On May 31, 2008, Elixir Gaming Technologies, Inc. ("Company") entered into an Executive Employment Agreement with its former chief executive officer, Gordon Yuen. The terms of the agreement, which were approved by the compensation committee of our board of directors and were previously reported in our Annual Report on Form 10-K/A filed with the Securities Exchange Commission ("SEC") on April 29, 2008, include:

†          an annual salary of $425,000;

†          an annual cash bonus of up to $150,000 payable upon the achievement
of certain objectives set by the Company's compensation committee;

†          a housing allowance of $5,000 per month;

†          in the event that the agreement is terminated without cause, Mr. Yuen

† options to purchase up to 672,269 shares of common stock at an exercise price of $4.59 which vest in three equal installments commencing on November 14, 2008; and

† options to purchase up to 1.2 million shares of common stock at exercise prices ranging from $3.50 to $7.50 per share and vesting in three equal installments commencing on February 12, 2009.

Mr. Yuen resigned as chief executive officer of the Company effective as of October 1 2008, as reported in the Company's Current Reports on Form 8-K filed with the SEC dated October 1, 2008 and November 6, 2008.

(e) As described in Item 1.01 above, on May 31, 2008, the Company entered into an Executive Employment Agreement with its former chief executive officer, Gordon Yuen.

(d) The following exhibits are filed as exhibits to this Current Report on Form 8-K:

99.1 Executive Employment Agreement dated May 31, 2008 between Registrant and Gordon Yuen.