EXHIBIT 99.1
NEWS RELEASE
LAKES ENTERTAINMENT, INC.
130 CHESHIRE LANE
MINNETONKA, MN 55305
952-449-9092
952-449-9353 (fax)
WWW.LAKESENTERTAINMENT.COM
TRADED: NASDAQ "LACO"
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FOR FURTHER INFORMATION CONTACT:
Timothy J. Cope 952-449-7030
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FOR IMMEDIATE RELEASE:
Thursday, August 7, 2003
LAKES ENTERTAINMENT, INC. ANNOUNCES SECOND SEASON WORLD
POKER TOUR TELEVISION AGREEMENT
MINNEAPOLIS, AUGUST 7, 2003 -- LAKES ENTERTAINMENT, INC. (NASDAQ "LACO") today
announced that World Poker Tour (WPT), a subsidiary company of Lakes, has signed
an agreement with the Travel Channel, L.L.C. (TRV), granting TRV the exclusive
right to broadcast the second season of the World Poker Tour series within the
United States. The new agreement also provides TRV with consecutive, exclusive
options to broadcast five additional seasons of the program. TRV is currently
broadcasting the first season of the series under a previous agreement.
Under the new agreement, WPT will receive a series of fixed license payments for
the second season. These payments will commence in 2004 and are subject to
satisfaction of production milestones and other conditions. WPT is also entitled
to a portion of the revenues from other sources including international
distribution, merchandising and certain sponsorships, and WPT is currently
exploring these opportunities. Lakes anticipates that second season revenues
from all sources will allow World Poker Tour to be profitable in 2004 and future
years, thereby being incremental to Lakes' earnings and reducing financial risks
associated with this venture.
Under the agreement, TRV will have exclusive broadcast rights within the United
States for a period of four years to the episodes included in the second season.
The agreement also provides TRV with consecutive, exclusive options to broadcast
five additional seasons of the program within the United States. If options for
additional seasons are exercised by TRV, TRV would also have the right to
broadcast the episodes in each season for a period of four years.
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Lyle Berman, Chairman and CEO of Lakes, stated, "The World Poker Tour developed
a wide television audience and a tremendous following during its first exciting
season. We are very pleased that an agreement with TRV has been reached for a
second season and we look forward to thirteen more exciting episodes to be aired
in 2004." Mr. Berman continued, "This new arrangement with the TRV along with
the other potential revenue opportunities, puts the project in a position to be
self-sufficient and profitable in future years. Therefore, we continue to look
at the World Poker Tour as an excellent opportunity with relatively little
financial risk to Lakes."
The World Poker Tour is a joint venture between Steven Lipscomb and Lakes
Entertainment, Inc. Lakes currently has development and management agreements
with four separate Tribes for four new casino operations, one in Michigan, two
in California and one with the Nipmuc Nation on the East Coast. In addition,
Lakes Entertainment has agreements for the development of one additional casino
on Indian-owned land in California through a joint venture with MRD Gaming.
Lakes Entertainment, Inc. common shares are traded on the Nasdaq National Market
under the trading symbol "LACO".
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The Private Securities Litigation Reform Act of 1995 provides a "safe harbor"
for forward-looking statements. Certain information included in this press
release (as well as information included in oral statements or other written
statements made or to be made by Lakes Entertainment, Inc.) contains statements
that are forward-looking, such as statements relating to plans for future
expansion and other business development activities as well as other capital
spending, financing sources and the effects of regulation (including gaming and
tax regulation) and competition. Such forward-looking information involves
important risks and uncertainties that could significantly affect anticipated
results in the future and, accordingly, such results may differ from those
expressed in any forward-looking statements made by or on behalf of the Company.
These risks and uncertainties include, but are not limited to, possible delays
in completion of Lakes' casino projects, including various regulatory approvals
and numerous other conditions which must be satisfied before completion of these
projects; possible termination or adverse modification of management contracts;
continued indemnification obligations to Grand Casinos; highly competitive
industry; possible changes in regulations; reliance on continued positive
relationships with Indian tribes and repayment of amounts owned to Lakes by
Indian tribes; possible need for future financing to meet Lakes' expansion
goals; risks of entry into new businesses; and reliance on Lakes' management.
For more information, review the Company's filings with the Securities and
Exchange Commission.
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