LAS VEGAS, Jan. 9, 2004 - Archon Corporation ("Archon") (OTC Bulletin Board: ARHN - News) announced today the closing of the purchase of the fee ownership of the 416 room Pioneer Hotel & Gambling Hall (the "Pioneer") in Laughlin, Nevada on December 29, 2003. Archon purchased the fee interest from an affiliate of GE Capital pursuant to an early purchase option under its existing lease agreement. The purchase price was approximately $36.0 million dollars, $18.0

Pioneer Hotel and Gambling Hall 2200 S. Casino Dr.  Laughlin, Nevada

Paul Lowden, Chairman of the Board and Chief Executive Officer of Archon stated: "We are excited about this asset acquisition, and we will continue our efforts to provide an entertaining experience to our Pioneer customers."

In addition, Archon ceased operating Duke's Casino in Sparks, Nevada that was operated through one of its subsidiaries. All of the furniture, fixtures, gaming and non-gaming equipment and inventories have been transferred to the Pioneer.

This press release contains certain "forward looking" information as that terms is defined within the meaning of Section 27A of Securities Act of 1933, Section 21E of Securities Exchange Act of 1934, and as that term is defined in the Private Securities Litigation Reform Act of 1995.