Isle Of Capri Casinos, Inc. Announces 27% Increase In E.P.S.

Press Release: Isle of Capri Casinos, Inc.
August 23, 2000
BILOXI, MS -- Isle of Capri Casinos, Inc. (Nasdaq: ISLE) yesterday reported earnings per diluted share of $.33 for the first quarter ended July 30, 2000 compared to $.26 per share for the first quarter of the prior year, a 27% increase.

The positive results were driven by the improved combined operating results of the original five Isle properties, the inclusion for the full quarter of the new Isle properties in Natchez and Lula, Mississippi, and Bettendorf and Marquette, Iowa, as well as the inclusion for part of the quarter of our latest Isle property in Kansas City, MO.

Bernard Goldstein, Chairman and Chief Executive Officer commented, ``We are very pleased with the year over year improvement in operating results for the first quarter as we continue to implement our growth strategy. In May we acquired the rights to develop a casino project in Boonville, MO and it is currently under construction. In June we welcomed Kansas City Isle of Capri into the Isle Family as an existing operation. In July we signed an agreement to acquire the operations of an existing Davenport, IA casino property and are moving forward in pursuing the necessary approvals. Also in July, we were approved by the Missouri Gaming Commission to develop a gaming entertainment facility in Jefferson County, MO. Earlier in August we opened our new 237- room hotel in Black Hawk, CO, and are continuing construction of a 250-room hotel in Lake Charles, LA and also a 227-room hotel in Tunica, MS.''

Jack Gallaway, President and Chief Operating Officer added, ``We are continuing the process of 'Islestyling' the latest additions to our Isle family, expanding our brand into new markets and strengthening it in existing markets. With EBITDA growth of 73% to $57.6 million for the first quarter of this year we are just beginning to see the fruits of our labor.''

Summarized below and on the following pages are the financial results for the corporation on a consolidated basis, with operating highlights for some of its gaming facilities.

                                                           (Unaudited)

                                                         QTR            QTR

    (In thousands, except per share data)           07/30/00       07/25/99

    Casino Revenue                                  $230,335       $128,334
    Hotel, Pari-mutuel, Food and Beverage,
     Other Revenue                                    21,127         13,873
    Total Revenue                                    251,462        142,207

    Net Income                                       $10,569         $6,528
    Net Income per Diluted Share                       $0.33          $0.26

    Weighted Average Common Shares                    32,326         24,661


    EBITDA (1)                                       $57,644        $33,265


See footnotes on the following pages, for details regarding the above operating results.

(1) - See EBITDA defined in footnote (2) of Comparative Financial Highlights.

                         Isle of Capri Casinos, Inc.
                    Consolidated Statements of Operations
                   (In thousands, except per share amounts)


                                                     Three Months Ended
                                                          (Unaudited)
                                                    July 30,       July 25,
                                                        2000           1999

    Revenue:
    Casino                                          $230,335       $128,334
    Hotel, pari-mutuel, food,
     beverage & other                                 21,127         13,873
    Total revenue                                    251,462        142,207

    Operating and other expenses:
     Corporate and new development                     4,712          3,815
     Properties                                      189,106        105,127
     Preopening (1)                                      ---          3,420
     Depreciation and amortization                    15,221          8,856
    Total operating and other expenses               209,039        121,218

    Operating income                                  42,423         20,989

    Gain on disposal (2)                                 ---          3,106
    Equity in income of
     unconsolidated joint venture (3)                    ---             52
    Net interest expense (4)                        (20,992)       (11,402)
    Minority interest (5)                            (1,404)          (490)

    Income before income taxes                        20,027         12,255

    Income tax expense                                 9,458          5,727

    Net income                                       $10,569         $6,528

    Net Income per diluted share                       $0.33          $0.26

    Weighted average diluted
     common shares                                    32,326         24,661

Included in the consolidated interest is Isle of Capri Black Hawk, L.L.C.'s gross interest expense of $2,768 and $2,681, interest income of $30 and $91, and capitalized interest of $726 and $244, for the quarters ended July 30, 2000 and July 25, 1999, respectively.

(5) Minority interest represents the portion of Isle of Capri Black Hawk, L.L.C. income before income taxes owned by an unrelated third-party.

                         Isle of Capri Casinos, Inc.
             Comparative Financial Highlights by Casino Property
                                (In thousands)

                                Three Months Ended
                                   (Unaudited)
                                  July 30,            July 25,
                                    2000                   1999
                  Revenue(1) EBITDA(2) Margin % Revenue(1)EBITDA(2)Margin %

    BILOXI          $22,786    $5,402   23.7%    $23,372     $6,389   27.3%

    VICKSBURG        16,413     5,376   32.8%     15,750      4,893   31.1%

    BOSSIER CITY     41,061    11,965   29.1%     32,755      8,539   26.1%

    LAKE CHARLES     48,008    14,032   29.2%     44,728     11,958   26.7%

    BLACK HAWK (3)   25,678     7,192   28.0%     20,229      5,124   25.3%

    TUNICA (4)        7,000   (1,003) (14.3%)        ---        ---    0.0%

    NATCHEZ (5)      10,116     2,824   27.9%      8,900      2,082   23.4%

    LULA (5)         27,301     7,624   27.9%     27,776      7,455   26.8%

    ETTENDORF (5)    25,007     5,556   22.2%     24,923      7,182   28.8%

    MARQUETTE (5)     9,237     2,301   24.9%      9,654      2,209   22.9%

    KANSAS CITY (6)  12,754     1,001    7.8%     11,500        333    2.9%

    CORPORATE
     & OTHER (3)      6,101   (4,626) (75.8%)      5,373    (3,638) (67.7%)

    TOTAL          $251,462   $57,644   22.9%   $224,960    $52,526   23.3%

Isle of Capri Casinos, Inc. owns and operates twelve riverboat, dockside and land-based casinos at eleven locations, including Biloxi, Vicksburg, Tunica, Lula, and Natchez, Mississippi; Bossier City and Lake Charles (two riverboats), Louisiana; Black Hawk, Colorado; Bettendorf and Marquette, Iowa and Kansas City, Missouri. The Company also operates Pompano Park Harness Racing Track in Pompano Beach, Florida and through a joint venture, the Enchanted Capri cruise ship, that features an Isle of Capri Casino, sailing from New Orleans, Louisiana.

This press release may be deemed to contain forward-looking statements which are subject to change. These forward-looking statements may be significantly impacted, either positively or negatively by various factors, including without limitation, licensing, and other regulatory approvals, financing sources, development and construction activities, costs and delays, permits, competition and business conditions in the gaming industry. Additional information concerning potential factors that could affect the Company's financial condition, results of operations and expansion projects, is included in the filings of the Company with the Securities and Exchange Commission, including but not limited to, its 10-K for the fiscal year ended April 30, 2000.

NOTE: Other Isle Of Capri Casinos, Inc. press releases and a corporate profile are available by fax at no charge. for a menu of available isle of capri casinos, inc. press releases, call 800/758-5804, ext. 145913 or at http://www.prnewswire.com. Isle Of Capri's home page is http://www.islecorp.com.

CONTACTS:
ALLAN SOLOMON, EXECUTIVE VICE PRESIDENT, 561/995-6660
REX YEISLEY, SENIOR VICE PRESIDENT AND
CHIEF FINANCIAL OFFICER 228/396-7000

SOURCE: Isle of Capri Casinos, Inc.