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CASINO MAGIC SIGNS AGREEMENT TO OPERATE AMERICAN-STYLE CASINO IN GREECE

 BAY SAINT LOUIS, Miss., July 13 /PRNewswire/ -- Casino Magic Corp. (NASDAQ/NMS: CMAG) announced today that it has reached an agreement in principle under which Casino Magic would develop, operate, manage and partially own an American-style casino in Greece, pending licensing approval by the Greek Government's Gaming Commission. The casino, one of nine which the Greek government has proposed to license in Greece, will be in the four-star Sithonia Beach Hotel in Porto Carras, a large tourist resort and leisure complex owned and operated by Touristiki Georgiki Exagogiki S.A. (TGE), a Greek company organized and existing under the laws of the Republic of Greece.
 The Porto Carras tourist resort is located approximately 60 miles southeast of Thessaloniki, Greece, near Neos Mamaras on the Aegean Sea. The population within a 100-mile radius of Porto Carras exceeds 2 million. The resort complex features three hotels, with a total of more than 1,200 rooms and suites, a conference center, 14 restaurant and lounge facilities accommodating more than 2,500 patrons, retail shops, an 18-hole championship golf course, riding school, tennis courts, indoor games, indoor and outdoor theaters, water sports and a marina with berths for 180 vessels.
 The agreement contemplates that Casino Magic will receive management fees of 2 percent of the casino's gross gaming revenues and 10 percent of the profits, and, as 49 percent owner of the casino, will be entitled to receive a pro-rata share of the casino's profits. Casino Magic's investment in the project will be approximately $15 million. The final arrangement will be subject to the negotiation of definitive agreements.
 The Porto Carras casino is expected to comprise more than 30,000 square feet of the Sithonia Beach Hotel. The American-style casino will be open to the public and will feature 350 to 400 slot machines and approximately 50 table games including American and French roulette, blackjack, poker, craps and baccarat. The casino will also feature a "Salon Privee" with more traditional, high-stakes European games such as chemin de fer, as well as American games.
 Marlin F. Torguson, president and chief executive officer of Casino Magic Corp., said, "We are very pleased with this exciting opportunity to expand our operations internationally, and we are delighted to have TGE, an established and well-regarded company, as our partner. The existing resort complex offers world-class amenities, and the early addition of an American-style casino to the site will make it an even more desirable destination. We see the Porto Carras project as a positive step forward in the development of our long-term business strategy.
 "We have the management resources to develop and operate the Porto Carras casino without detracting from domestic operations, and we could be in operation by the end of this year, well before any other new casinos open in Greece.
 "The Porto Carras casino will be a new concept in gaming for the European market, bringing the entertainment, pace and exciting ambience of American-style casino gaming to a much broader segment of the population and the leisure-travel market," Torguson said.
 Casino Magic Corp., a Minnesota corporation with principal offices in Bay Saint Louis, Miss., operates gaming casinos in Bay Saint Louis and Biloxi, Miss., and Deadwood, S.D.
 The common stock of Casino Magic Corp. is listed on the NASDAQ National Market System under the symbol CMAG.
 -0- 7/13/93
 /CONTACT: Doug Ewing of Swenson Falker Eilertsen, 612-371-0000, for Casino Magic; or Marlin Torguson of Casino Magic 601-467-9257/
 (CMAG)


CO: Casino Magic Corporation ST: Minnesota IN: CNO SU: TNM

DB -- MN009 -- 0931 07/13/93 13:38 EDT
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Publication:PR Newswire
Date:Jul 13, 1993
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