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Ameristar Casinos Redeems Notes

16 January 2006

LAS VEGAS – (PRESS RELEASE) -- Ameristar Casinos, Inc. (Nasdaq: ASCA) today announced that it has called for redemption all $380 million outstanding principal amount of its 10-3/4% Senior Subordinated Notes due 2009. The notes will be redeemed on February 15, 2006 at a redemption price of 105.375% of the principal amount, plus accrued and unpaid interest to the redemption date.

The trustee for the notes is U.S. Bank National Association, St. Paul, Minnesota. The redemption will be funded through borrowings under the Company's senior secured credit facilities. We anticipate that the redemption will reduce the Company's average interest rate and provide significant savings related to interest expense, although it will result in a one-time charge for loss on early retirement of debt of approximately $26.2 million on a pre-tax basis.

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