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Kansas Lottery Commission approves casino contract for Cherokee County

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May 5, 2008

TOPEKA, KS - The Kansas Lottery Commission voted unanimously Monday to approve a 15-year contract with Penn National Gaming Inc., to operate a hotel-and casino complex in Cherokee County. Penn National was the only applicant for that county. The commission is now forwarding the contract to the Kansas Lottery Gaming Facility Review Board which will decide whether to award the contract. Their decision could come in their next meeting August 21-22.

The contract calls for Penn National to phase in its $225 million investment in over 12 years with $125 million invested by the time its casino opens in May 2010. The remaining investment will build a 200-room hotel, a 1,750-seat convention center; and additional retail and gambling space.

The casino will have Hollywood theme, 900 slot machines and 30 table games with 180 positions. The slot machines could be expanded to 1,500 in the future.

The lottery commission will decide on contracts for three other counties on May 19-20. There are 11 applicants and no limit on the number of contracts that can be awarded.

Ford County applicants are Butler National Service Corp. and Dodge City Resort and Gaming Co., for Ford County.

Sumner County applicants are Penn National, Marvel Gaming, Sumner Gaming Ventures (includes MGM Grand Inc. and Foxwoods), and Sumner Gaming Joint Venture (includes Harrah's).

Wyandotte County applicants are Sands Kansas, Golden Gaming Inc., Kansas Entertainment (includes the Kansas Speedway and The Cordish Company), PNZ-Kansas (includes Pinnacle Entertainment Inc., and Legends Sun (includes the Mohegan Tribe of Connecticut and RED Development of Scottsdale, Arizona).

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