Penn National Expects Argosy Sale Completed Soon

WYOMISSING, Pennsylvania -- (PRESS RELEASE) -- Penn National Gaming, Inc. (Nasdaq:PENN) announced today that it expects to complete the previously announced sale of Argosy Casino-Baton Rouge to a subsidiary of Columbia Sussex Corporation on October 24, 2005.

The parties set the expected closing date following today's approval of the transaction by the Louisiana Gaming Control Board. Under the terms of the previously announced transaction, the Columbia Sussex unit is purchasing Argosy Casino-Baton Rouge from Penn National for $150 million in cash. Penn National intends to use the approximately $125 million in net after-tax proceeds from the sale to reduce debt.