PROPERTIES IN MONTENEGRO - Available for
acquisition and currently evaluated by
Montenegro Development Group
JAZ - Superior property with the 1.5 km beach
located near the city of Budva, spread out on 80
acers. Government would like to see the
development of a multifunctional resort type
tourist village. Possibility for an investment of
USD300 million in phase one.
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KAMENOVO - Located 7 km near City of Budva od
Budve, there is another parcel of 50.000 m2
suited for condominium resort type village. The
estimated investment is USD33.4 million.
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MILOCER - This location is being planed for a
hotel that will be on 10 acers water front
property. Feasibility studies have been done for
this project which is estimated to be around
USD10-15 million.
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PETROVAC Another location called Nova Oliva
suited for first class condominiums development.
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LUCICE - This the property that is located 39
kilometers from Tivat airport, 19 kilometers from
famous resort City of Budva and 50 km fro the
Capitol of Montenegro. The land is spread out
over 60.000 square meters and is ideal for
condominium development. Estimated investment is
USD 48 million.
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TIVAT Waterfront property in Zupa Complex near
Tivat is suitable for a Hotel and recreational
resort with tennis courts, SPA and other
amenities. The estimated investment os USD 30
million.
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BULJARICA Another waterfront location with 2.5
km beach suitable for luxury condominiums.
Estimated investment is USD 25 million
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"ZUKOTRLICA BAR" This is property located 15 km
from the City of Bar which is the only major port
of Montenegro. This property is ideal for the
development of multi-purpose tourist village.
Estimated investment is USD 160 million.
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VELIKI PIJESAK - The property is spread out on
60.000 square meters and located 10 km from the
Port of Bar. Ideal for luxury Hotel and Resort
development with estimated cost of USD 64 million.
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ULCINJ - Waterfront property available in the
South of Montenegro, City of Ulcinj, 8.333 square
meters
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PLAVI HORIZONTI PRZNO - Property located in
Plavi Horizoni (Blur Horizens) near the Adriatic
Sea, ideal for a Hotel. Government is looking for
a joint-venture partner
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ORJEN - Interesting location on Orjen Mountain
situated on 1000 meters above the sea level, 25
kilometars from one of the most beautiful cities
on the Adriatic, Herceg Novi. Part of a National
Park and the Government is looking for a Hotel
Developer on this location. Estimated total
investment USD 7.5 million.
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ZANJICA MIRISTE ARZA On Lustica peninsula,
across the Bay from Herceg Novi, we identified a
superior location for a four or five star hotel.
Estimated investment is USD 20 million. Note
Lustica Peninsula has become extremely popular
since the country gained independence and some of
the worlds billionaires have already bought
large pieces of land.
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LALOVINA - Another superior location for a five
star hotel, only 3 kilometers from Herceg Novi.
Estimated investment is USD 45 million.
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THANK YOU