L'Auberge du Lac closing until new hurricane passes

September 23

Early this morning, Pinnacle Entertainment, Inc. announced that it would temporarily close its L'Auberge du Lac, casino resort in Lake Charles, Louisiana, due to the impending Hurrucane headed directly towards the area.

The company is already in the process of closing in preparation for Hurricane Rita, which is expected to pass through or near Lake Charles within the next  2 days. L'Auberge du Lac is nearly 30 miles from the Gulf of Mexico along the Calcasieu River.

In response to investor issues, Pinnacle assured, as it had indicated following Hurricane Katrina, that the Company has in force some $400 million of insurance policies for business interruption and property insurance. Such insurance is placed with an assortment of insurance carriers, all of which currently are rated A- or better. The insurance is underwritten on a basis that any claims pursuant to one named hurricane do not diminish the potential $400 million claim from a subsequent, different hurricane.