Station Casinos Enters Partnership

PRNewswire-FirstCall LAS VEGAS Nov. 14 :

The Match-E-Be-Nash-She-Wish Band of Pottawatomi Indians, a federally
recognized Indian tribe commonly referred to as the Gun Lake Tribe (the
“Tribe”), MPM Enterprises, L.L.C., a Michigan limited liability company
(“MPM”) and Station Casinos, Inc. (“Station” or the “Company”) announced
today that Station has purchased a 50% interest in MPM. Concurrently with
Station`s purchase of that interest, the Tribe and MPM have entered into
amended Development and Management Agreements, pursuant to which MPM will
assist the Tribe in developing and operating a gaming and entertainment
project to be located in Allegan County, Michigan (“The Gun Lake Project”).

Station will pay $6.0 million for its 50% interest in MPM payable upon
achieving certain milestones. An additional $12.0 million in total may be
paid by Station in years six and seven of the Management Agreement,
subject to certain contingencies.

Under the terms of the amended Development Agreement, Station has agreed
to arrange for or provide the financing for the ongoing development costs
and construction of the Project. Prior to obtaining financing for the
Project, Station expects to advance $10 million to $15 million to the
Tribe for the acquisition of land and other development costs. Although no
firm construction budget has been established, Station expects that the
total cost of the development and construction of the Project would be
less than $200 million. Funds advanced by Station are expected to be
repaid with the proceeds of the project financing or from the Tribe`s
gaming revenues. The amended Management Agreement has a term of seven
years and provides for a management fee of 30% of the Project`s net income
to be paid to MPM. Pursuant to the terms of the MPM Operating Agreement,
Station`s portion of the management fee is 50% of the first $24 million of
management fees earned, 83% of the next $24 million of management fees and
93% of any management fees in excess of $48 million.

The proposed project will be located on approximately 145 acres on Highway
131 near 129th Avenue, approximately 25 miles north of Kalamazoo,
Michigan. As currently contemplated, the Project would include up to 2,500
slot machines, 75 table games, a buffet, specialty restaurants and an
entertainment venue. Construction of the Project includes the conversion
of an existing 192,000 square foot building into the entertainment
facility. D.K. Sprague, Tribal Chairman, commented, “The Tribal Council is
very excited about moving our casino project forward on behalf of our
Tribal Membership, supporters and the estimated 4,300 jobs that will be
created. The management expertise Station adds to MPM will not only
maximize revenue for the Tribe, state and local governments, but will be
an excellent fit because Station is a responsible operator with strong
ties to local communities and charities.”


“We are extremely excited to be a part of this project,” stated Frank J.
Fertitta III, chairman and chief executive officer of Station. “The Tribe
has outstanding local support and MPM and the Tribe have moved this
project a substantial way through the process of having land placed into
trust on the Tribe`s behalf. We look forward to being part of a project
that will help the Gun Lake Tribe attain self-sufficiency and economic

Barton LaBelle, spokesman for MPM Enterprises, said, “Jim Fabiano, Sid
Smith and I are excited about the talent and resources that Station
Casinos bring to this project. We searched exhaustively for an operating
partner that had values that matched those of the Gun Lake Tribe and
ourselves. We have found that partner.”

Company Information and Forward-Looking Statements
Station Casinos, Inc. is the leading provider of regional gaming and
entertainment destinations to the residents of Las Vegas, Nevada. Station
owns and operates Palace Station Hotel & Casino, Boulder Station Hotel &
Casino, Santa Fe Station Hotel & Casino, Wildfire Casino and Wild Wild
West Gambling Hall & Hotel in Las Vegas, Nevada, Texas Station Gambling
Hall & Hotel and Fiesta Rancho Casino Hotel in North Las Vegas, Nevada,
and Sunset Station Hotel & Casino and Fiesta Henderson Casino Hotel in
Henderson, Nevada. Station also owns a 50 percent interest in both
Barley`s Casino & Brewing Company and Green Valley Ranch Station Casino in
Henderson, Nevada and a 6.7 percent interest in the Palms Casino Resort in
Las Vegas, Nevada. In addition, Station manages the Thunder Valley Casino
in Sacramento, California on behalf of the United Auburn Indian Community.

This press release contains certain forward-looking statements with
respect to the business, financial condition, results of operations,
dispositions, acquisitions and expansion projects of the Company and its
subsidiaries which involve risks and uncertainties including, but not
limited to, financial market risks, the ability to maintain existing
management, integration of acquisitions, competition within the gaming
industry, the cyclical nature of the hotel business and gaming business,
economic conditions, regulatory matters and litigation and other risks
described in the filings of the Company with the Securities and Exchange
Commission, including, but not limited to, the Company`s Annual Report on
Form 10-K for the year ended December 31, 2002, and its Registration
Statement on Form S-4 File No. 333-66140. Construction projects such as
the Gun Lake Project entail significant risks, including shortages of
materials or skilled labor, unforeseen regulatory problems, work
stoppages, weather interference, floods and unanticipated cost increases.
The anticipated costs and construction periods are based on budgets,
conceptual design documents and construction schedule estimates. There can
be no assurance that the budgeted costs or construction period will be
met. The Company`s participation in the Project is subject to the receipt
of all required governmental approvals, and no assurances can be given
that such approvals will be received. These approvals include the
Department of Interior making a determination to take that land into trust
on behalf of the Tribe, the State of Michigan entering into a compact with
the Tribe and the National Indian Gaming Commission approving the
Management Agreement between MPM and the Tribe. Prior to the receipt of
such approvals, the Company likely will make significant investments in
the project and, thereafter, will be required to provide funding and/or
significant credit support for the project. There can be no assurance that
the Company will be able to recoup its investments. Additional
information, including a map of the proposed entertainment project
location, is available in the “Investors” section of the Company`s website
at .