Penn National Gaming to acquire Rosecroft Raceway

WYOMISSING, Pennsylvania -- (PRESS RELEASE) --Penn National Gaming, Inc. (PENN: Nasdaq) announced today that it has entered into a binding letter of intent to purchase Rosecroft Raceway in Fort Washington, Maryland from Cloverleaf Enterprises, Inc. ("CEI"), following a formal vote by CEI's stockholder, Cloverleaf Standardbred Owners Association, to approve the transaction.

The purchase of Rosecroft Raceway is subject to the completion of due diligence by Penn National Gaming, execution of a definitive agreement and several customary conditions, including approval by the Maryland Racing Commission. Penn National and CEI expect to complete due diligence and enter into a definitive agreement within approximately 30 days and the transaction is expected to close shortly thereafter. Financial details were not disclosed.

Peter M. Carlino, Chief Executive Officer of Penn National commented, "This transaction will extend our East Coast pari-mutuel presence and is consistent with Penn National's long-term strategy to acquire pari-mutuel facilities that increase the scale and diversity of our operations. We look forward to working with the horsemen and Maryland's regulatory authorities to continue delivering exciting racing and simulcast offerings at Rosecroft Raceway."

Opened in 1949, and located on 130 acres in Prince George's County on the outskirts of Washington, DC, Rosecroft Raceway is a harness racing facility that runs 88 days of live standardbred racing a year. Rosecroft Raceway features a simulcast wagering facility, a clubhouse lounge and dining area overlooking the live action on the racetrack.