A subsidiary of Harrah’s Entertainment, Inc. will assume management of the hotel at the Planet Hollywood Resort & Casino on the Las Vegas Strip on January 16, 2010, at midnight. The Planet Hollywood hotel is adjacent to Harrah’s Entertainment’s Paris Las Vegas Hotel & Casino on the Las Vegas Strip.

“Harrah’s has been in discussions with Planet Hollywood and its lender group regarding a restructuring of the ownership of the resort. We continue to work on a plan that would allow Harrah’s to own and manage the entire casino resort property,” said Gary Loveman, chairman, CEO and president of Harrah’s Entertainment. “In the meantime, we are pleased to take on the management of the Planet Hollywood Hotel for the current owners.”

Harrah’s Entertainment, Inc. is the world’s largest provider of branded casino entertainment. Since its beginning in Reno, Nevada, more than 70 years ago, Harrah’s has grown through development of new properties, expansions and acquisitions, and now operates casinos on four continents. The company’s properties operate primarily under the Harrah’s®, Caesars® and Horseshoe® brand names; Harrah’s also owns the World Series of Poker® and a majority interest in the London Clubs International family of casinos. Harrah’s Entertainment is focused on building loyalty and value with its customers through a unique combination of great service, excellent products, unsurpassed distribution, operational excellence and technology leadership. Harrah’s is committed to environmental sustainability and energy conservation and recognizes the importance of being a responsible steward of the environment. For more information, please visit www.harrahs.com.

This release includes “forward-looking statements” intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. You can identify these statements by the fact that they do not relate strictly to historical or current facts. These statements contain words such as “may,” “will,” “project,” “might,” “expect,” “believe,” “anticipate,” “intend,” “could,” “would,” “estimate,” “continue” or “pursue,” or the negative or other variations thereof or comparable terminology. In particular, they include statements relating to, among other things, future actions, new projects, strategies, future performance, the outcomes of contingencies and future financial results of Harrah’s. These forward-looking statements are based on current expectations and projections about future events.

Investors are cautioned that forward-looking statements are not guarantees of future performance or results and involve risks and uncertainties that cannot be predicted or quantified and, consequently, the actual performance of Harrah’s may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, but are not limited to, the following factors, as well as other factors described from time to time in our reports filed with the Securities and Exchange Commission (including the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” contained therein):

— the impact of the company’s significant indebtedness;
— the effects of local and national economic, credit and capital market
  conditions on the economy in general, and on the gaming and hotel
  industries in particular;
— construction factors, including delays, increased costs for labor and
  materials, availability of labor and materials, zoning issues,
  environmental restrictions, soil and water conditions, weather and other
  hazards, site access matters and building permit issues;
— the effects of environmental and structural building conditions relating
  to our properties; access to available and reasonable financing on a timely
  basis;
— the ability to timely and cost-effectively integrate acquisitions into
  our operations;
— changes in laws, including increased tax rates, smoking bans, regulations
  or accounting standards, third-party relations and approvals, and decisions
  of courts, regulators and governmental bodies;
— litigation outcomes and judicial actions, including gaming legislative
  action, referenda and taxation;
— the ability of our customer-tracking, customer loyalty and yield-
  management programs to continue to increase customer loyalty and same store
  sales or hotel sales;
— our ability to recoup costs of capital investments through higher
  revenues;
— acts of war or terrorist incidents or natural disasters;
— abnormal gaming holds; and
— the effects of competition, including locations of competitors and
  operating and market competition.