9. COMMITMENTS AND CONTINGENCIES AND SUBSEQUENT EVENT

Litigation

The Company is party to a number of pending legal proceedings related to matters that occurred in the normal course of business. Management does not expect that the outcome of any such proceedings, either individually or in the aggregate, will have a material effect on our financial position, results of operations and cash flows.

Land and Real Estate Purchases under Contract

Cripple Creek Land and Real Estate Purchases. As part of the Cripple Creek Project in Colorado, the Company has been in negotiations to buy certain parcels of land and real estate with various landowners during the first quarter of 2021. Altogether, such purchases are estimated to be approximately $3.4 million. As of this report date, a total of $0.1 million has been deposited and becomes non-refundable if such sales transactions are not closed in the second quarter of 2021.

Defined Contribution Plan

The Company sponsors a defined contribution plan for all eligible employees providing for voluntary contributions by eligible employees and matching contributions made by the Company. In March 2020, upon the mandatory shutdown of all of the Company’s properties, the Company suspended matching contributions. For 2019 and early 2020, the Company’s employer contribution rate was 50% up to 4% of compensation. Matching contributions made by the Company were $0.1 million for 2020 and $0.3 million for 2019, excluding nominal administrative expenses assumed.

Liquidity, Concentrations and Economic Risks and Uncertainties

The Company carries cash on deposit with financial institutions that may be in excess of federally-insured limits. The extent of any loss that might be incurred as a result of uninsured deposits in the event of a future failure of a bank or other financial institution, if any, is not subject to estimation at this time.