LAS VEGAS--(BUSINESS WIRE)--Nov. 17, 2005--Station Casinos, Inc.
(NYSE: STN - News; "Station" or the "Company") today announced that on
November 14, 2005, the United States Court of Appeals for the Federal
Circuit (the "Federal Circuit") affirmed the decision by the District
Court of the District of Nevada (the "District Court") granting the
Company's motion for summary judgment on Harrah's claims that the
Company had infringed upon Harrah's "National Customer Recognition
System and Methods" patents, U.S. Patents Nos. 5,761,647 and 6,183,362
and related claims of U.S. Patent No. 6,003,013 entitled "Customer
Worth Differentiation By Selective Activation Of Physical
Instrumentalities Within The Casino" (the "Harrah's Patents"). The
patents allegedly related to Harrah's customer rewards and tracking
program. In granting that motion, the District Court ruled that the
Harrah's Patents are invalid as a matter of law due to indefiniteness
and lack of adequate written description of the claimed subject
matter.
On July 13, 2001, Harrah's Entertainment, Inc. and Harrah's
Operating Company, Inc. had sued the Company and five of its major
operating subsidiaries in the United States District Court, District
of Nevada (CV-S-01-0825-PMP-RJJ). Harrah's alleged that the Company
and its subsidiaries were liable for unspecified actual and punitive
damages and they sought injunctive and other relief, based on
allegations that the Company's "Boarding Pass Rewards Program"
infringes the Harrah's Patents.
The District Court's ruling, which was affirmed by the Federal
Circuit, resolves in the Company's favor all of the remaining patent
infringement issues in the lawsuit brought by Harrah's against the
Company.
While Harrah's has limited rights to further appeal the decision,
and while no assurances can be made with respect to any litigation,
the Company continues to believe that Harrah's claims are without
merit and does not expect that the lawsuit will have a material
adverse effect on its financial position or results of operations.
Company Information
Station Casinos, Inc. is the leading provider of gaming and
entertainment to the residents of Las Vegas, Nevada. Station's
properties are regional entertainment destinations and include various
amenities, including numerous restaurants, entertainment venues, movie
theaters, bowling and convention/banquet space, as well as traditional
casino gaming offerings such as video poker, slot machines, table
games, bingo and race and sports wagering. Station owns and operates
Palace Station Hotel & Casino, Boulder Station Hotel & Casino, Santa
Fe Station Hotel & Casino, Wildfire Casino and Wild Wild West Gambling
Hall & Hotel in Las Vegas, Nevada, Texas Station Gambling Hall & Hotel
and Fiesta Rancho Casino Hotel in North Las Vegas, Nevada, and Sunset
Station Hotel & Casino, Fiesta Henderson Casino Hotel, Magic Star
Casino and Gold Rush Casino in Henderson, Nevada. Station also owns a
50% interest in both Barley's Casino & Brewing Company and Green
Valley Ranch Station Casino in Henderson, Nevada and a 6.7% interest
in the Palms Casino Resort in Las Vegas, Nevada. In addition, Station
manages the Thunder Valley Casino near Sacramento, California on
behalf of the United Auburn Indian Community.
CONTACT:
Station Casinos, Inc.,
Las Vegas
Glenn C. Christenson,
800-544-2411
or
702-367-2484
Executive Vice President/Chief Financial Officer
Chief Administrative Officer
or
Thomas M. Friel,
800-544-2411
or
702-221-6793
Vice President of Finance/Controller
or
Lori B. Nelson,
800-544-2411
or
702-367-2427
Director of Corporate Communications
SOURCE: Station Casinos, Inc.