Concorde Gaming Reports 2nd Quarter Loss

Business Wire, May 20, 2003

Business Editors

RAPID CITY, S.D.--(BUSINESS WIRE)--May 20, 2003

Concorde Gaming Corporation (OTCBB:CGAM) announced financial results for the three months ended March 31, 2003, and six months ended March 31, 2003.

For the quarter ended March 31, 2003, the Company reported a net loss of $32,995 or $(0.00) per share, compared to net income of $475,130, or $0.02 per share, for the quarter ended March 31, 2002. Net revenue for the quarter was $5,189,824, a decrease of 6.6%, compared to net revenue of $5,554,507 for the same quarter a year ago. For the six months ended March 31, 2003, the Company reported a net loss of $127,387 or $(0.01) per share, compared to net income of $644,954, or $0.03 per share, for the same period a year ago. Net revenue for the six months ended March 31, 2003 was $9,838,654, a decrease of 6.0%, compared to net revenue of $10,470,195 for the same period a year ago.

Revenues from our Black Hawk, Colorado operations were $2,183,637, a 11.4% increase, for the quarter ended March 31, 2003 compared to the quarter ended March 31, 2002, while segment profits were $420,125, a decrease of 42%, for the quarter ended March 31, 2003 compared to the quarter ended March 31, 2002. Our Miami operations contributed revenues of $3,006,187, a decrease of 16.4%, for the quarter ended March 31, 2003 compared to the quarter ended March 31, 2002, while segment losses were $95,624, a decrease of 175.9%, for the quarter ended March 31, 2003 compared to the quarter ended March 31, 2002.

"Second quarter results for our Black Hawk operations were adversely effected by start up costs at Golden Gulch Casino and a late March snowstorm in Colorado and the threat of terrorist attacks in the Miami area in January and February slowed customer traffic on the Casino Princesa," said Jerry Baum, CEO and President of Concorde Gaming. Mr. Baum further stated that "With the opening of the Golden Gulch Casino, with 210 gaming devices, we expect to be able to take advantage of the operational efficiencies from owning and operating two casinos in Black Hawk."

Concorde Gaming owns and operates three gaming properties with over 750 gaming devices in operation. The Company operates two limited stakes gaming properties, the Golden Gates Casino and Golden Gulch Casino, both in Black Hawk, Colorado, and a day-cruise gaming property, the Casino Princesa based out of Miami, Florida. The Company's corporate offices are located in Rapid City, South Dakota.

Statements contained in this press release, which are not historical facts, are forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks and uncertainties which can cause actual results to differ materially from those currently anticipated, due to a number of factors, which include, but are not limited to, changes in gaming regulations and tax rates in Colorado, Florida, and other jurisdictions, the level and rate of growth in the Company's operations, the Company's ability to continue to increase customer traffic to its properties, the success of the Golden Gulch Casino, the Company's ability to continue to impose strong cost controls, and the effect of the Company's accounting policies and other risk factors discussed in documents filed by the Company with the Securities and Exchange Commission from time to time.