Penn National Gaming Provides Update on Illinois Gaming Board Review of Proposed Acquisition of Argosy Gaming Company

Penn National Gaming, Inc. (PENN: Nasdaq) ("Penn")
reported today that it has been advised by the Illinois Gaming Board
("IGB") that its proposed acquisition of Argosy Gaming Company (AGY:
NYSE) was listed as a placeholder on the IGB agenda for today's
meeting even though it is unlikely that the newly constituted IGB will
review the transaction or announce its decision today. Penn National
has also been informed that the IGB will place the proposed Argosy
Gaming Company transaction on each upcoming public meeting agenda to
ensure that the matter can legally be discussed and decided (pursuant
to IGB regulations) by the IGB at the earliest possible opportunity.
The IGB staff also confirmed to Penn National that being placed on the
agenda and then tabled is not prejudicial to the company, but rather a
result of the IGB's workload.
   The vote of the Illinois Gaming Board is the only remaining
regulatory approval required to complete the proposed transaction. The
proposed transaction has been authorized by the regulatory agencies of
all of the other twelve jurisdictions in which Penn and Argosy
operate, as well as the Federal Trade Commission.

   About Penn National Gaming

   Penn National Gaming owns and operates casino and horse racing
facilities with a focus on slot machine entertainment. Penn presently
operates eleven facilities in nine jurisdictions including West
Virginia, Illinois, Louisiana, Mississippi, Pennsylvania, New Jersey,
Colorado, Maine and Ontario. In aggregate, Penn's facilities feature
over 13,000 slot machines, 260 table games, 1,286 hotel rooms and
417,000 square feet of gaming floor space. In November 2004, Penn
agreed to acquire all of the outstanding shares of Argosy Gaming
Company. For more information about Penn National, visit
http://www.pngaming.com.

   This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
Actual results may vary materially from expectations. Penn describes
certain of these risks and uncertainties in its filings with the
Securities and Exchange Commission, including its Annual Report on
Form 10-K for the year ended December 31, 2004. Meaningful factors
which could cause actual results to differ from expectations described
in this press release include, but are not limited to, risks related
to the following: the passage of state, federal or local legislation
that would expand, restrict, further tax or prevent gaming operations
in the jurisdictions in which we do business; delays in obtaining
regulatory approvals required to complete, or other delays in
completing, the proposed acquisition of Argosy; our ability to
successfully complete the tender offers and consent solicitations; our
ability to complete the proposed acquisition of Argosy and to
successfully integrate its operations; our ability to maintain
regulatory approvals for our existing businesses and to receive
regulatory approvals for our new businesses (including without
limitation the issuance of final operators' licenses in Maine and
Pennsylvania). Furthermore, Penn does not intend to update publicly
any forward-looking statements except as required by law. The
cautionary advice in this paragraph is permitted by the Private
Securities Litigation Reform Act of 1995.