Court authorizes Greektown casino financing

NEWS RELEASE

SAULT STE. MARIE TRIBE OF CHIPPEWA INDIANS

************************* Federal court approves financing to complete casino construction

DETROIT - Greektown Casino completed a significant step in its reorganization by securing federal court approval today on an interim basis of financing to finish construction of its permanent casino hotel and resort.

With the approval of the U.S. Bankruptcy Court in Detroit, Greektown Casino will now finalize more than $150 million in additional financing for operations and to complete construction of its new 400-room hotel and 25,000-square-foot gaming floor expansion.

The court’s approval of the financing means Greektown Casino will gain nearly immediate access to approximately $51.3 million in funds needed to pay the construction companies building the casino hotel and gaming floor expansion.

A court hearing for final approval of the full $150 million will be scheduled at a later date.

In addition, the casino on Sunday finished and opened - ahead of schedule - 10,000 square feet of new gaming floor space with 400 new slot machines.

“We have completed a significant step in our reorganization by winning court approval of our financing, and we have completed and opened some additional gaming space ahead of schedule,” said Greektown Casino Management Board Chairman Tom Miller, who is also a member of the board of directors of the Sault Ste. Marie Tribe of Chippewa Indians, owners of the casino. “We will follow our reorganization plan to a bigger and financially stronger Greektown Casino.”

On May 29, Greektown Casino voluntarily asked the U.S. Bankruptcy Court for approval to reorganize its finances and continue normal business operations under the protection of Chapter 11 of the U.S. Bankruptcy Code.

Many companies have sought to reorganize successfully under Chapter 11 including Delta Airlines, Macy’s, Dow Corning, casino operator Tropicana Entertainment, Trump Hotels & Casino Resorts, Federal Mogul and many more.

Charles Moore of Conway MacKenzie & Dunleavy, a financial consulting firm working on Greektown Casino’s reorganization, called court approval of the financing “very good news for all parties.”

“As we have said, entering Chapter 11, Greektown Casino is a healthy, profitable business that needs time to address its liquidity issue,” Moore said. “In a matter of days, we will close on the debtor-in-possession financing, and Greektown Casino will be well on its way to becoming a more viable business through the completion of the permanent casino and hotel complex.”

Moore said Greektown Casino’s lenders recognize the company is well-positioned for the future.

“By making this financial commitment, the lenders have shown they have confidence in Greektown Casino,” Moore said.

Over the next couple of weeks, an official committee of unsecured creditors will be formed to represent the interests of unsecured creditors in the case.

Greektown has previously communicated that it expects creditors to be paid as part of its plan of reorganization.

In November 2007, Greektown Casino opened its new attached parking structure, marking the completion of Phase 1 construction work on the new permanent Greektown Casino and hotel.

Phase 2 - construction of the casino’s new 400-room hotel and expanded gaming floor - is scheduled to be completed in phases in the coming months.

The permanent casino and hotel will include a multi-purpose theater, buffet, three restaurants, and 25,000 square feet of additional gaming space.

Total investment in the permanent Greektown Casino project will be about $500 million.

Located at 555 E. Lafayette Avenue in Detroit's Greektown Entertainment District, Greektown Casino features more than 2,300 slot machines and more than 70 table games in 75,000 square feet of luxurious Mediterranean-themed gaming space.

Additional slot machines and table games will become operational when the gaming floor expansion is completed.

Greektown Casino opened on November 10, 2000.

Readers of the Detroit News and Detroit Free Press have voted Greektown Casino Michigan’s and Detroit’s “Best Casino” numerous times.

In addition to being named “Best Casino” by readers of the Detroit News and Detroit Free Press, Greektown Casino also placed first in other categories in the News’ reader survey, including “Best Slots,” “Best Wait Staff Outfits,” “Best Craps Tables,” “Best Blackjack Tables,” “Best High Rollers Area,” “Best Casino Restaurant” and “Best Casino Entertainment.”

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