/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES/

BURNABY. BC, May 22, 2012 /CNW/ - Gateway Casinos & Entertainment Limited ("Gateway") today filed a preliminary prospectus with the securities regulatory authorities in each of the provinces and territories of Canada in connection with a proposed initial public offering of common shares by Gateway and certain selling shareholders.

The offering is managed by a syndicate of underwriters including TD Securities Inc., BMO Capital Markets, J.P. Morgan Securities Canada Inc.,and Scotia Capital Inc. as Joint Bookrunners.

A copy of the preliminary prospectus has been filed on SEDAR and is available for review at www.sedar.com.

This press release does not constitute an offer to sell or the solicitation of an offer to buy the securities in the United States, in any province or territory of Canada or in any other jurisdiction. The securities to be offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any U.S. state securities laws and may not be offered or sold in the United States absent registration or absent an applicable exemption from the registration requirements of the U.S. Securities Act and applicable U.S. state securities laws. There shall be no sale of the securities in any jurisdiction in which an offer to sell, a solicitation of an offer to buy or a sale would be unlawful. The preliminary prospectus has not yet become final for the purpose of a distribution to the public and there shall not be any sale or any acceptance of an offer to buy these securities in any province or territory of Canada prior to the time a receipt for the final prospectus or other authorization is obtained from the securities commission or similar authority in such province or territory.

About Gateway

Gateway provides operational services to provincial gaming regulators in British Columbia and Alberta. Gateway is one of the largest casino operational service providers in British Columbia and Alberta with nine casinos, two community gaming centres and a bingo hall.

SOURCE Gateway Casinos & Entertainment Limited