Penn National Gaming Promotes Thomas Burke to Senior Vice President Regional Operations

Penn National Gaming, Inc. (Nasdaq:PENN) announced today that, subject to customary regulatory approvals, Thomas P. Burke, 52, has been promoted to Senior Vice President Regional Operations, effective October 6, 2008. Mr. Burke presently serves as Vice President and General Manager of Penn National Gaming’s Argosy Casino Hotel & Spa in Riverside, Missouri.

In his new position, Mr. Burke will be responsible for overseeing all facets of Penn National’s eight facilities located in Mississippi, Louisiana, New Mexico, Missouri, Iowa and Colorado. Mr. Burke will report directly to Penn National President and Chief Operating Officer Timothy Wilmott. John Finamore, who has served as Senior Vice President Regional Operations since 2002, will continue to be responsible for overseeing operations throughout the remaining regions where the Company operates and also reports to Mr. Wilmott. Mr. Wilmott will oversee operations at Penn National’s Lawrenceburg, Indiana facility on an interim basis as the Company completes construction of its new riverboat, which will feature 1,500 additional gaming positions, enhanced amenities and a floor layout that better facilitates customer flow.

Mr. Burke has nearly 30 years of gaming industry experience, having served in various senior management positions in diverse regulated jurisdictions including New Jersey, Indiana, Missouri, Colorado and Melbourne, Australia. Mr. Burke joined Penn National Gaming in 2002 as President and General Manager of the Company’s Bullwhackers Casinos in Black Hawk, Colorado and has managed the Riverside, Missouri operations since 2006 including the highly successful April 2007 opening of Argosy Casino Hotel & Spa’s Mediterranean-themed, nine-story, 258-room hotel and spa. Under Mr. Burke’s leadership, the property recently surpassed Harrah’s North Kansas City to become the second highest revenue generating property in the Kansas City market.

Prior to joining Penn National Gaming, Mr. Burke held senior management positions at Trump Taj Mahal Casino Resort and Trump Castle, American Gaming and Entertainment, the Majestic Star Casino and Station Casinos.

Commenting on the appointment, Timothy Wilmott said, “As one of the nation’s leading gaming facility operators, Penn National has consistently emphasized the attraction and development of premier, results-oriented management talent. Tom’s extensive industry experience has been valuable to Penn National at the properties that he has managed and in terms of developing strategies for optimizing results throughout our portfolio.

“With John Finamore and Tom jointly responsible for Penn National’s entire regional portfolio, we’ve streamlined our organizational structure which is expected to result in further operational efficiencies and the opportunity to implement regional marketing initiatives and programs. Tom’s contributions to our Bullwhackers and Riverside properties over the last six years have provided him with in-depth knowledge of Penn National’s markets, personnel and return on investment-focused operating style and we look forward to his continued contributions in his new and expanded role.”

Mr. Burke earned a Bachelor of Arts in Economics from Rutgers University, New Brunswick, New Jersey and a Master in Business Administration from Monmouth University in West Long Branch, New Jersey. He plans to relocate to Penn National Gaming’s corporate headquarters in Wyomissing, Pennsylvania.

About Penn National Gaming

Penn National Gaming owns and operates gaming and racing facilities with a focus on slot machine entertainment. The Company presently operates nineteen facilities in fifteen jurisdictions, including Colorado, Florida, Illinois, Indiana, Iowa, Louisiana, Maine, Mississippi, Missouri, New Jersey, New Mexico, Ohio, Pennsylvania, West Virginia, and Ontario. In aggregate, Penn National’s operated facilities feature over 25,400 slot machines, approximately 400 table games, over 1,880 hotel rooms and more than 930,000 square feet of gaming floor space.

Forward-looking Statements

This press release contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may vary materially from expectations. Penn National Gaming describes certain of these risks and uncertainties in its filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2007. Meaningful factors which could cause actual results to differ from expectations described in this press release include, but are not limited to, the passage of state, federal or local legislation that would expand, restrict, further tax or prevent gaming operations in the jurisdictions in which we do business; the activities of our competitors; increases in our effective rate of taxation at any of our properties or at the corporate level; delays or changes to, or cancellations of, planned capital projects at our gaming and pari-mutuel facilities or an inability to achieve the expected returns from such projects; the existence of attractive acquisition candidates and the costs and risks involved in the pursuit of those acquisitions; our ability to maintain regulatory approvals for our existing businesses and to receive regulatory approvals for our new businesses; the maintenance of agreements with our horsemen, pari-mutuel clerks and other organized labor groups; our dependence on key personnel; that the conditions to closing the preferred stock purchase agreement are not satisfied or the issuance of the preferred stock otherwise fails to close; the outcome of any legal proceedings that may be instituted against the Company; the effects of local and national economic, credit and capital market and energy conditions on the economy in general, and on the gaming and lodging industries in particular; construction factors, including delays, increased costs for labor and materials; changes in accounting standards, third-party relations and approvals; the impact of terrorism and other international hostilities and the availability and cost of financing and other factors as discussed in the Company’s filings with the United States Securities and Exchange Commission. Furthermore, the Company does not intend to update publicly any forward-looking statements except as required by law. The cautionary advice in this paragraph is permitted by the Private Securities Litigation Reform Act of 1995.