4.	INVESTMENTS

OTHER INVESTMENTS ARE SUMMARIZED AS FOLLOWS AT JUNE 30, 2014 AND DECEMBER 31, 2013.

	June 30,		December 31,
	2014		2013
Investments accounted for under the equity method	$	-	$	941,963
Investments accounted for under the cost method		1,550,000		1,550,000
Total	$	1,550,000	$	2,491,963

INVESTMENTS ACCOUNTED FOR USING THE EQUITY METHOD

Effective April 1, 2014, the Company increased its ownership stake in Hooters restaurant in Campbelltown, Australia from 49% to 60%. In addition, the Company increased its ownership stake to 60% in the two new stores recently completed or under construction in Surfers Paradise (which opened on July 4, 2014), Australia and Townsville, Australia which we expect to open late September 2014. The Company consolidated these entities beginning with the current quarterly report for the quarter ending June 30, 2014.

Also on July 1, 2014, the Company announced the acquisition of 60% of the two other Hooters restaurants in Australia, in Penrith and Parramatta, suburbs of Sydney, as well as 60% interest in the related Australian management company. These entities own, operate, and manage Australian Hooters restaurants and gaming operations. The purchase price was the assumption of $5 million in debt. Also as part of the transaction, the Company will receive 100% of all gaming revenue until the debt is repaid, and thereafter the Company will receive 60% of such revenue for the remainder of the lifetime of the gaming machines.

Activity in investments accounted for using the equity method is summarized as follows:

	Six Months		Year Ended
	Ended June 30,		December 31,
	2014		2013

Balance, beginning of year	$	941,963	$	1,066,915
Equity in losses		(40,694)		(125,017)
New investments		100,000		100,000
Step acquisition reclassification		(1,001,269)		-
Return of capital		-		(99,935)
Balance, end of period	$	-	$	941,963

Equity investments consist of the following at June 30, 2014 and December 31, 2013:

	June 30,		December 31,
	2014		2013
Carrying value:
Hoot Campbelltown Pty. Ltd. (49%) - Australia	$	-	$	483,603
Second Hooters location (49%) - Australia		-		384,605
Third Hooters location (49%) - Australia		-		73,755
	$	-	$	941,963

The summarized balance sheets for the three locations in Australia of which we owned 49% at December 31, 2013 follows:

	December 31,
	2013
ASSETS
Current assets	$	362,085
Non-current assets		3,089,230
TOTAL ASSETS	$	3,451,315
LIABILITIES
Current liabilities	$	972,885
PARTNER'S EQUITY		2,478,430
TOTAL LIABILITIES AND PARTNERS' EQUITY	$	3,451,315