Exhibit 99.1

Harrah’s Entertainment, Inc.

(702) 407-6344

Harrah’s Entertainment Reports Second Quarter 2007 Results

LAS VEGAS, Aug. 7 — Harrah’s Entertainment, Inc. (NYSE: HET—News) today reported the following financial results for the second quarter of 2007:

COMPANY WIDE RESULTS

(in millions, except per share)

On a GAAP basis, second-quarter income from operations was $478 million, compared to $432 million in the year-ago quarter. Net income was $238 million, up 84.5 percent from $129 million in the 2006 second quarter. Diluted earnings per share from continuing operations were $1.03, an increase of 49 percent from the 69 cents achieved in the year-ago quarter.

^AProperty EBITDA and Adjusted EPS from Continuing Operations are not Generally Accepted Accounting Principles (GAAP) measurements but are commonly used in the gaming industry as measures of performance and as bases for valuation of gaming companies. In addition, analysts’ per-share earnings estimates for gaming companies are comparable to Adjusted EPS from Continuing Operations. Reconciliations of Adjusted EPS from Continuing Operations to GAAP EPS and Property EBITDA to income from operations are attached to this release.

Second-quarter highlights

Summaries of results by region follow:

LAS VEGAS REGION

(in millions)

Las Vegas Region properties include Harrah’s Las Vegas, Rio, Bally’s Las Vegas, Paris, Flamingo Las Vegas, Caesars Palace, Imperial Palace and Bill’s Gamblin’ Hall & Saloon.

Continued strong visitor volume in the Las Vegas region drove double-digit percentage increases across all key performance metrics during the second quarter, building on already strong momentum established during the first quarter of 2007.

ATLANTIC CITY REGION

(in millions)

Atlantic City Region properties include Harrah’s Atlantic City, Showboat Atlantic City, Caesars Atlantic City, Bally’s Atlantic City and Harrah’s Chester.

Competition from new slot operations in New York and Pennsylvania, the implementation of new smoking regulations in New Jersey beginning April 15, and increased costs associated with marketing and promotional programs continued to hurt results in the Atlantic City region. However, strong results at Harrah’s Chester Casino and Racetrack, which opened its slot operations in early first quarter 2007, helped buoy the region’s overall revenues.

LOUISIANA/MISSISSIPPI REGION

(in millions)

Louisiana/Mississippi Region properties include Harrah’s New Orleans, Horseshoe Bossier City, Louisiana Downs, Horseshoe Tunica, Grand Casino Tunica, Sheraton Tunica and Grand Casino Biloxi.

Results from Grand Casino Biloxi, which was closed in the year-ago quarter, as well as strong performances at Harrah’s New Orleans and Horseshoe Bossier City, helped to boost the Louisiana/Mississippi region’s overall revenues and Property EBITDA and offset weak revenues in the Tunica market. Second-quarter income from operations included insurance proceeds of $37 million that are in excess of the net book value of impacted assets and reimbursable costs and expenses.

IOWA/MISSOURI REGION

(in millions)

Iowa/Missouri Region properties include Harrah’s St. Louis, Harrah’s Council Bluffs, Horseshoe Council Bluffs and Harrah’s North Kansas City.

Modest combined revenue gains for the region flowed through to income from operations, and Property EBITDA grew 4.0 percent over the region’s total for the corresponding period in 2006.

ILLINOIS/INDIANA REGION

(in millions)

Illinois/Indiana Region properties include Horseshoe Hammond, Harrah’s Joliet, Harrah’s Metropolis and Caesars Indiana.

Combined revenue at the company’s Illinois and Indiana properties increased over the region’s second-quarter total for the corresponding period in 2006, but income from operations and Property EBITDA were down, due in part to a supplemental 3 percent tax assessed by Illinois since July 2006. An Illinois state court declared the supplemental tax unconstitutional in the second quarter of 2007, but Harrah’s continues to accrue and pay the tax pending a final resolution.

The company’s new, two-level vessel at Horseshoe Hammond currently is expected to open in the second half of 2008, pending all requisite regulatory approvals.

OTHER NEVADA

(in millions)

Other Nevada properties include Harrah’s Reno, Harrah’s Lake Tahoe, Harvey’s Lake Tahoe, Bill’s Casino and Harrah’s Laughlin.

Results in the company’s Other Nevada region declined from the corresponding period in 2006, owing to disappointing visitor volumes brought about by a poor end to the spring ski season in Reno and Lake Tahoe. The late June Angora Lakes fire at Lake Tahoe also negatively impacted traffic and spending in the region.

MANAGED/INTERNATIONAL/OTHER

(in millions)

Managed, international and other results include income from our managed properties, results of our international properties and certain marketing and administrative expenses, including development costs, and income from our non-consolidated subsidiaries.

The addition of the London Clubs International properties, which were acquired by the company in the fourth quarter of 2006, coupled with lower master-planning and development costs, drove improved revenue, income from operations and Property EBITDA as compared to the prior year period.

Other items

Second quarter 2007 corporate expenses declined 41.8 percent compared to the prior-year period, to $26.6 million from $45.7 million, due to corporate cost reductions and the allocation of a portion of the company’s stock-based compensation expenses to individual property units.

Interest expense for the second quarter rose 8.9 percent, to $176.6 million, versus $162.2 million for the same period in 2006, due to higher debt levels and higher interest rates. Partially offsetting the higher interest in 2007 is income of $14.3 million in income representing an increase in the market value of our interest rate swap agreements for second quarter. The prior year’s second quarter included charges of $61 million due to the early extinguishment of debt during that period.

Other income in the second quarter of 2007 includes gains on the sales of corporate aircraft.

The effective tax rate for the second quarter, after minority interest, was 37.3 percent, compared with 37.7 percent in the second quarter of 2006.

Discontinued operations for second quarter 2007 reflect insurance proceeds of $42.0 million, after taxes, that are in excess of the net book value of the impacted assets and accumulated costs and expenses that are expected to be reimbursed under the company’s insurance claims for Harrah’s Lake Charles and Grand Casino Gulfport, both of which were sold in 2006. Pursuant to the terms of the sales agreements, Harrah’s will retain all insurance proceeds related to these properties.

Weighted average common and common equivalent shares outstanding for the second quarter were 190.2 million shares, compared with 187.1 million in the second quarter of 2006.

Harrah’s Entertainment, Inc. is the world’s largest provider of branded casino entertainment. Since its beginning in Reno, Nevada, nearly 70 years ago, Harrah’s has grown through development of new properties, expansions and acquisitions, and now owns or manages casinos on four continents. The company’s properties operate primarily under the Harrah’s, Caesars and Horseshoe brand names; Harrah’s also owns the London Clubs International family of casinos. Harrah’s Entertainment is focused on building loyalty and value with its customers through a unique combination of great service, excellent products, unsurpassed distribution, operational excellence and technology leadership.

For more information, please visit: http://www.harrahs.com

This release includes “forward-looking statements” intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. You can identify these statements by the fact that they do not relate strictly to historical or current facts. These statements contain words such as “may,” “will,” “project,” “might,” “expect,” “believe,” “anticipate,” “intend,” “could,” “would,” “estimate,” “continue” or “pursue,” or the negative or other variations thereof or comparable terminology. In particular, they include statements relating to, among other things, future actions, new projects, strategies, future performance, the outcomes of contingencies and future financial results of Harrah’s. These forward-looking statements are based on current expectations and projections about future events.

Investors are cautioned that forward-looking statements are not guarantees of future performance or results and involve risks and uncertainties that cannot be predicted or quantified and, consequently, the actual performance of Harrah’s may differ materially from those expressed or implied by such forward-looking statements. Such risks and uncertainties include, but are not limited to, the following factors, as well as other factors described from time to time in our reports filed with the Securities and Exchange Commission (including the sections entitled “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” contained therein): the occurrence of any event, change or other circumstances that could give rise to the termination of the merger agreement with TPG and Apollo; the outcome of any legal proceedings that have been, or will be, instituted against the Company related to the merger agreement; the inability to complete the merger due the failure to satisfy conditions to completion of the merger, including the receipt of all regulatory approvals related to the merger; the failure to obtain the necessary financing arrangements set forth in the debt and equity commitment letters delivered pursuant to the merger agreement; risks that the proposed transaction disrupts current plans and operations and the potential difficulties in employee retention as a result of the merger; the impact of the substantial indebtedness to be incurred to finance the consummation of the merger; the effects of local and national economic, credit and capital market conditions on the economy in general, and on the gaming and hotel industries in particular; construction factors, including delays, increased costs for labor and materials, availability of labor and materials, zoning issues, environmental restrictions, soil and water conditions, weather and other hazards, site access matters and building permit issues; the effects of environmental and structural building conditions relating to our properties; access to available and reasonable financing on a timely basis; the ability to timely and cost-effectively integrate acquisition into our operations, including London Clubs; changes in laws, including increased tax rates, regulations or accounting standards, third-party relations and approvals, and decisions of courts, regulators and governmental bodies; litigation outcomes and judicial actions, including gaming legislative action, referenda and taxation; the ability of our customer-tracking, customer loyalty and yield-management programs to continue to increase customer loyalty and same store sales or hotel sales; our ability to recoup costs of capital investments through higher revenues; acts of war or terrorist incidents or natural disasters; abnormal gaming holds; and the effects of competition, including locations of competitors and operating and market competition.

Any forward-looking statements are made pursuant to the Private Securities Litigation Reform Act of 1995 and, as such, speak only as of the date made. Harrah’s disclaims any obligation to update the forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements which speak only as of the date stated, or if no date is stated, as of the date of this press release.

HARRAH’S ENTERTAINMENT, INC.

CONSOLIDATED SUMMARY OF OPERATIONS

(UNAUDITED)

HARRAH’S ENTERTAINMENT, INC.

SUPPLEMENTAL OPERATING INFORMATION

(UNAUDITED)

HARRAH’S ENTERTAINMENT, INC.

SUPPLEMENTAL INFORMATION

CALCULATION OF ADJUSTED EARNINGS PER SHARE (b)

(UNAUDITED)

HARRAH’S ENTERTAINMENT, INC.

SUPPLEMENTAL INFORMATION

RECONCILIATION OF PROPERTY EBITDA TO INCOME FROM OPERATIONS

(UNAUDITED)

*Total Income from operations as reported on this schedule corresponds with the amounts reported for the respective periods on our CONSOLIDATED SUMMARY OF OPERATIONS. See our CONSOLIDATED SUMMARY OF OPERATIONS for the additional income and expenses recorded in the determination of Net income and Earnings per share for the periods presented.

HARRAH’S ENTERTAINMENT, INC.

SUPPLEMENTAL INFORMATION

RECONCILIATION OF PROPERTY EBITDA TO INCOME FROM OPERATIONS

(UNAUDITED)