FOR RELEASE:

Embargoed, Please, Until Tuesday, April 12, 2011

For additional information, please contact Tony Cignoli at (413) 896-9675.

For additional comment, please directly contact: Atty. Marty Dunn at:
413.563.2308, or Tony Ravosa at: 860.918.422

Paper City LLC, Announces: Holyoke Now! ; A

Partnership for Regional Progress.
Under voluntary plan, Holyoke casino could generate more than
$10 million annually for the city and neighboring communities.
Financial commitment would be in addition to any increases in
state aid from expanded gaming
HOLYOKE -- Paper City Development Company, LLC, the firm that has
proposed development of a resort casino at Wyckoff Country Club in Holyoke,
today announced the details of a voluntary, regional revenue sharing plan to
include Holyoke and several neighboring cities and towns.

Under Paper City’s “Holyoke Now!”; A Partnership for Regional Progress

Plan, Holyoke would receive 1.25% of the net gaming revenues to be generated
annually at a Holyoke casino. The neighboring, adjacent communities to
Holyoke, would share in a pool of an additional 1.25% under a distribution
formula determined by population size (largest to smallest).

The surrounding communities eligible to participate are; Chicopee, Westfield,

Northampton, West Springfield, Easthampton, Southampton, South Hadley and
Hadley. These communities either immediately border, or are historically
contiguous with the city of Holyoke. When combined with Holyoke, these
communities collectively represent a population base of nearly 240,000
residents.

Given its “host community” status, Holyoke would be the largest recipient of
funds under Paper City’s plan receiving a projected annual allotment of $5
million-plus. Of the surrounding communities participating in the shared pool, the
city of Chicopee would receive the largest portion of these funds by virtue of its
status as having the largest neighboring population.

Under this formula, Paper City officials estimate that Chicopee would be in line to
receive upwards of $1.4 million, followed by Westfield ($1.05 million),
Northampton ($716,000) and West Springfield ($707,000). South Hadley
($434,000), Easthampton ($408,000), Southampton ($149,000) and Hadley
($118,000) round out the list of eligible recipients. Paper City is basing its
projections on its own internal study of potential regional gaming demand.

Paper City’s revenue commitment would be in addition to any annual increases

in state aid (or “Cherry Sheet” revenues) that would be received by Holyoke and
surrounding communities through state taxes (25%) on gross gaming revenues.
The Massachusetts Coalition for Jobs and Growth -- a statewide association of
mayors, developers and labor groups who support the construction of gaming,
entertainment and destination venues -- estimates an additional $100 million
annually in state aid to be disbursed among the Commonwealth’s 351 cities and
towns with approval of expanded gaming (see the below breakdown on how
Holyoke and its surrounding communities might fare).

The total 2.5% of net gaming revenues offered up annually under Paper City’s
plan plays on the Proposition 2½ ballot initiative approved by Massachusetts
voters in 1982. Fed up with rapidly escalating municipal budgets that led to
unsustainable increases in local property taxes, Massachusetts residents
engaged in a taxpayer’s revolt at the ballot box that year by formally adopting the
measure to limit to 2.5% the maximum amount that municipalities are permitted
to increase their annual tax levy. While that momentous event occurred nearly
thirty years ago, its relevance today remains unquestionable. In the ensuing
years -- particularly in challenging fiscal times like these -- local officials have
been forced to make some very difficult decisions in order to maintain even basic
municipal services.

While Proposition 2½ placed hard limitations on the ability of cities and towns to
excessively raise taxes on its citizens, Paper City’s “Holyoke NOW!” Partnership
for Regional Progress Plan, in contrast, provides a creative, new and sustainable
discretionary revenue source for Holyoke and neighboring communities to
preserve budget austerity with “no strings attached.” The revenues generated
through this plan will undoubtedly go a long way in aiding municipal leaders in
the delivery of local services, enhancing public safety, and enriching the overall
quality of life in each of these communities, while also reducing their need to
seek future “Prop 2½” overrides. Some communities may even consider use of
these funds in tax stabilization or tax relief efforts, intent on reducing the tax
burden on their residents.

Paper City credits State Senator Stephen M. Brewer, Chairman of the Senate
Ways and Means Committee, for providing the impetus for this proposal.
According to Paper City Managing Partner Joseph Lashinger, “Senator Brewer
has been very clear in expressing his concerns about the potential impact of
casino operations on surrounding communities. He has been unrelenting in his
efforts to insure that neighboring cities and towns - adjacent to where casinos are
proposed are not forgotten in the siting process and that their municipal needs
are considered as well.”
“Paper City shares Senator Brewer’s broader regional view when it comes to
community reinvestment and the financial benefits to be realized for
communities, should expanded gaming be approved in the Commonwealth. We
recognize the fiscal challenges and budgetary dilemmas that these communities
face, particularly in trying economic times like these. That’s why we’ve elected to
put our best foot forward now in offering this plan.” Said Lashinger.

Paper City Principal, Anthony W. Ravosa, Jr. said, “President John F. Kennedy
said: 'A rising tide lifts all boats’ in advocating for steps to be taken to improve
the country’s general economic condition in 1963. By advancing this proposal,
we are firmly committing ourselves to that same philosophy in promoting a
project that we believe will be the primary catalyst for Holyoke’s economic
resurgence. But Holyoke will not be the only beneficiary. We are also giving
proper recognition on those communities neighboring Holyoke as important and
valued partners in the success we hope to achieve by developing a resort casino
at Wyckoff.” Ravosa continued; “The immediate job creation and sizable
economic benefits of this project will reverberate throughout the entire Pioneer
Valley region for years to come.”

Lashinger added, “Regardless of any potential legislative dictate that may pre-
determine a specific amount that casino developers must direct to both host and
surrounding communities, Paper City stands prepared to go above and beyond,
following through on our promised financial commitment to these communities by
entering into formal agreements with each of them.” Lashinger further
emphasized, “We want to truly partner with our host community, Holyoke, and its
neighboring cities and towns. In doing so, it’s important to remember that there
is absolutely no cap on the amount of money that our plan might yield. There is
shared success as revenues grow. That’s the most concrete way we know of
making these communities a genuine economic partner in a resort casino built in
Holyoke.”

Paper City envisions a process where legislative bodies in each community; City
Councils, Selectmen, or Town Meeting members, would vote to accept or reject
these funds. Should any community ultimately reject funding available through
Paper City’s ”Holyoke Now!” Plan, funds earmarked for that community would
then be disbursed among the others under the same formula. Population figures
determining disbursement amounts from the shared pool going to communities
neighboring Holyoke would be re-evaluated every 10 years concurrent with the
completion of the national census.

###
 *Projected “Cherry Sheet” / local aid revenue increases for
Holyoke and surrounding communities with expanded gaming
Holyoke $1,286,953

Chicopee $1,404,885

Westfield $ 837,956

Northampton $ 523,234

West Spfld. $ 477,055

S. Hadley $ 345,479

Easthampton $ 362,489

Southampton $ 84,814

Hadley $ 45,615

(*Based on 25% tax of gross gaming revenue to the Commonwealth and

$100 million dedicated annually from that resulting revenue stream
specifically to increasing local aid; Source: Massachusetts Coalition for
Jobs and Growth)

Again, these figures are in addition to funds that would be

earmarked to Holyoke and surrounding communities under
Paper City’s ”Holyoke NOW!” Partnership for Regional Progress
Plan.