Park Place Announces Pricing Of $375 Million Senior Subordinated Note Issue

Park Place Entertainment Corporation (NYSE: PPE) today announced the pricing of a Rule 144A private placement of $375 million senior subordinated notes with an eight-year maturity and a coupon of 7 7/8 percent. The company will use the proceeds to pay down its bank credit facility. The transaction is expected to close on March 14, 2002.

The notes have not been registered under the Securities Act of 1933 and may not be offered or sold in the United States absent registration or an applicable exemption from registration requirements. This notice is issued pursuant to Rule 135© of the Securities Act of 1933 and does not constitute an offer to sell or the solicitation of an offer to buy the notes. Park Place Entertainment is the world’s largest gaming company and owns, manages or has an interest in 28 gaming properties operating under the Bally’s, Caesars, Flamingo, Grand Casinos and Hilton brand names with a total of approximately 2 million square feet of gaming space, over 28,000 hotel rooms and approximately 55,000 employees worldwide.

Additional information about Park Place Entertainment can be accessed through the company’s 24-hour investor relations service. Individuals may call toll-free 877-PPE-NYSE (877-773-6973) or visit to obtain the latest company news and stock price information, or to request information by e-mail, fax or postal mail delivery.

Note: This press release contains “forward-looking statements” within the meaning of federal securities law, including statements concerning company plans, expectations and projections. The forward-looking statements in this press release are subject to numerous risks and uncertainties, which could cause actual results to differ materially from those expressed in or implied by the statements herein. Additional information concerning potential factors that could affect Park Place’s future financial results is included in the company’s annual report on Form 10-K for the year ended Dec. 31, 2000 and its quarterly reports on Forms 10-Q for the quarters ended March 31, 2001, June 30, 2001 and September 30, 2001.