Caesars Entertainment Issues Response to Suit by Trustee for CEOC First-Lien Noteholders

Caesars Entertainment Corporation

("CEC") today responded to a suit filed by UMB Bank, the trustee for holders of first lien notes issued by Caesars Entertainment Operating Company ("CEOC"). CEC believes that UMB's claim that CEC is obligated to guarantee the first lien notes is without merit. CEC has, however, confirmed at the request of certain of the first lien creditors who are party to the Restructuring Support Agreement ("RSA") that the filing of the UMB Bank lawsuit does not violate the RSA, which remains in force. CEOC is seeking an injunction in the bankruptcy court restraining prosecution of litigation commenced by other CEOC creditors who contend that CEC is required to guarantee CEOC debt. UMB Bank has agreed that it will be bound by the bankruptcy court's decision to the same extent as if CEOC had requested injunctive relief with respect to the UMB lawsuit.