Caesars Completes Sale of Its Interests in South African Casino - Tuesday 12th of April 2005

Caesars Entertainment Inc. (NYSE: CZR), one of the world's leading gaming companies, today completed the sale of its ownership and management interests in Caesars Gauteng, a casino resort near Johannesburg, South Africa, for approximately $145 million. Net after-tax cash proceeds from the sale are expected to be approximately $100 million, which will be used to reduce outstanding debt under the company's credit facility.

Under the terms of the transaction, Peermont Global Limited, a South African luxury hotel and casino company, and its economic empowerment partner, Marang (East Rand) Gaming Investments, jointly acquired the 25 percent interest held by Caesars' South African affiliate in the company that owns Caesars Gauteng. Peermont also acquired Caesars' 50 percent interest in the company that manages the South African casino resort.

Caesars Entertainment expects to record a pre-tax gain of approximately $95 million on the transaction in the first quarter of 2005.

Situated near the Johannesburg International Airport, Caesars Gauteng features 276 guest rooms and suites, a casino with 1,640 slot machines and 67 table games, ten restaurants, an award-winning spa, a 1,000-seat showroom, an indoor roller coaster and theme park, a unique retail concourse and extensive conference facilities. As a result of the transaction, the resort is being re-branded.

About Caesars Entertainment

Caesars Entertainment, Inc. (NYSE: CZR) is one of the world's leading gaming companies. With $4.2 billion in annual net revenue, 26 properties on three continents, nearly 26,000 hotel rooms, two million square feet of casino space and 50,000 employees, the Caesars portfolio is among the strongest in the industry. Caesars casino resorts operate under the Caesars, Bally's, Flamingo, Grand Casinos, Hilton and Paris brand names. The company has its corporate headquarters in Las Vegas.

The company's Board of Directors in July 2004 accepted an offer from Harrah's Entertainment, Inc. to acquire the company for approximately $1.9 billion in cash and 67.7 million shares of Harrah's common stock. Shareholders of both companies approved the merger in separate meetings on March 11. The transaction is contingent on approval by federal and state regulatory agencies and is expected to close in the second quarter of 2005.

Additional information on Caesars Entertainment can be accessed through the company's web site at www.caesars.com.

NOTE: This press release contains "forward-looking statements" within the meaning of the federal securities law, which are intended to qualify for the safe harbor from liability provided there under. All statements which are not historical statements of fact are "forward-looking statements" for purposes of these provisions and are subject to numerous risks and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements. Forward-looking statements include all financial projections, including projections of revenue, market share, earnings, EBITDA, free cash flow, statements of management's plans, objectives or expectations of future economic performance, statements regarding new developments or opportunities, asset dispositions, statements of belief, and/or statements regarding various programs and initiatives including capital programs, cost savings, debt reduction, customer marketing and anticipated construction, development, or acquisitions. Additional information concerning potential risk factors that could affect the company's future performance are described from time to time in the company's reports filed with the Securities and Exchange Commission, including the company's Annual Report on Form 10-K for the year ended December 31, 2004. The reports may be viewed free of charge at the following website: www.sec.gov2. The company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.

Other news from around the same time

Changes to gaming board encouraged - Saturday 12th of March 2005

The new chairman of the Illinois Gaming Board urged lawmakers Wednesday to separate the board from t....


Racing channel launches gambling sites - Saturday 12th of March 2005

Horse racing and betting channel At The Races (ATR) has launched an online casino and poker room. Bo....


Ruffin sells his Bahamas hotel, casino - Saturday 12th of March 2005

Wichita businessman Phil Ruffin sold his Bahamas hotel and casino Wednesday in a $150 million deal.&....


Singapore rejects bid for casino protest march - Saturday 12th of March 2005

Singapore police have rejected a political activist's bid to demonstrate against a proposed casino, ....


Macau Gives Las Vegas Serious Competition - Saturday 12th of March 2005

Las Vegas now has serious competition for the title of "Gaming Capital of the World." The ....


Antigua Anticipates Favorable Ruling on Trade Issue - Saturday 12th of March 2005

The small nation of Antigua and Barbuda is anticipating the proverbial "David versus Goliath sc....


Investors wild for Wynn resort - Saturday 12th of March 2005

It's hard to tell who's more excited about Las Vegas mogul Steve Wynn's soon-to-be-opened resort: ga....


Navajos may get 6 casinos - Saturday 12th of March 2005

Navajo Nation President Joe Shirley Jr. said Wednesday that he anticipates about six casinos being b....


Few gaming firms disclose figures on minority hiring - Saturday 12th of March 2005

While MGM Mirage isn't the only company to make public its track record on minority hiring and purch....


Investor eyes 2b jackpot in casino VIP room offer - Saturday 12th of March 2005

Private investor from the mainland is planning to sell shares in eight VIP rooms in Macau's Galaxy C....