Caesars Entertainment Reports Record Earnings for Fourth Quarter and Full Year 2004

Business Wire, Feb 10, 2005

--The company continued its leadership in deploying "ticket-in, ticket-out" slot technology. Excluding properties being sold, 87 percent of the slot machines in Caesars Entertainment's domestic casino resorts now are equipped with "ticket-in, ticket-out" technology. On the Las Vegas Strip, that figure is 97 percent.

--The number of customers participating in the Caesars Entertainment Connection Card rewards program grew to 29 million, increasing at an average rate of 6,600 each day. Cross property play among Caesars Entertainment guests grew 12 percent in Las Vegas.

--The Connection Card program inaugurated a new online capability, making it more convenient for players and guests to sign up and track their comp dollar balances. More than 72,000 customers signed up for the program online during the year.

--The company introduced its online "Best Rate Plus Guarantee." The program guarantees that guests who book Caesars Entertainment resort rooms through company web sites will receive the lowest rate for those rooms available anywhere on the Internet.

--Total room nights sold through the company's family of web sites rose 18 percent, to more than 700,000, while the average daily rate for rooms booked online rose by more than 18 percent. Revenue from online bookings rose 40 percent. Thirty-five percent of all independent travelers who booked rooms at the company's Las Vegas resorts booked their rooms through a company web site.

--The company launched a new web page intended to make it easier for minority and women-owned firms to communicate quickly and directly with senior procurement officials through a new, one-stop process. The site also offers key information about the company and minority enterprise certification. A direct link to the special supplier web page is featured prominently on Caesars Entertainment's main home page at www.caesars.com.

New development projects

--Caesars Entertainment announced its first venture into Europe with plans for a $600-million casino resort in London, to be built near the reconstructed Wembley National Stadium and adjacent to the soon-to-be renovated Wembley Arena. The project, a 50-50 partnership with London-based Quintain Estates and Development PLC, is subject to the enactment of gaming reform legislation by Parliament, subsequent license approval by the government of the United Kingdom, and the signing of a definitive agreement with Quintain.

--Following enactment of gaming legislation in Pennsylvania, the company unveiled preliminary plans for a casino and entertainment complex to be built in Philadelphia, on the Delaware River waterfront. The project, which would eventually include 5,000 slot machines and a 500-room hotel, is subject to license approval by Pennsylvania gaming authorities. The company recently purchased a waterfront site for the project, which includes an 18-acre development site.

--In California, the company signed formal agreements with the Big Sandy Band of Western Mono Indians to govern the development, construction and management of a new Tribal casino to be built on Tribal land near Fresno in the Central Valley. Under the terms of the agreements, the project would be owned by the Tribe and managed by Caesars Entertainment.