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  <p style="border:none;color:windowtext;font-weight:bold;margin:0in 0in .0001pt;padding:0in;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></b></p>
  
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  <p style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;">SECURITIES AND
  EXCHANGE COMMISSION</font></b></p>
  
  <h2 align="center" style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;">Washington, D.C. 20549</font></b></h2>
  
  <h2 align="center" style="color:windowtext;font-size:10.0pt;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><font face="Times New Roman">&nbsp;</font></h2>
  
  <h3 style="border:none;color:windowtext;font-weight:bold;margin:0in 0in .0001pt;padding:0in;page-break-after:auto;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;">FORM&nbsp;8-K</font></b></h3>
  
  <h3 style="border:none;color:windowtext;font-size:10.0pt;font-weight:bold;margin:0in 0in .0001pt;padding:0in;page-break-after:auto;text-align:center;"><font face="Times New Roman">&nbsp;</font></h3>
  
  <h1 align="center" style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;">CURRENT REPORT</font></b></h1>
  
  <h1 align="center" style="color:windowtext;font-size:10.0pt;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><font face="Times New Roman">&nbsp;</font></h1>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;font-weight:bold;">Pursuant to Section&nbsp;13
  or 15(d)&nbsp;of the</font></b></p>
  
  <h1 align="center" style="color:windowtext;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;">Securities
  Exchange Act of 1934</font></b></h1>
  
  <h1 align="center" style="color:windowtext;font-size:10.0pt;font-weight:bold;margin:0in 0in .0001pt;page-break-after:auto;text-align:center;"><font face="Times New Roman">&nbsp;</font></h1>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt 4.0in;text-align:center;text-indent:-4.0in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Date of Report (Date of
  Earliest Event Reported): <b>May&nbsp;23, 2008</b></font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt 4.0in;text-indent:-4.0in;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">MAGNA ENTERTAINMENT CORP.</font></b></p>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Exact Name of Registrant as
  Specified in its Charter)</font></p>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
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    <td width="100%" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Delaware</font></b></p>
    </td>
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    <td width="100%" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(State or Other
    Jurisdiction of Incorporation)</font></p>
    </td>
   </tr>
  </table>
  
  </div>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
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  <table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
   <tr>
    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">000-30578</font></b></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.0%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
    </td>
    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">98-0208374</font></b></p>
    </td>
   </tr>
   <tr>
    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Commission File Number)</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.0%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(I.R.S. Employer
    Identification No.)</font></p>
    </td>
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    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.0%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
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    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">337 Magna Drive, Aurora,
    Ontario, Canada</font></b></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.0%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
    </td>
    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">L4G 7K1</font></b></p>
    </td>
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    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Address of Principal
    Executive Offices)</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.0%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="49%" valign="top" style="padding:0in 0in 0in 0in;width:49.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Zip Code)</font></p>
    </td>
   </tr>
  </table>
  
  </div>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <div align="center">
  
  <table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
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    <td width="100%" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">(905) 726-2462</font></b></p>
    </td>
   </tr>
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    <td width="100%" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Registrant&#146;s Telephone
    Number, Including Area Code)</font></p>
    </td>
   </tr>
   <tr>
    <td width="100%" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
   </tr>
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    <td width="100%" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Not Applicable</font></b></p>
    </td>
   </tr>
   <tr>
    <td width="100%" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
    <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Former Name or Former
    Address, if changed since Last Report)</font></p>
    </td>
   </tr>
  </table>
  
  </div>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">Check the appropriate box below if the Form&nbsp;8-K
  filing is intended to simultaneously satisfy the filing obligation of the
  registrant under any of the following provisions (see General Instruction A.2.
  below):</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt .25in;text-indent:-.25in;"><font size="2" face="Wingdings" style="font-size:10.0pt;">o</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160; </font>Written communications pursuant to Rule&nbsp;425
  under the Securities Act (17 CFR 230.425)</p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  
  <p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt .25in;text-indent:-.25in;"><font size="2" face="Wingdings" style="font-size:10.0pt;">o</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160; </font>Soliciting material pursuant to Rule&nbsp;14a-12
  under the Exchange Act (17 CFR 240.14a-12)</p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt .25in;text-indent:-.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  
  <p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt .25in;text-indent:-.25in;"><font size="2" face="Wingdings" style="font-size:10.0pt;">o</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160; </font>Pre-commencement communications pursuant to Rule&nbsp;14d-2(b)&nbsp;under
  the Exchange Act (17 CFR 240.14d-2(b))</p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt .25in;text-indent:-.25in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  
  <p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt .25in;text-indent:-.25in;"><font size="2" face="Wingdings" style="font-size:10.0pt;">o</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160; </font>Pre-commencement communications pursuant to Rule&nbsp;13e-4(c)&nbsp;under
  the Exchange Act (17 CFR 240.13e-4(c))</p>
  
  <div style="border:none;border-bottom:double windowtext 6.0pt;padding:0in 0in 0in 0in;">
  
  <p style="border:none;color:windowtext;margin:0in 0in .0001pt;padding:0in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  
  </div>
  
  <p style="color:windowtext;margin:0in 0in .0001pt 1.0in;text-indent:-1.0in;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <div style="color:windowtext;margin:0in 0in .0001pt;"><hr size="3" width="100%" noshade color="#010101" align="left"></div>
  
  </div>
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  <p style="color:windowtext;margin:0in 0in .0001pt 1.0in;text-indent:-1.0in;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-1.0in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 1.01</font></b><b><font size="1" style="font-size:8.5pt;font-weight:bold;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font></b><b>Entry into Definitive Agreements</b></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt 1.0in;text-indent:-1.0in;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Magna
  Entertainment Corp. (the &#147;Registrant&#148;) announced on May&nbsp;23, 2008 that it
  entered into the following definitive agreements:&#160; (i)&nbsp;an Amending Agreement made as of May&nbsp;23,
  2008 (the &#147;Senior Bank Facility Amending Agreement&#148;) to amend the senior
  secured revolving credit facility (the &#147;Senior Bank Facility&#148;) with a Canadian
  chartered bank; (ii)&nbsp;the First Amending Agreement in Respect of the May&nbsp;23,
  2008 Bridge Loan Agreement between the Registrant, MID Islandi SF and the
  Guarantors set forth therein, dated as of May&nbsp;23, 2008; and<b>  </b>(iii)&nbsp;the Third Amending Agreement in Respect of the
  Third Amended and Restated Gulfstream Park Loan Agreement between Gulfstream
  Park Racing Association,&nbsp;Inc., the Guarantors set forth therein and MID
  Islandi SF dated as of May&nbsp;23, 2008 (the &#147;Gulfstream Loan Amending
  Agreement&#148;).</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">On
  March&nbsp;31, 2008, MI Developments Inc. (&#147;MID&#148;), the Registrant&#146;s controlling
  shareholder, announced that it had received a reorganization proposal on behalf
  of various shareholders of MID, including entities affiliated with The Stronach
  Trust, MID&#146;s controlling shareholder (the &#147;MID Reorganization Proposal&#148;).&#160; The MID Reorganization Proposal contemplates,
  among other things, MID calling by May&nbsp;30, 2008, a special meeting of
  shareholders to consider the proposal and closing the transaction no later than
  July&nbsp;30, 2008.&#160; The MID
  Reorganization Proposal is subject to certain material conditions, some of
  which are beyond MID&#146;s control, and there can be no assurance that the
  transaction contemplated by the MID Reorganization Proposal, or any other
  transaction, will be completed. The status of the MID Reorganization Proposal
  will impact on the maturity dates provided for in the Senior Bank Facility
  Amending Agreement and Bridge Loan Amending Agreement and the due date of a
  $100 million repayment under the Gulfstream Loan Amending Agreement.</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The following descriptions
  of the Senior Bank Facility Amending Agreement, the Bridge Loan Amending
  Agreement and the Gulfstream Loan Amending Agreement do not purport to be
  complete and are qualified in their entirety by reference to Exhibits 10.1,
  10.2 and 10.3 hereto that are incorporated by reference herein.</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:black;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;font-weight:bold;">(i)</font></b><b><font size="1" color="black" style="color:windowtext;font-size:8.5pt;font-weight:bold;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font></b><b><font color="black" style="color:windowtext;font-weight:bold;">Senior
  Bank Facility Amending Agreement</font></b></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">The maturity date of the Senior Bank Facility was
  extended from May&nbsp;23, 2008 to July&nbsp;31, 2008; provided, however, that
  if the MID Reorganization Proposal does not proceed for any reason, the
  maturity date will be accelerated to a date that will be fourteen days prior to
  the accelerated maturity dates of the facilities with the MID Lender.&#160; The Senior Bank Facility lender was granted a
  priority right to the net sale proceeds from certain of the Registrant&#146;s
  Austrian assets, subject to existing financing arrangements. In connection with
  the amendment and extension of the Senior Bank Facility, MEC incurred a fee of
  $0.67 million.</font></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">(ii)</font></b><b><font size="1" style="font-size:8.5pt;font-weight:bold;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font></b><b>Bridge Loan Amending Agreement</b></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">The maximum commitment available under the Bridge Loan
  was increased from $80 million to $110 million and the Registrant is now
  permitted to redraw amounts that it repaid prior to May&nbsp;23, 2008
  (approximately $21.5 million). The maturity date of the Bridge Loan has been
  extended from May&nbsp;31, 2008 to August&nbsp;31, 2008; provided, however,
  that if the MID Reorganization Proposal does not proceed for any reason, the
  maturity date will be accelerated to one month after the date on which MID
  gives notice to the Registrant that the MID Reorganization Proposal is not
  proceeding.</font></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">In connection with the amendment and extension of the
  Bridge Loan, the Registrant incurred a fee of $1.1 million (1.0% of the
  increased maximum commitment). If the MID Reorganization Proposal has not been
  approved by August&nbsp;1, 2008 or if the Bridge Loan maturity date is accelerated,
  there will be an additional arrangement fee of 1.0% of the then current
  commitment.</font></p>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2</font></p>
  
  <div style="color:windowtext;margin:0in 0in .0001pt;"><hr size="3" width="100%" noshade color="#010101" align="left"></div>
  
  </div>
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  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;font-size:10.0pt;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(iii)</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Project Financing Amendments</p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">In connection with the amendments to the Bridge Loan,
  the Registrant and the MID Lender also amended the project financing facilities
  provided to Gulfstream Park and Remington Park. These amendments included
  extending the deadline for repayment of at least $100 million under the
  Gulfstream Park project financing facility from May&nbsp;31, 2008 to August&nbsp;31,
  2008 (during which time any repayments made under either facility will not be
  subject to a make-whole payment). If the Bridge Loan maturity date is
  accelerated, the deadline for repayment of the $100 million will also be
  accelerated to the same date.</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 8.01&#160;&#160; Other Events</font></b></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Special
  Committee Process</font></b></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:black;margin:0in 0in .0001pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">Consideration of the amendments to the financing
  arrangements with the MID Lender was supervised by the Special Committee of the
  Registrant&#146;s board of directors consisting of Jerry D. Campbell (Chairman),
  Anthony J. Campbell and William J. Menear. The approval of the Registrant&#146;s
  board followed a favorable recommendation of the Special Committee. The Special
  Committee retained independent legal advisors to assist it in its deliberations
  in respect of these transactions.</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt 1.0in;text-indent:-1.0in;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 9.01&#160; Financial Statements
  and Exhibits</font></b></p>
  
  <p style="color:windowtext;margin:0in 0in .0001pt 1.0in;text-indent:-1.0in;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
   <tr>
    <td width="10%" valign="top" style="padding:0in 0in 0in 0in;width:10.02%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.9%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="87%" valign="top" style="padding:0in 0in 0in 0in;width:87.08%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Exhibits</font></p>
    </td>
   </tr>
   <tr>
    <td width="10%" valign="top" style="padding:0in 0in 0in 0in;width:10.02%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.9%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="87%" valign="top" style="padding:0in 0in 0in 0in;width:87.08%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
   </tr>
   <tr>
    <td width="10%" valign="top" style="padding:0in 0in 0in 0in;width:10.02%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Exhibit&nbsp;10.1</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.9%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="87%" valign="top" style="padding:0in 0in 0in 0in;width:87.08%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Amending
    Agreement between the Registrant, the Guarantors set forth therein and the
    Bank of Montreal, made as of May&nbsp;23, 2008 to amend the Senior Bank
    Facility.</font></p>
    </td>
   </tr>
   <tr>
    <td width="10%" valign="top" style="padding:0in 0in 0in 0in;width:10.02%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.9%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="87%" valign="top" style="padding:0in 0in 0in 0in;width:87.08%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
   </tr>
   <tr>
    <td width="10%" valign="top" style="padding:0in 0in 0in 0in;width:10.02%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Exhibit&nbsp;10.2</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.9%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="87%" valign="top" style="padding:0in 0in 0in 0in;width:87.08%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">First
    Amending Agreement in Respect of the Bridge Loan Agreement between the
    Registrant, the Guarantors and MID Islandi SF dated as of May&nbsp;23, 2008.</font></p>
    </td>
   </tr>
   <tr>
    <td width="10%" valign="top" style="padding:0in 0in 0in 0in;width:10.02%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.9%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="87%" valign="top" style="padding:0in 0in 0in 0in;width:87.08%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
   </tr>
   <tr>
    <td width="10%" valign="top" style="padding:0in 0in 0in 0in;width:10.02%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Exhibit&nbsp;10.3</font></p>
    </td>
    <td width="2%" valign="bottom" style="padding:0in 0in 0in 0in;width:2.9%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="87%" valign="top" style="padding:0in 0in 0in 0in;width:87.08%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Third
    Amending Agreement in Respect of the Third Amended and Restated Gulfstream
    Park Loan Agreement between Gulfstream Park Racing Association,&nbsp;Inc.,
    the Guarantors and MID Islandi SF dated as of May&nbsp;23, 2008.</font></p>
    </td>
   </tr>
  </table>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3</font></p>
  
  <div style="color:windowtext;margin:0in 0in .0001pt;"><hr size="3" width="100%" noshade color="#010101" align="left"></div>
  
  </div>
  <!-- SEQ.=1,FOLIO='3',FILE='C:\JMS\C900144\08-15436-1\task2964252\15436-1-ba.htm',USER='c900144',CD='May 29 11:53 2008' -->
  
  
  <br clear="all" style="page-break-before:always;">
  
  
  <div>
  
  <div style="border:solid white 1.0pt;padding:0in 0in 0in 0in;">
  
  <p align="center" style="border:none;color:windowtext;margin:0in 0in .0001pt;padding:0in;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p align="center" style="border:none;color:windowtext;margin:0in 0in .0001pt;padding:0in;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SIGNATURES</font></b></p>
  
  <p align="center" style="border:none;color:windowtext;margin:0in 0in .0001pt;padding:0in;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  </div>
  
  <p align="left" style="color:black;margin:0in 0in .0001pt;text-align:left;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">Pursuant
  to the requirements of the Securities Exchange Act of 1934, the Registrant has
  duly caused this report to be signed on its behalf by the undersigned thereunto
  duly authorized.</font></p>
  
  <p align="left" style="color:black;font-size:10.0pt;margin:0in 0in .0001pt;text-align:left;"><font color="black" face="Times New Roman" style="color:windowtext;">&nbsp;</font></p>
  
  <p align="left" style="color:black;font-size:10.0pt;margin:0in 0in .0001pt;text-align:left;"><font color="black" face="Times New Roman" style="color:windowtext;">&nbsp;</font></p>
  
  <table border="1" cellspacing="0" cellpadding="0" width="100%" style="border:none;border-collapse:collapse;width:100.0%;">
   <tr>
    <td width="51%" valign="top" style="border-bottom:none;border-left:solid white 1.0pt;border-right:none;border-top:solid white 1.0pt;padding:0in 0in 0in 0in;width:51.1%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="48%" colspan="2" valign="top" style="border-bottom:none;border-left:none;border-right:solid white 1.0pt;border-top:solid white 1.0pt;padding:0in 0in 0in 0in;width:48.9%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">MAGNA ENTERTAINMENT CORP.</font></b></p>
    </td>
   </tr>
   <tr>
    <td width="51%" valign="top" style="border:none;border-left:solid white 1.0pt;padding:0in 0in 0in 0in;width:51.1%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="6%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:6.14%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="42%" valign="top" style="border:none;border-right:solid white 1.0pt;padding:0in 0in 0in 0in;width:42.76%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Registrant)</font></p>
    </td>
   </tr>
   <tr>
    <td width="51%" valign="top" style="border:none;border-left:solid white 1.0pt;padding:0in 0in 0in 0in;width:51.1%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="6%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:6.14%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="42%" valign="top" style="border:none;border-right:solid white 1.0pt;padding:0in 0in 0in 0in;width:42.76%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
   </tr>
   <tr>
    <td width="51%" valign="top" style="border:none;border-left:solid white 1.0pt;padding:0in 0in 0in 0in;width:51.1%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="6%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:6.14%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
    <td width="42%" valign="top" style="border:none;border-right:solid white 1.0pt;padding:0in 0in 0in 0in;width:42.76%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
    </td>
   </tr>
   <tr>
    <td width="51%" valign="top" style="border:none;border-left:solid white 1.0pt;padding:0in 0in 0in 0in;width:51.1%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">May&nbsp;29, 2008</font></p>
    </td>
    <td width="6%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:6.14%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">by:</font></p>
    </td>
    <td width="42%" valign="top" style="border-bottom:solid windowtext 1.0pt;border-left:none;border-right:solid white 1.0pt;border-top:none;padding:0in 0in 0in 0in;width:42.76%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;/s/William
    G. Ford</font></p>
    </td>
   </tr>
   <tr>
    <td width="51%" valign="top" style="border:none;border-left:solid white 1.0pt;padding:0in 0in 0in 0in;width:51.1%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="6%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:6.14%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="42%" valign="top" style="border:none;border-right:solid white 1.0pt;padding:0in 0in 0in 0in;width:42.76%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">William G. Ford,</font></p>
    </td>
   </tr>
   <tr>
    <td width="51%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:51.1%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="6%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:6.14%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
    </td>
    <td width="42%" valign="top" style="border:none;padding:0in 0in 0in 0in;width:42.76%;">
    <p style="color:windowtext;margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Secretary</font></p>
    </td>
   </tr>
  </table>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman">&nbsp;</font></p>
  
  <p align="center" style="color:windowtext;margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4</font></p>
  
  <div style="color:windowtext;margin:0in 0in .0001pt;"><hr size="3" width="100%" noshade color="#010101" align="left"></div>
  
  </div>
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metadata_documents: [{"type": "8-K", "sequence": "1", "filename": "a08-15436_18k.htm", "description": "8-K", "secsgml_size_bytes": 37889}]
metadata_filer: {"company-data": {"conformed-name": "MAGNA ENTERTAINMENT CORP", "cik": "0001093273", "assigned-sic": "7948", "irs-number": "980208374", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "000-30578", "film-number": "08865057"}, "business-address": {"street1": "337 MAGNA DRIVE", "street2": "AURORA", "city": "ONTARIO CANADA", "state": "A6", "zip": "L4G 7K1", "phone": "9057262462"}, "mail-address": {"street1": "337 MAGNA DRIVE", "city": "AURORA", "state": "A6", "zip": "L4G 7K1"}, "former-company": [{"former-conformed-name": "MI ENTERTAINMENT CORP", "date-changed": "19991105"}, {"former-conformed-name": "MI VENTURE INC", "date-changed": "19990813"}]}
text: SECURITIES AND
  EXCHANGE COMMISSION
  Washington, D.C. 20549
  FORM 8-K
  CURRENT REPORT
  Pursuant to Section 13
  or 15(d) of the
  Securities
  Exchange Act of 1934
  Date of Report (Date of
  Earliest Event Reported):
  May 23, 2008
  MAGNA ENTERTAINMENT CORP.
  (Exact Name of Registrant as
  Specified in its Charter)
  Delaware
  (State or Other
    Jurisdiction of Incorporation)
  000-30578
  98-0208374
  (Commission File Number)
  (I.R.S. Employer
    Identification No.)
  337 Magna Drive, Aurora,
    Ontario, Canada
  L4G 7K1
  (Address of Principal
    Executive Offices)
  (Zip Code)
  (905) 726-2462
  (Registrant's Telephone
    Number, Including Area Code)
  Not Applicable
  (Former Name or Former
    Address, if changed since Last Report)
  Check the appropriate box below if the Form 8-K
  filing is intended to simultaneously satisfy the filing obligation of the
  registrant under any of the following provisions (see General Instruction A.2.
  below):
  o
  Written communications pursuant to Rule 425
  under the Securities Act (17 CFR 230.425)
  o
  Soliciting material pursuant to Rule 14a-12
  under the Exchange Act (17 CFR 240.14a-12)
  o
  Pre-commencement communications pursuant to Rule 14d-2(b) under
  the Exchange Act (17 CFR 240.14d-2(b))
  o
  Pre-commencement communications pursuant to Rule 13e-4(c) under
  the Exchange Act (17 CFR 240.13e-4(c))
  Item 1.01
  Entry into Definitive Agreements
  Magna
  Entertainment Corp. (the "Registrant") announced on May 23, 2008 that it
  entered into the following definitive agreements:  (i) an Amending Agreement made as of May 23,
  2008 (the "Senior Bank Facility Amending Agreement") to amend the senior
  secured revolving credit facility (the "Senior Bank Facility") with a Canadian
  chartered bank; (ii) the First Amending Agreement in Respect of the May 23,
  2008 Bridge Loan Agreement between the Registrant, MID Islandi SF and the
  Guarantors set forth therein, dated as of May 23, 2008; and
  (iii) the Third Amending Agreement in Respect of the
  Third Amended and Restated Gulfstream Park Loan Agreement between Gulfstream
  Park Racing Association, Inc., the Guarantors set forth therein and MID
  Islandi SF dated as of May 23, 2008 (the "Gulfstream Loan Amending
  Agreement").
  On
  March 31, 2008, MI Developments Inc. ("MID"), the Registrant's controlling
  shareholder, announced that it had received a reorganization proposal on behalf
  of various shareholders of MID, including entities affiliated with The Stronach
  Trust, MID's controlling shareholder (the "MID Reorganization Proposal").  The MID Reorganization Proposal contemplates,
  among other things, MID calling by May 30, 2008, a special meeting of
  shareholders to consider the proposal and closing the transaction no later than
  July 30, 2008.  The MID
  Reorganization Proposal is subject to certain material conditions, some of
  which are beyond MID's control, and there can be no assurance that the
  transaction contemplated by the MID Reorganization Proposal, or any other
  transaction, will be completed. The status of the MID Reorganization Proposal
  will impact on the maturity dates provided for in the Senior Bank Facility
  Amending Agreement and Bridge Loan Amending Agreement and the due date of a
  $100 million repayment under the Gulfstream Loan Amending Agreement.
  The following descriptions
  of the Senior Bank Facility Amending Agreement, the Bridge Loan Amending
  Agreement and the Gulfstream Loan Amending Agreement do not purport to be
  complete and are qualified in their entirety by reference to Exhibits 10.1,
  10.2 and 10.3 hereto that are incorporated by reference herein.
  (i)
  Senior
  Bank Facility Amending Agreement
  The maturity date of the Senior Bank Facility was
  extended from May 23, 2008 to July 31, 2008; provided, however, that
  if the MID Reorganization Proposal does not proceed for any reason, the
  maturity date will be accelerated to a date that will be fourteen days prior to
  the accelerated maturity dates of the facilities with the MID Lender.  The Senior Bank Facility lender was granted a
  priority right to the net sale proceeds from certain of the Registrant's
  Austrian assets, subject to existing financing arrangements. In connection with
  the amendment and extension of the Senior Bank Facility, MEC incurred a fee of
  $0.67 million.
  (ii)
  Bridge Loan Amending Agreement
  The maximum commitment available under the Bridge Loan
  was increased from $80 million to $110 million and the Registrant is now
  permitted to redraw amounts that it repaid prior to May 23, 2008
  (approximately $21.5 million). The maturity date of the Bridge Loan has been
  extended from May 31, 2008 to August 31, 2008; provided, however,
  that if the MID Reorganization Proposal does not proceed for any reason, the
  maturity date will be accelerated to one month after the date on which MID
  gives notice to the Registrant that the MID Reorganization Proposal is not
  proceeding.
  In connection with the amendment and extension of the
  Bridge Loan, the Registrant incurred a fee of $1.1 million (1.0% of the
  increased maximum commitment). If the MID Reorganization Proposal has not been
  approved by August 1, 2008 or if the Bridge Loan maturity date is accelerated,
  there will be an additional arrangement fee of 1.0% of the then current
  commitment.
  2
  (iii)
  Project Financing Amendments
  In connection with the amendments to the Bridge Loan,
  the Registrant and the MID Lender also amended the project financing facilities
  provided to Gulfstream Park and Remington Park. These amendments included
  extending the deadline for repayment of at least $100 million under the
  Gulfstream Park project financing facility from May 31, 2008 to August 31,
  2008 (during which time any repayments made under either facility will not be
  subject to a make-whole payment). If the Bridge Loan maturity date is
  accelerated, the deadline for repayment of the $100 million will also be
  accelerated to the same date.
  Item 8.01   Other Events
  Special
  Committee Process
  Consideration of the amendments to the financing
  arrangements with the MID Lender was supervised by the Special Committee of the
  Registrant's board of directors consisting of Jerry D. Campbell (Chairman),
  Anthony J. Campbell and William J. Menear. The approval of the Registrant's
  board followed a favorable recommendation of the Special Committee. The Special
  Committee retained independent legal advisors to assist it in its deliberations
  in respect of these transactions.
  Item 9.01  Financial Statements
  and Exhibits
  (c)
  Exhibits
  Exhibit 10.1
  Amending
    Agreement between the Registrant, the Guarantors set forth therein and the
    Bank of Montreal, made as of May 23, 2008 to amend the Senior Bank
    Facility.
  Exhibit 10.2
  First
    Amending Agreement in Respect of the Bridge Loan Agreement between the
    Registrant, the Guarantors and MID Islandi SF dated as of May 23, 2008.
  Exhibit 10.3
  Third
    Amending Agreement in Respect of the Third Amended and Restated Gulfstream
    Park Loan Agreement between Gulfstream Park Racing Association, Inc.,
    the Guarantors and MID Islandi SF dated as of May 23, 2008.
  3
  SIGNATURES
  Pursuant
  to the requirements of the Securities Exchange Act of 1934, the Registrant has
  duly caused this report to be signed on its behalf by the undersigned thereunto
  duly authorized.
  MAGNA ENTERTAINMENT CORP.
  (Registrant)
  May 29, 2008
  by:
  /s/William
    G. Ford
  William G. Ford,
  Secretary
  4