ST. LOUIS, June 14, 2011 /PRNewswire/ -- Isle of Capri Casinos, Inc. (Nasdaq: ISLE) (the "Company") announced today that it has entered into an Option Agreement (the "Agreement") with Paradise Casino, LLC ("Paradise Casino") granting Paradise Casino the right to buy one of the Company's two gaming subsidiaries in Lake Charles, Louisiana. If the option is exercised and the transaction closes, Paradise Casino will acquire an entity that is licensed and owns the Crown gaming vessel, as well as the furniture, fixtures and equipment located on that vessel. The Agreement provides that the option must be exercised, if at all, no later than November 30, 2011. In the event the option is exercised, following the closing of the transaction, the Company plans to consolidate its operations in Lake Charles onto the adjacent Grand Palais gaming vessel, which is the larger of the two vessels.
The Agreement provides that Paradise Casino will immediately begin the process of obtaining regulatory and other approvals including a successful referendum to relocate the facility to Bossier City, Louisiana. The financial terms of the Agreement and the purchase price have not been disclosed.
Virginia McDowell, the Company's president and chief executive officer commented, "We have previously indicated our desire to explore options for our second gaming facility currently located in Lake Charles. We believe that the pending transaction for one of the two vessels located at our gaming operation in Lake Charles will provide a solid opportunity for our company."
McDowell continued, "For our team and customers, we will continue to operate our business as usual and are confident that, if the option is exercised and the transaction is completed, we will be able to create an even better work environment and more successful business through this consolidation."
All terms and the purchase of the property are subject to customary closing conditions and appropriate regulatory approvals. There can be no certainty that Paradise Casino will choose to exercise its option or with respect to the ultimate conclusion of the Agreement.
About Isle of Capri Casinos, Inc.
Isle of Capri Casinos, Inc., founded in 1992, is dedicated to providing its customers with an exceptional gaming and entertainment experience at each of its 15 casino properties. The Company owns and operates casinos in Biloxi, Lula, Natchez and Vicksburg, Mississippi; Lake Charles, Louisiana; Bettendorf, Davenport, Marquette and Waterloo, Iowa; Boonville, Caruthersville and Kansas City, Missouri; two casinos in Black Hawk, Colorado; and a casino and harness track in Pompano Beach, Florida. The Company and its partner, Nemacolin Woodlands Resort, were selected to be awarded a "resort license" for a casino at Nemacolin Woodlands Resort in Pennsylvania. Additionally, the Company was chosen to develop a new, Isle-branded gaming facility in Cape Girardeau, Missouri, which is expected to open in late 2012. More information is available at the Company's website, www.islecorp.com.
This press release may be deemed to contain forward-looking statements, which are subject to change. These forward-looking statements may be significantly impacted, either positively or negatively, by various factors, including, without limitation, licensing and other regulatory approvals, financing sources, development and construction activities, costs and delays, weather, permits, competition and business conditions in the gaming industry. The forward-looking statements are subject to numerous risks and uncertainties that could cause actual results to differ materially from those expressed in or implied by the statements herein. The risks and uncertainties include, but are not limited to, competition in the casino/hotel and resorts industries, the Company's dependence on existing management, levels of travel, leisure and casino spending, general domestic or international economic conditions, and changes in gaming laws or regulations.
Additional information concerning potential factors that could affect the Company's financial results is included in the Company's Annual Report on Form 10-K/A for the fiscal year ended April 25, 2010 and the Company's other periodic reports filed with the Securities and Exchange Commission. The Company is not under any obligation to (and expressly disclaims any such obligation to) update their forward-looking statements as a result of new information, future events or otherwise.
CONTACTS: Isle of Capri Casinos, Inc., Dale Black, Chief Financial Officer-314.813.9327 Jill Alexander, Senior Director, Corporate Communication-314.813.9368 www.islecorp.com
SOURCE Isle of Capri Casinos, Inc.