Monarch Casino To Announce Atlantis Expansion Plans, Appointment Of New Chief Financial Officer, And Departure Of Director/Cfo Ben Farahi At Annual Stockholder Meeting

At today's annual meeting of stockholders, Monarch Casino & Resort, Inc. (Nasdaq: MCRI) (the "Company"), owner of the Atlantis Casino Resort in Reno, Nevada, will present an overview of its new expansion plans for the Atlantis, will introduce the Company's new Chief Financial Officer, Ronald Rowan, and will announce the resignation of Co-Chairman of the Board, Secretary, Treasurer and Chief Financial Officer Ben Farahi.

The Company will outline plans for the next expansion phase of the Atlantis, which is expected to begin construction late in the fourth quarter of 2006 or in the first quarter of 2007. New space added to the casino level, the second and third floors and the basement level will total approximately 116,000 sq. ft. Once complete, the existing casino floor will be expanded by over 20,000 sq. ft., or approximately 40%. The plans include a new, approximately 4,000 sq. ft., modern race and sports book and an enlarged poker room. The Company also will be adding a New York-style delicatessen and restaurant. The second floor expansion will create additional ballroom and convention space of approximately 27,000 sq. ft., doubling its existing facilities. The existing spa and fitness center will be remodeled and expanded to create a 14,000 sq. ft. ultra-modern spa and fitness center facility. The Company also plans to add a pedestrian skywalk over Peckham Street, connecting the Reno-Sparks Convention Center to the Atlantis. The Company estimates that the expansion will cost approximately $50 million and expects to fund the expansion primarily with cash flow from operations. The expansion plans are contingent upon the receipt of final approvals from applicable governmental agencies, including the City of Reno, and with respect to the proposed walkway, the Reno-Sparks Convention and Visitors Authority.

John Farahi, Monarch's CEO and Co-Chairman stated: "I am pleased to announce the newest phase of Atlantis expansion. Our superb design team has put creativity and careful thought into these plans, resulting in a design that is both exciting and functional. This expansion is part of the board's overall effort to expand our existing holdings and we will continue to search for and evaluate strategic growth opportunities."

The Company announced that Ronald Rowan, CPA, MBA has been hired as the Company's new Chief Financial Officer effective June 19, 2006. Mr. Rowan has extensive experience in financial leadership both within and outside the gaming industry. Most notably, he was the CFO and Corporate Secretary for Casino Data Systems, which was bought by Aristocrat Leisure Limited, an Australian company, in 2001. Mr. Rowan continued on with Aristocrat where he served as CFO for the US-based subsidiary responsible for North and South American operations.

John Farahi stated: "Mr. Rowan brings with him the experience and knowledge necessary to help lead Monarch into our next stage of growth and development. We are confident in his ability to provide key leadership to the planning and implementation of our strategic growth. Ron has a fantastic reputation as a motivator and team player, and I look forward to working closely with him."

The Company announced that Ben Farahi has submitted his resignation as Co-Chairman of the Board, Secretary, Treasurer and Chief Financial Officer effective at the Board of Directors meeting on May 23, 2006. The Company will immediately vest stock options held by Ben Farahi in the amount of 76,668 shares of common stock. As a result of the acceleration of vesting of the options to Ben Farahi, the Company currently estimates a one time non-recurring, non-cash expense of approximately $0.04 to $0.05 per diluted share in the second quarter ending June 30, 2006. The stock option expense will be accelerated into the second quarter of 2006, but would have been incurred ratably between now and the third quarter of 2008 had Mr. Farahi remained with the Company.