Ameristar Terminates Efforts to Pursue Western Massachusetts License

Ameristar Casinos, Inc. (NASDAQ: ASCA) announced today it has decidedto terminate its efforts to seek a casino license in westernMassachusetts. Although the Company believes it had the superiorproposal for a casino in western Massachusetts, the Company concludedthat there is not a sufficient likelihood that the basis upon whichit could be awarded the license to develop and operate a casino inSpringfield is favorable enough to warrant its further pursuit.Specifically, the local selection process, various projectrequirements and associated costs led to the decision to reserveAmeristar's resources for the Company's growth and diversificationfor other more attractive opportunities. Ameristar has not made a determination at this time concerning plansfor marketing the 40-acre site it owns on Page Boulevard in Springfield. Ameristar believes this is the single largestcommercially developable site in the City of Springfield. The site'ssize, location and ease of access to major highways make itattractive for a variety of large scale developments in addition to acasino.Ameristar will continue its disciplined pursuit of acquisition anddevelopment opportunities to grow and diversify the Company that meet its risk and return on investment criteria. Ameristar seeks tomaximize long-term shareholder value through the efficient operationof its properties and a balanced approach to debt repayment,dividends, share repurchases and the strategic pursuit of growthopportunities.