MGM MIRAGE (NYSE: MGG) today reported
earnings of 47 cents per diluted share for the 2001 second quarter, compared
with a loss of 13 cents per diluted share in the 2000 quarter.  Excluding
nonrecurring expenses, the Company reported a 20% increase in earnings per
share to 48 cents per share for the three months ended June 30, 2001, up from
40 cents per share in the prior year`s quarter.

Net income before nonrecurring expenses grew 27% to $77.3 million in the
2001 quarter from $60.7 million in the prior year`s quarter.  These results
reflect the continued strong performance from the Company`s casino and hotel
operations and the impact of the historic acquisition of Mirage Resorts,
Incorporated (“Mirage Resorts”) on May 31, 2000.  Revenue and operating cash
flow (“EBITDA”) soared 74% and 63%, respectively, representing the tenth
consecutive quarterly increase in revenue and EBITDA on a year-over-year
basis.

On a pro forma basis to account for the Mirage Resorts acquisition in both
periods, revenue grew 2% to $1.05 billion while EBITDA increased 5% to
$324.8 million in the 2001 second quarter.

“This quarter marks the one year anniversary of the combination of two
powerful companies.  Our operating performance and results have not only
exceeded expectations but exemplify the strength of our people, our properties
and our brands,” said Terry Lanni, Chairman and Chief Executive Officer of
MGM MIRAGE.  “Given the variety of economic concerns corporate America has
faced since the beginning of the year, we are pleased with our outstanding
results.  Many of those factors remain in place today, but with half of 2001
behind us, we are confident in our ability to succeed in this challenging
environment.”

Second Quarter Company Highlights:

—Overall the Company experienced 5% growth in revenue per available room
    (“REVPAR”) at its Las Vegas properties
—Produced significant free cash flow at all operating properties
—Reduced debt by $195 million during the quarter, resulting in total
    debt reduction of $846 million since the acquisition of Mirage Resorts
—Successfully amended and extended our $800 million 364-Day Credit
    Facility
—Construction of Borgata, our 50% owned resort, continues on track and
    the design phase for a second wholly-owned resort in Atlantic City is
    underway

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