EXHIBIT 99.1
NEWS RELEASE
LAKES ENTERTAINMENT, INC.
[LAKES ENTERTAINMENT, INC. LOGO] 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:
Wednesday, November 10, 2004
LAKES ENTERTAINMENT, INC. ANNOUNCES LETTER OF INTENT WITH TEXAS TRIBE
MINNEAPOLIS, NOVEMBER 10, 2004 -- LAKES ENTERTAINMENT, INC. (NASDAQ "LACO")
announced today that it has signed a Letter of Intent with the Kickapoo
Traditional Tribe of Texas to negotiate an agreement with the Tribe to consult
on the further development and operations of the Tribe's casino located in Eagle
Pass, Texas. Subject to regulatory approval, the consulting agreement will be
replaced by a management contract.
The Tribe recently opened the expanded Lucky Eagle Casino in Eagle Pass, Texas,
located approximately 140 miles southwest of San Antonio. The casino currently
consists of approximately 1,000 Class II type gaming devices, ten Kickapoo 21
tables and seventeen poker tables along with two restaurant outlets and a
multi-functional outlet that seats over 2,000 customers.
The Letter of Intent provides that the Tribe and Lakes will negotiate and enter
into a consulting agreement and a management contract. The consulting agreement
will be for a period of seven years or until approval by the National Indian
Gaming Commission of a proposed seven year management contract, which will then
replace the consulting agreement. If Lakes and the Tribe enter into the
agreements, Lakes does not expect to receive any significant fees under these
arrangements for at least twelve months.
Lyle Berman, Chairman and CEO of Lakes stated, "We are extremely pleased to be
selected by the Kickapoo Traditional Tribe to help them further develop their
casino in Eagle Pass. The location will provide for a tremendous casino resort
destination site. We appreciate the help of Kevin Kean, who introduced our
company to the Tribe."
Tim Cope, President of Lakes commented, "We are very excited to begin work on
this new casino development opportunity. We look forward to working with
Chairman Juan Garza, Jr. and members of the Tribal Council who are very
supportive of this relationship with our Lakes' team. Specific terms of the
consulting agreement and management contract will be disclosed as soon as
definitive agreements between Lakes and the Tribe are signed."
Juan Garza, Jr. Chairman of the Traditional Council expressed his enthusiasm,
"This will bring new and greater benefits to our Tribal members and the whole
community outside of our Reservation."
Lakes Entertainment, Inc. currently has development and management agreements
with three separate Tribes for one new casino operation in Michigan and two in
California. Lakes also has agreements for the development of an additional
casino on Indian-owned land in California through a joint venture with MRD
Gaming, which is currently being disputed by the Tribe. Additionally, the
Company owns approximately 64% of WPT Enterprises, Inc. (Nasdaq "WPTE"), a
separate publicly held media and entertainment company principally engaged in
the development, production and marketing of gaming themed televised programming
including the World Poker Tour television series, the licensing and sale of
branded products and the sale of corporate sponsorships.
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 owed to Lakes by
Indian tribes; possible need for future financing to meet Lakes' expansion
goals; risks of entry into new businesses; reliance on Lakes' management; and
the fact that the WPT shares held by Lakes are currently not liquid assets, and
there is no assurance that Lakes will be able to realize value from these
holdings equal to the current or future market value of WPT common stock. There
are also risks and uncertainties relating to WPT that may have a material effect
on the Company's consolidated results of operations or the market value of the
WPT shares held by the Company, including WPT's significant dependence on the
Travel Channel as a source of revenue; the potential that WPT's television
programming will fail to maintain a sufficient audience; the risk that
competitors with greater financial resources or marketplace presence might
develop television programming that would directly compete with WPT's television
programming; the risk that WPT may not be able to protect its entertainment
concepts, current and future brands and other intellectual property rights;
risks associated with future expansion into new or complementary businesses; the
termination or impairment of WPT's relationships with key licensing and
strategic partners; and WPT's dependence on its senior management team. For more
information, review the filings of the Company and WPT with the Securities and
Exchange Commission.
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