Resorts International Results Up

Resorts International Hotel and Casino, Inc. ("Resorts"), which owns and operates Resorts Atlantic City, a casino/hotel in Atlantic City, NJ, today, reported its operating results for the second quarter ended June 30, 2005.

Second Quarter 2005 Results

Earnings before interest, taxes, depreciation, and amortization ("EBITDA") for the second quarter were $12.9 million as compared to $9.0 million in the year earlier quarter. The increase in EBITDA was a result of a $4.6 million increase in net revenues and the result of the reimbursement of certain employee costs in the amount of $1.7 million by an affiliate of Resorts' parent company for the time spent by these employees on the acquisition of properties from Harrah's Entertainment, Inc. and Caesars Entertainment, Inc. Net income for the quarter was $1.2 million compared to net loss of $0.4 million in the second quarter of 2004.

Gaming revenues for the quarter were $67.3 million, compared to $62.5 million for the comparable 2004 quarter. Net revenues for the quarter were $62.7 million, compared to $58.1 million in the prior year, an increase of 7.9%. Gaming volumes for the second quarter were up 27.7% and 4.6% for table drop and slot handle, respectively.

Room revenue for the second quarter increased $2.1 million over 2004, as a result of an increase in the occupied room nights and room rate due to the new tower opening on June 16, 2004.

First Six Months of 2005 Results

EBITDA for the first six months of 2005 was $19.0 million as compared to $14.2 million for 2004. The increase in EBITDA for 2005 is a result of $9.8 million increase in net revenues and the result of the reimbursement of certain employee costs in the amount of $2.2 million by an affiliate of Resorts' parent company for the time spent by these employees on the acquisition of properties from Harrah's Entertainment, Inc. and Caesars Entertainment, Inc. Net loss for the first half of 2005 was $2.0 million compared to a net loss of $2.1 million in 2004.

Gaming revenues for the first half of 2005 were $128.5 million compared to the $117.7 million in 2004. Net revenues for the first half of 2005 were $119.0 million compared to $109.2 million in 2004, an increase of 9.0%. Gaming volumes for the first half of 2005 were up 20.0% and 7.4% for table drop and slot handle, respectively.

Gross rooms revenue for the first half of 2005 increased $3.5 million over 2004, as a result of more than 36,000 additional occupied room nights due to the new tower.

"We are pleased with the positive trends in our gaming volumes," said Nick Ribis, Vice Chairman of Resorts. "We continue to attract new guests and increase our amenities, including the new casino bar, 25 Hours, which opened last week."

Capital Expenditures

During the second quarter 2005, the Company invested $7.2 million of capital, consisting of $2.5 million for maintenance capital expenditures and $4.7 million related to various construction projects. In the first half of 2005, the Company invested $11.9 million of capital, including $3.7 million for maintenance capital expenditures and $8.2 million for various construction projects.