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Southwest Casino raises $2.6 million

MINNEAPOLIS, Minnesota – (PRESS RELEASE) -- Southwest Casino Corporation (OTCBB:SWCC) today announced that it has raised in excess of $2.6 million from the sale of its common stock with accompanying warrants. Southwest closed a private placement of its securities to select institutional and accredited investors on January 24, 2007. The Company sold approximately 4.8 million shares of common stock at a purchase price of $0.55 per share. In addition, the Company issued warrants to purchase 0.4 shares of its common stock for each share of common stock purchased, or approximately 1.9 million shares in total. The warrants have an exercise price of $0.61 per share, a term of five and one half years and are first exercisable six months after the closing date of this transaction. The securities purchase agreement requires the Company to file a Registration Statement on Form SB-2 within 30 days of the closing of the transaction and use its best efforts to have the Registration Statement declared effective within 120 days or 150 days depending on certain circumstances as outlined in the agreement. Midtown Partners & Co. LLC ("Midtown Partners") served as placement agent in connection with the transaction and received their fee in shares of the Company's common stock and warrants. In consideration for their services, Southwest will issue to Midtown Partners approximately 300,000 shares of common stock with warrants to purchase approximately 125,000 shares on the same terms as the offering and approximately 170,000 shares at a price of $1.00 per share.

Mr. James Druck, Chief Executive Officer of Southwest Casino Corporation, stated, "We are pleased to close on this transaction as this money will allow us to continue to pursue our current gaming opportunities and provide general working capital. We appreciate the continued support of our existing shareholders and welcome the support of new investors".

Mr. Richard Henri Kreger, Senior Vice President of Midtown Partners, commented, "We fell in love with the management team of Southwest Casino Corporation, its impressive management style and unrelenting drive for success. The company's North Metro Harness Initiative and potential Double Eagle acquisition should add additional growth to an already impressive business."

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