Lakes Entertainment Signs $105 Million Credit Agreement - Tuesday 20th of June 2006

MINNEAPOLIS, Minnesota Lakes Entertainment, Inc. (Nasdaq:LACO) announced today that it plans to enter into a $105 million credit agreement through a wholly-owned subsidiary with the Banc of America Securities, LLC (BAS) serving as sole lead arranger and sole book manager. The Company expects to close on the credit agreement on or before June 22, 2006. Once closed, the funds will be used, among other things, to pay off the existing financing facility in the amount of $25 million from an affiliate of Prentice Capital Management, LP (Prentice), to fund its remaining obligation to the Pokagon Band of Potawatomi Indians in the approximate amount of $22.5 million, to continue to move forward with Lakes' other casino development projects and for working capital purposes. Any funds drawn under the agreement will bear interest at the rate of LIBOR plus 6.25% per annum (subject to change pursuant to the terms of the credit agreement), will be due and payable on the fourth anniversary of the closing and will be secured by substantially all of the material assets of Lakes.

Tim Cope, President and CFO of Lakes, stated, "Entering into this credit agreement will allow us to move forward with our various casino development projects. We look forward to working with BAS and are excited to close this transaction. While we are allowed to sell up to 3 million shares of WPT Enterprises, Inc. (Nasdaq:WPTE) under the BAS credit agreement, we are no longer actively pursuing a sale of such shares. We will, however, explore additional financing alternatives to fund future operations and development costs as needed."

As a result of repaying the Prentice financing facility it is expected that 1.25 million warrants associated with that financing facility will remain outstanding and approximately 3.21 million warrants will lapse and not become exercisable.

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