FOR IMMEDIATE RELEASE
MTR GAMING GROUP
PROVIDES UPDATE ON RECENT DEVELOPMENTS
CHESTER,
WV - September 9, 2002 - MTR Gaming Group, Inc. (Nasdaq
National Market:MNTG) today provided an update on recent developments.
Performance of New Hotel
Since the Company opened a new 258-room upscale hotel at its
Mountaineer Casino Racetrack and Resort on May 1, 2002, overall occupancy and average daily
revenue have been steadily increasing. Individual patrons and groups are becoming
increasingly familiar with the new hotel and additional amenities, including
the Spa, which opened in its new location in the hotel on August 3, 2002. Mountaineer Casino Racetrack and Resort
Average Occupancy and Average Daily Revenue (ADR)
Since Opening of New Hotel (unaudited)
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Occupancy (1):
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Weekday
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48%
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48%
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64%
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72%
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Weekend
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69%
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88%
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97%
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91%
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Month overall
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54%
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62%
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73%
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79%
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ADR:
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With complimentary occupied rooms
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$78
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$77
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$79
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$84
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Without complimentary occupied rooms
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$85
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$90
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$87
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$93
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(1) Occupancy
is measured utilizing the number of total rooms available for sale. Although
the hotel opened on May 1, 2002, certain rooms may not have been
available for customer use due to construction punch list items. Record
August Gaming RevenuesTotal gaming revenues at Mountaineer
in August were a record $22.7 million, up 22.4% from the same period
last year. Additionally, on Saturday and Sunday of Labor Day weekend
the Company posted two consecutive days with more than $1 million
in gaming revenues at Mountaineer.
Proposed Erie Race Track
MTR has been advised that it is on the agenda for the September 26th meeting
of the Pennsylvania State Horse Racing Commission, at which time it is expected
a decision will be made on the Company's application for a license to build
and operate a racetrack in Erie, Pennsylvania.
Stock Repurchase Plan
Since announcing a $3 million stock repurchase program on August 8, 2002, MTR
has purchased 270,000 shares of the Company's Common Stock. The transactions
were made in the open market at prevailing market prices pursuant to SEC Rule
10b-18 for a total of $2,241,604.
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.
About Scioto Downs
Scioto Downs owns and operates a harness horse racing facility in Columbus,
OH. Major racing programs conducted at Scioto’s facilities include
the Little Brown Jug Preview, the Scarlet O’Hara, the Pink Bonnet,
the Ohio Sires Stakes events and Ohio Fair stakes events.
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, March 5, 2003, and May 7, 2003. MTR’s
plans to build a racetrack in Erie, Pennsylvania remain subject
to the possibility of a legal challenge to the July 17, 2003
decision of the Pennsylvania State Horse Racing Commission
reinstating the license (which was originally granted in
late 2002) and the risks associated with land acquisition,development,
construction and integration of new operations. The Company
does not intend to update publicly any forward-looking statements,
except as may be required by law. |
