Issue 93
June 17 - 23, 2002
Volume 3
page 1

This Issue

Gaming News
New Aurora Dockside Casino Opens

MGM Moves On New Casino

Ameristar Casino
To Hire 800

Citibank Blocks E-Gaming Transactions

Flamingo Plans ''Hot'' Poolside Additions

Show Time

Peter Frampton will perform at Le Theatre des Arts at Paris Las Vegas Resort Casino on June 28-29

Last Minute Shopping For Father's Day

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New Aurora Dockside Casino Opens

DALLAS, TX - Hollywood Casino® Corporation opened of the second half of its spectacular new dockside casino at its Aurora facility on June 14. This opening marks the completion of the cornerstone of the $78 million expansion of the Aurora Casino.

Aurora's new dockside casino is a dramatic expansion and improvement of the property's gaming product. The new single level dockside casino has 53,000 square feet of gaming space, the largest in the Chicago marketplace, and replaces the property's two original riverboats which offered 29,500 square feet of gaming spread out on eight floors of the two boats. The new casino is connected to the property's existing pavilion in a seamless manner, providing a land-based feel for its customers. The casino features over 1,100 slot machines, including 200 brand new machines, 36 table games and seven poker tables in the only poker room in Chicago. The superior quality and significant additional passenger capacity of the new dockside facility position the Aurora casino to dramatically increase its penetration of the largely untapped Chicago gaming market. The passenger capacity of the new facility is approximately 3,200 guests, an increase of 70% over the 1,875 combined capacities of the two riverboats. In addition to the luxurious and beautiful new art deco decor, the casino features wide aisles, comfortable gaming areas, 18-foot ceilings and a new air filtration system that, when combined with the ceiling height, will produce the finest air quality of any casino in the Chicago market.

The Aurora expansion also includes a new state-of-the-art buffet and a new entrance to the dockside casino. The new Hollywood Epic Buffet® which opened on May 4, 2002 features the latest in presentation cooking and a luxurious new decor. The new buffet also increases the restaurant's customer seating by approximately 27%. The new buffet is located adjacent to the new casino, providing dining customers with the unique opportunity to watch the casino action as they enjoy their meal.Customers visiting the property from the main garage now walk through a luxurious, art deco themed entrance featuring a 20-foot ceiling and a magnificent chandelier. The new entrance opened with the first half of the new dockside casino on February 15, 2002.

"We are very excited about the completion of our new dockside casino. This new casino is unquestionably the finest gaming facility in the Chicago marketplace. While we are thrilled to be providing our customers with a superior gaming and entertainment product, our enthusiasm is tempered, however, by the dramatic increase in gaming taxes recently passed by the Illinois legislature. The higher gaming and admissions taxes will absorb virtually all of the expected return on our $78 million investment in the Aurora expansion. We will continue to carefully analyze our business in Aurora to determine how we can maximize the profitability of this spectacular new facility given the onerous tax burden the state has placed on our operations," stated Edward T. Pratt III, Chairman and Chief Executive Officer.

The Aurora expansion also includes the construction of a new parking facility. The parking expansion includes a new parking lot, porte cochere entrance and a climate-controlled walkway that directly connects to the dockside casino. The new parking facility will increase the Aurora Casino's parking capacity by at least 30% and will significantly improve customer access to the property. The parking lot will be the closest and most convenient parking facility for customers visiting the new dockside casino. The Company anticipates the parking expansion will be completed by the end of June.

The total budget for the Aurora expansion including the new dockside casino, buffet, casino entrance and parking facility is $78.2 million. The Company is funding the Aurora expansion from its available cash.

Hollywood Casino Corporation owns and operates distinctive Hollywood- themed casino entertainment facilities under the service mark Hollywood Casino® in Aurora, Illinois, Tunica, Mississippi and Shreveport, Louisiana.

MGM Moves On New Casino

DETROIT, MI - /The Detroit News/ - The MGM Grand Detroit Casino has begun taking steps to build its more lavish property at the nearby Michigan State Plaza Building site, according to documents circulating in construction circles.

While MGM stresses that it hasn't made a final decision on where to build a permanent gambling parlor featuring a hotel and additional amenities, documents show it has hired general contractors Perini Building Co. and L.S. Brinker to solicit bid proposals from subcontractors to do work at the site, across the Lodge Freeway from its existing temporary casino.

When the state of Michigan's management and budget department auctioned the nearly vacant property in April, MGM was the only bidder, offering $12.5 million. A "request for proposal" circulated last week by Perini and Brinker refers to the state plaza site as the "project description" and "planned project location."

The deal with the state, however, hasn't closed, and MGM continues to eye other sites, including its existing location and land on the west riverfront.

The state building is "where we have a lot of focus," John Redmond, chief executive officer of MGM Grand Resorts, said Thursday. "But we haven't completely decided on it," he insisted.

The project will consist of a 400-room hotel, a 135,000-square-foot casino, 169,000 square feet of restaurants, food courts and back-of-house operations and a 4,000 space parking garage, according to documents circulated among potential subcontractors last week. Space devoted to actual gambling is limited to 100,000 square feet in permanent casinos.

Construction should be completed no later than fall 2005, the document says.

MGM Grand Detroit, as well as rivals MotorCity and Greektown casinos, must finish their 400 room hotels by December 2005 so they'll be ready in time for the 2006 Super Bowl, according to a proposed deal between the gambling halls and Detroit Mayor Kwame Kilpatrick.

MotorCity has announced plans to expand at its existing site.

Greektown has land sewn up on two adjacent blocks in Greektown, but is also considering an alternative site near the entertainment district.

The sense of urgency for picking sites and getting work under way has lessened, however, since the city last week extended the current development agreements with the casinos until July 31.

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