FOR IMMEDIATE RELEASE
MTR GAMING GROUP FILES APPLICATION TO BUILD THOROUGHBRED RACETRACK
IN ERIE, PENNSYLVANIA
CHESTER, WV - June 21, 2001 - MTR Gaming Group, Inc. (Nasdaq
National Market:MNTG) today announced that its newly formed,
wholly owned subsidiary, Presque Isle Downs, Inc., filed
an application with the Pennsylvania State Horse Racing Commission
for a license to conduct thoroughbred horse racing and parimutuel
wagering in Erie, Pennsylvania.
The Company's plans call for construction of a state-of-the-art
horse racing facility featuring dirt and turf racing as well
as concerts, nightly entertainment, and fine and casual dining.
The new track, to be named Presque Isle Downs, would be built
on a parcel of approximately 135 acres that the Company assembled
through various option contracts. The options, which the Company
acquired for approximately $100,000 including fees and costs,
run through September of 2001 and can be extended through March
of 2003 for additional consideration. The Company selected
Erie because it is already a resort and tourist destination,
was previously the site of a licensed thoroughbred track, and
presents opportunities for cross marketing with MTR Gaming
Group's flagship property, the Mountaineer Casino Racetrack and Resort in Chester, West Virginia, approximately 150 miles from
Erie.
The Company noted, however, that construction of the new track
is subject to a number of contingencies, including licensing,
zoning, closing on the real property upon exercise of the various
option contracts (including the ability of the sellers to convey
clear title), feasibility studies, and other customary due
diligence. Accordingly, there can be no assurance that the
Company's plans to build the track in Erie will be executed.
About MTR Gaming Group
MTR Gaming Group owns and operates the Mountaineer Casino Racetrack and Resort in Chester, West Virginia, which currently encompasses
a thoroughbred racetrack with off-track betting and export
simulcasting, 3,200 slot machines, 359 hotel rooms, golf course,
spa & fitness center, theater and events center, convention
center and fine dining and entertainment. The Company also
owns and operates the Ramada Inn and Speedway Casino in North
Las Vegas, and holds a license to build a new thoroughbred
racetrack with parimutuel wagering in Erie, Pennsylvania. MTR
is included on the Russell 2000® and Russell® 3000
Indexes. For more information, please visit www.mtrgaming.com.
Except for historical information, this
press release contains forward-looking statements concerning,
among other things, the acquisition of Scioto Downs, Inc.
Such statements are based on MTR’s current plans and
expectations. Such statements are subject to a number of
risks and uncertainties that could cause the statements made
to be incorrect and/or for actual results to differ materially.
Those risks and uncertainties are described in the Company’s
periodic reports filed with the Securities and Exchange Commission,
and with respect to the Scioto Downs acquisition are described
in the Merger Agreement, as amended, which is attached as
exhibits to the Company’s reports on Forms 8-K filed
December 24, 2002,
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