SAN DIEGO, California -- Harrah's Entertainment Inc. (NYSE:HET) announced the

official groundbreaking ceremonies for construction of a permanent casino and luxury resort

hotel on the Rincon Band of San Luiseno Mission Indians Reservation in Southern California

are scheduled for July 31.

The $125 million facility, 25 miles from downtown San Diego, will feature 45,000 square

feet of gaming space, 1,500 slot machines, 30 table games, 200 luxury rooms and suites, and

six restaurants. The project, to be managed by a wholly owned subsidiary of Harrah's

Operating Co. Inc. for the Rincon Band, is expected to open in the fourth quarter of 2002.