Concorde Gaming Posts More Than Four-Fold Increase in Second Quarter Revenues.

RAPID CITY, S.D.--(BUSINESS WIRE)--May 20, 1999--

Concorde Gaming Corporation (OTC BB:CGAM) today reported the unaudited financial results for the three months ended March 31, 1999.

Total revenues for the second quarter fiscal 1999 increased more than four-fold to $4,238,106 from $1,029,370 for the comparable period last year, primarily as a result of the October 1998 commencement of operations on the Casino Princesa floating casino that operates out of Miami. Net income (loss) for the three months ended March 31, 1999 was $(391,597), or $(.02) per share, as compared to $(325,052), or $(.01) per share, in the second quarter fiscal 1998.

Total revenues for the six months ended March 31, 1999 rose to $7,232,610, representing a 277% increase from $1,916,374 for the first half of fiscal 1998 that is chiefly attributed to the Casino Princesa operations. Net income (loss) in the first six months of fiscal 1999 was $(1,697,839), or $(.07) per share, versus $(966,300), or $(.04) per share, in the comparable period last year. The net loss increase for the three and six month periods ended March 31, 1999 is primarily attributed to increases in total costs and expenses as well as total other income expenses related to the Casino Princesa.

As of March 31, 1999, the Company had cash and cash equivalents of $1,500,009 as compared to $714,764 at September 30, 1998.

"We are extremely pleased with the tremendous revenue growth achieved in the second quarter and the increased passenger count at our Casino Princesa," commented Jerry Baum, president and chief executive officer at Concorde Gaming. "Although the tourist season in Miami peaked during our second quarter, we attribute the increase in passengers to a robust local market that we believe should positively impact our operations even when tourism experiences its seasonal drop during the upcoming summer months.

"We expect quarterly revenues in the next two periods to maintain the year over year growth rate posted in the first half of fiscal 1999," Baum added, "and expect the Casino Princesa operations to generate positive cash flow by year's end."

During the second quarter fiscal 1999, the Company finalized its exit from the video lottery industry by selling its interest in Bayou Gaming, Inc. for $105,000 in cash. Also in the three months ended March 31, 1999, Concorde Gaming held an open house for the investment community on its state-of-the-art gaming vessel Casino Princesa and reached an agreement with El Senor Sol restaurants to offer authentic Mexican cuisine at the Company's Golden Gates Casino in Blackhawk, Colorado. -0-

                        Concorde Gaming Corp.
                      Consolidated Balance Sheet
                             (Unaudited)

                                                  As of March 31, 1999

ASSETS

Total current assets                               $         2,615,362
Total assets                                       $        17,064,722
LIABILITIES & STOCKHOLDERS' EQUITY

Total current liabilities                          $         2,814,169
Long term debt, less current maturities            $        12,981,099
Total stockholders' equity                         $         1,269,454

                        Concorde Gaming Corp.
                 Consolidated Statement of Operations
                             (Unaudited)

                               Three Months          Six Months
                             Ended March 31,       Ended March 31,
                            1999         1998      1999       1998

Total revenues          $4,238,106  $1,029,370   $7,232,610 $1,916,374
Total costs and
 expenses               $4,287,276  $1,397,308   $8,229,631 $2,806,549
Loss from
 operations              $(49,170)  $(367,938)   $(997,021) $(890,175)
Total other
 income (expense)       $(454,127)  $ (51,514)   $(920,818)  $(70,144)
Net income (loss)       $(391,597)  $(325,052) $(1,697,839) $(966,300)
Net income (loss)
 per share                 $(0.02)     $(0.01)      $(0.07)    $(0.04)
Weighted average common
 and common
 equivalent shares
 outstanding            23,932,308  23,673,126   23,801,293 23,673,126

-0-

Concorde Gaming Corporation specializes in the development and management of casinos. The Company has interests in limited stakes gaming at its Golden Gates Casino in Colorado and day-cruise gaming through its Casino Princesa that cruises out of Miami, Florida.

Forward-looking statements in this release are made pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, changes in gaming regulations and tax rates in Colorado, Florida, and other jurisdictions that could impact the Company's operations, changes in economic conditions, declining popularity of gaming, increased levels of competition, and other risks detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission.