The Sands Regent today
announced that it has entered into a definitive agreement to purchase two
privately held casino properties in Dayton, NV, the Depot Casino and the
Red Hawk Sports Bar. Closing of the acquisition is subject to final due
diligence and receipt of all necessary regulatory approvals. Management of
The Sands Regent expects the sale to close in the summer of 2005. Under the agreement, the expected purchase price of $10,165,000 will
consist of approximately $9.5 million in cash plus approximately $665,000
in shares of The Sands Regent common stock. The final purchase price will
be based on the twelve-month financial performance of the Dayton
properties prior to closing of the sale on a date as yet unknown.

The Depot Casino has approximately 16,000 square feet of restaurant and
casino space with 250 slots, two restaurants and two bars. The Red Hawk
Sports Bar, across the street from Depot Casino, has 33 slots, a
convenience store and a bar. The land to be acquired with the two
properties is approximately five acres. Both properties maintain
unrestricted gaming licenses.

Dayton is one of the fastest growing communities in the U.S. Located
approximately 10 miles east of Carson City, Dayton is the largest town in
Lyon County, Nevada’s fastest-growing county, which recorded 16.3% growth
between 2000 and 2003. Approximately 16,000 new homes are planned for the
area over the next eight years.

Ferenc B. Szony, President and Chief Executive Officer of The Sands
Regent, commented, “We look forward to working with the great management
of these two very strategically located properties. Historic and rapidly
growing Dayton is the perfect spot for the next phase of our growth
strategy as a regional gaming and entertainment company. We see
opportunities to leverage the unrestricted gaming licenses and build on
the established customer bases in each location.”

Mr. Szony continued, “Since diversifying from our downtown Reno Sands
Regency property through the acquisitions of Gold Ranch in 2002 and of
Rail City in 2004, our company has experienced tremendous growth, and we
look forward to the opportunities that Depot Casino and Red Hawk Sports
Bar in nearby Dayton offer us in terms of expansion, cross-marketing and
cultivating additional future growth.”
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