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Pinnacle Project Receives Missouri Approval

MISSOURI – (PRESS RELEASE) -- Pinnacle Entertainment, Inc. (NYSE: PNK) obtained several key approvals today from the Missouri Gaming Commission regarding the Company's Lemay casino project in south St. Louis County.

The Commission unanimously approved the location of the casino portion of the Lemay project, finding the site to be within 1,000 feet of the main channel of the Mississippi River, as required by Missouri statute, and also approved was Pinnacle's request for permanent docking at this site. The Company received preliminary approvals on the project site plan and the exterior design for the casino portion of the project, which by Missouri law must reflect the state's riverboat history. For this project, the company chose a design that echoes the architectural character of many Missouri cities, including the St. Louis riverfront during the peak of the area's steam-powered riverboat traffic in the nineteenth century.

Today's action follows the identical set of Commission approvals obtained in January 2005 for the Company's Laclede's Landing casino project in downtown St. Louis.

"With these approvals in place, we can move forward with the design plans for our Lemay project," said Daniel R. Lee, Chairman and CEO of Pinnacle Entertainment. "We will continue to work with the Commission, St. Louis County and the people of Lemay as our plans advance and we begin construction. I would like to thank the Commissioners for their approval of our project, which will bring many jobs and significant tax revenues to both St. Louis County and the State of Missouri."

In September 2004, the Commission selected Pinnacle for "priority investigation" in connection with both of the Company's casino and related development proposals for St. Louis City and County. The Commission has the ultimate authority to issue gaming licenses in Missouri and these approvals are important steps toward potential licensure for both projects.

Pinnacle Entertainment was previously selected for the two St. Louis area projects in early 2004 by the City and County of St. Louis in competitive bid processes that included applications from four gaming companies.

In south St. Louis County, Pinnacle has proposed a gaming and mixed-use project in the community of Lemay, located approximately 10 miles south of downtown St. Louis. The proposed development will be situated on approximately 56 acres of land leased from the St. Louis County Port Authority, will cost $300 million or more, and will include a 90,000-square-foot, 3,000-slot casino; a 100-guestroom hotel; and extensive retail and entertainment space.

An additional 24 acres will be developed into a public park and will include community and recreational facilities to be constructed by the Company.

Pinnacle has also proposed a major project in downtown St. Louis, including a 75,000-square-foot, 2,000 slot casino; a 200-guest-room luxury hotel; retail space; and a large parking structure. Pinnacle has agreed with the City to invest a minimum of $200 million in the project, not including the $15 million invested to date by Pinnacle in land acquisition. As part of the agreement with the City, Pinnacle also intends to build (potentially with one or more development partners) an additional $50 million of residential housing, retail, or mixed-use developments in the City within five years of the opening of the casino and hotel.

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