MTR GAMING GROUP COMPLETES SALE OF RENO
PROPERTY AND DUE DILIGENCE FOR SCIOTO DOWNS ACQUISITION
CHESTER, WV - March 12, 2003 - MTR Gaming Group, Inc. (Nasdaq
National Market:MNTG) today announced that it completed the
sale of its hotel/casino property in Reno, Nevada for total
consideration of $2,950,000.
The terms of the sale include a down payment of $787,500,
and the balance in the form of a seven-year promissory note,
secured by a first mortgage on the property and guaranteed
by the purchaser's principals. The purchasers are not affiliated
with the Company and own and operate other hotel properties
as well.
The Company also announced that it has completed its due diligence
investigation of Scioto Downs, Inc. and has elected to proceed
with the transaction, subject to the remaining terms, conditions
and governmental approvals set forth in the December 23, 2002
Merger Agreement, as amended on February 24, 2003.
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.
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