Empire Resorts, Inc. today announced that it had completed the
consolidation of operating and development rights with respect to
Monticello Raceway. The Company closed a previously announced acquisition
of interests from Catskill Development, L.L.C. (“Catskill”), Americas
Tower Partners, BKB, L.L.C. and their respective affiliates (together with
Catskill, the “Sellers”), gaining complete control of companies with
projects in which it had previously held only a minority interest.

In connection with the transaction, the Company acquired 100% of the
Sellers` interests in (1) the existing harness racing operations at
Monticello Raceway in New York, (2) the development and management of the
proposed Cayuga Catskills Resort, a Class III casino to be developed and
managed by the Company on behalf of the Cayuga Nation of New York on a
site adjoining the raceway, and (3) the development and operation of 1,800
video gaming machines (VGM`s) recently approved by the State of New York
Lottery Commission to be installed at the raceway. An application with
respect to the proposed casino is pending before the Bureau of Indian
Affairs, U. S. Department of Interior. The company plans to proceed with
the installation of the VGMs for the NY Lottery. Design of the facilities
has been completed and the Company will work to complete the financing and
construction of the facilities, with completion currently anticipated by
the second quarter of 2004.

Robert Berman, CEO of Empire Resorts, observed, “Completing this
transaction is a significant milestone for the Company. Reaction to the
planned consolidation has been very positive and now we have made it a
reality. These projects have already benefited from the more
straightforward management structure that has been put in place in
anticipation of the consolidation. Now, we will be able to execute
directly on our plans to develop Monticello Raceway into a
multi-dimensional gaming location. The Raceway has been in operation as a
harness track for over 40 years and because of its close proximity to the
New York City metropolitan area, it provides an ideal venue for
development of gaming operations in New York.”

mpire Resorts, Inc is involved in the operations and development of legal
gaming activities in New York. It currently operates Monticello Raceway, a
harness track in the Catskills area of New York, and is working to develop
it into a multi-dimensional gaming resort, including horse racing, video
lottery machines and a Native American casino, to be known as the Cayuga
Catskills Resort. The New York State Lottery has approved the raceway as a
site for the installation of 1,800 VGM`s. Construction is underway for
these facilities, which are expected to open in the second quarter of
2004. The Cayuga Nation of New York is currently seeking approval, by the
Bureau of Indian Affairs (BIA), for its request to obtain a site adjacent
to the Raceway for the Cayuga Catskills Resort.

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