MGM MIRAGE and Peel Holdings Announce Alliance

MGM MIRAGE , the most
respected US based gaming and entertainment company, and Peel Holdings
Plc, one of the UK’s largest private landowners and property developers,
today announced a strategic alliance to pursue the potential development
of several multi-purpose leisure, entertainment and gaming complexes in a
number of the UK’s leading cities including Liverpool, Manchester, Salford
and Glasgow. The first phase of the gaming and related elements of the proposed schemes
have a potential projected cost in excess of 650 million pounds sterling
(about $1.1 billion dollars), which if developed, will lead to the
creation of approximately 20,000 direct and indirect new jobs together
with related significant regeneration and tourism benefits. The projects,
all of which are contingent upon the timely implementation of gaming
reforms, planning and a new tax regime, include:


-  An innovative mixed-use development of 125 acres of land known as
Glasgow Harbour, currently owned by Peel Holdings, which will
incorporate a casino operated by MGM MIRAGE and other related leisure
facilities.  Development of the casino alone has the potential to
create as many as 2,500 direct construction jobs and 2,000 direct leisure-related jobs, as well as significant additional indirect jobs.

  -  A formal expression of interest to construct a major multi-purpose
leisure and gaming development, incorporating a casino operated by MGM
MIRAGE and other related facilities, including restaurants and entertainment venues, at Sportcity in East Manchester adjacent to The
City of Manchester Stadium.  The development has the potential to
create as many as 2,500 direct construction jobs and 1,600 direct
leisure related jobs, as well as significant additional indirect jobs.

  -  An outline planning application to Salford City Council to develop a
20,000-seat sports stadium, casino and hotel in Salford adjacent to the M60 motorway and the Manchester Ship Canal.  The development has
the potential to create as many as 2,500 direct construction jobs and
1,600 direct leisure related jobs, as well as significant additional
indirect jobs.

  -  A formal expression of interest with Liverpool City Council to develop
on land known as King’s Waterfront.  The development has the potential to create as many as 1,500 direct construction jobs and 1,000 direct
leisure related jobs, as well as significant additional indirect jobs.

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Commenting on the proposals, Terry Lanni, Chairman and CEO of MGM MIRAGE,
said: “MGM MIRAGE and Peel are both companies focused on building
world-class facilities. Our combined resources and experience create an
important alliance that we believe will lead to the development of
entertainment venues that could transform the leisure opportunities
available to those in and around Liverpool, Manchester, Salford and
Glasgow. Our companies’ unrivalled reputation, manpower and financial
resources create a partnership singularly positioned to develop multiple
projects of this scale while maintaining unparalleled levels of quality.”

John Whittaker, Chairman of Peel Holdings Plc, said of the alliance: “Peel
has extensive property interests and landholdings near to major cities
together with vast experience in building high quality regeneration
developments. MGM MIRAGE owns and operates what we believe to be the best
leisure, entertainment and gaming destinations in the world and this is
undoubtedly the ideal partnership to bring the best possible gaming
experience to the UK. We look forward to working with MGM MIRAGE on
evaluating further projects and developing a number of these destinations”.

Lloyd C. Nathan, Managing Director, Europe, of MGM MIRAGE Development
said: “All of the projects that we have announced today, and others which
we are still exploring, have the potential to result in unprecedented
levels of inward investment, jobs and tourism for each of the locations we
have chosen. With all of our projects relying on the timely implementation
of commercially viable gaming reforms, we look forward to working together
with all of the local communities, their political representatives and
with the Government, with the aim of ensuring that these valuable benefits
are fully realized.”
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