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Pinnacle Entertainment Prices Shares

LAS VEGAS – (PRESS RELEASE) -- Pinnacle Entertainment, Inc. (NYSE: PNK) announced that the underwritten public offering of 6.0 million of its newly issued shares of common stock has been priced at $27.35 per share, which will result in gross proceeds to Pinnacle of $164.1 million. Lehman Brothers Inc. and Deutsche Bank Securities Inc. are acting as joint book-running managers of the offering. In addition, Bear, Stearns & Co. Inc. and Merrill Lynch & Co. are acting as joint lead managers of the offering.

The offering is expected to close on January 19, 2006, subject to customary closing conditions. The underwriters of the offering have a 30-day option to purchase an additional 900,000 shares of common stock from Pinnacle.

The Company expects to use the proceeds of this offering for general corporate purposes and for one or more of the following capital projects it intends to pursue at its existing facilities. The Company intends to add approximately 250 guestrooms at Belterra Casino Resort, bringing the total to approximately 850 guestrooms. The Company also plans to add approximately 250 additional guestrooms to L'Auberge du Lac in Lake Charles, Louisiana, bringing the total to approximately 1,000 guestrooms. Finally, the Company intends to build a 200 guestroom hotel at its Boomtown New Orleans property, the first guestrooms at that facility. Pinnacle expects to begin construction of all three of these expansions in 2006 and complete such construction in 2007. In addition, proceeds of the offering may be used to fund a portion of the construction costs of the St. Louis projects.

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