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Casino Owner Comments on May Casino Revenues

``The $21 million reported today for the month of May by the Louisiana Gaming Control Board represents a 10.4% increase over revenue reported for the month of April,'' stated Burford.

``The casino continues to draw large crowds as we devote our efforts to increasing revenues and controlling variable costs. However, the greatest cost we face is the one item that we have no control over, the minimum annual payment to the State of $100 million due under our casino-operating contract.

"Even with an increase in gross gaming revenues to $21 million this month, this payment represents an effective tax rate of 40% for the month of May and 42% cumulative since opening. While we will continue to do everything feasible to grow our revenues and control our variable costs, we know of no casino in the United States that operates successfully with a tax burden of this size. ''

Jazz Casino Company, LLC, a subsidiary of JCC Holding Company, has the exclusive license to own and operate the only land-based casino in Orleans Parish. Harrah's New Orleans Management Company, a subsidiary of Harrah's Entertainment has been awarded the management contract for the casino. The casino employs approximately 3,000 people with an annual payroll and benefits of approximately $80 million. The 100,000 square foot casino is located at Canal Street at the Mississippi River in downtown New Orleans, is adjacent to the French Quarter, the Aquarium of the Americas and the Ernest N. Morial Convention Center.

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