FOR IMMEDIATE RELEASE

Hard Rock Hotel & Casino in Las Vegas

Reports All-Time Record Quarterly Revenues and EBITDA for the quarter ended June 30, 2005

LAS VEGAS, July 27/PRNewswire/ — Hard Rock Hotel, Inc. (“Hard Rock”), which owns and operates the Hard Rock Hotel & Casino in Las Vegas, Nevada, today, for the second consecutive quarter, reported all-time record quarterly net revenues and EBITDA (1). For the quarter ended June 30, 2005, net income rose to $4.0 million compared to $0.7 million in the 2^nd quarter of 2004. Quarterly EBITDA of $12.3 million surpassed the 2nd quarter of 2004 by 11% or $1.2 million and edged out the previous all-time record EBITDA of $12.2 million set during the 1^st quarter of 2005. These increases were due primarily to a full quarter of Body English’s nightclub operations in the current year period, a $19 increase in average daily rate in the hotel and improved Banquet operations. Net revenues reached $46.3 million compared to $41.2 million in the year-earlier three-month period, an increase of $5.1 million, or 12%.

Peter Morton, Hard Rock’s Chairman of the Board and Chief Executive Officer, commenting on the quarterly results stated, “Our performance over the past quarter was the strongest in the Company’s history. The Hard Rock hit a new high note during its 10-year anniversary celebration including concerts with Bon Jovi, Cold Play and Nine Inch Nails and featuring several parties and dinners with celebrity guests.”

There will be a conference call open to investors:

• Date: Thursday, July 28, 2005

• Time: 2:30 P.M. Eastern Daylight Time

11:30 A.M. Pacific Daylight Time

Dial: (800) 762-7308 Domestic only

CONTACT: Jim Bowen of Hard Rock Hotel, Inc., 702-693-5031

This press release contains certain forward-looking statements, which Hard Rock is making in reliance on the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements are subject to significant risks and uncertainties. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance, or achievements of Hard Rock, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Additional information concerning risk factors that could cause actual results or events to differ materially from those projected in the forward-looking statements are contained in Hard Rock’s filings with the Securities and Exchange Commission.

HARD ROCK HOTEL, INC.

(in thousands, except share and per share amounts)

(unaudited)

	Three Months Ended June 30,						Six Months Ended June 30,
	2005			2004			2005			2004
Revenue:
Casino	$	16,141		$	16,478		$	32,750		$	30,085
Lodging	10,392			9,399			19,678			18,025
Food and beverage	18,389			13,718			33,941			25,013
Retail	2,100			2,159			3,843			4,111
Other income	2,780			2,449			5,020			4,284
Gross revenues	49,802			44,203			95,232			81,518
Less: complimentaries	(3,546		)	(3,021		)	(6,720		)	(5,843		)
Net revenues	46,256			41,182			88,512			75,675

Costs and expenses:
Casino	8,921			8,108			17,283			17,472
Lodging	2,393			2,181			4,674			4,380
Food and beverage	8,906			7,002			16,549			13,059
Retail	965			959			1,762			1,844
Other	1,405			1,193			2,588			2,158
Marketing	3,871			3,266			6,232			5,557
Related party expenses	1,473			1,255			3,050			2,442
General and administrative	5,926			5,808			11,707			10,701
Pre-opening expense	124			321			196			521
Total costs and expenses	33,984			30,093			64,041			58,134

Earnings before interest, taxes, depreciation and amortization and loss on disposal of assets (“Adjusted EBITDA”)	12,272			11,089			24,471			17,541

Depreciation and amortization	2,947			2,923			5,899			5,933
Interest expense, net	4,788			4,848			9,618			9,546
Loss on disposal of assets	551			2,668			551			2,668
Income (loss) before income tax benefit	3,986			650			8,403			(606		)
Income tax benefit	—			—			—			—

Net income (loss) applicable to common Shareholders	$	3,986		$	650		$	8,403		$	(606	)

BASIC AND DILUTED NET INCOME (LOSS) PER SHARE

Applicable to common shareholders	$	52.43		$	8.55		$	110.53		$	(7.97	)

Weighted average number of common shares outstanding	76,023			76,023			76,023			76,023

Reconciliation of Net Income to Adjusted EBITDA (1)

(in thousands)

(unaudited)

	Three Months Ended June 30,					Six Months Ended June 30,
	2005			2004		2005		2004

Net Income (Loss)	$		3,986	$	650	$	8,403	$	(606	)

Depreciation and amortization	2,947			2,923		5,899		5,933
Interest expense, net	4,788			4,848		9,618		9,546
Loss on disposal of assets	551			2,668		551		2,668
Income tax (benefit) provision	—			—		—		—

Earnings before interest, taxes, depreciation and amortization and loss on disposal of assets(“Adjusted EBITDA”)	$	12,272		$	11,089	$	24,471	$	17,541

	Supplemental Information
	Three Months Ended June 30,						Six Months Ended June 30,
	2005			2004			2005			2004
Casino
Table Games Drop	$	82,835,936		$	74,981,424		$	164,171,661		$	155,940,389
Table Games Win	$	10,733,668		$	11,693,508		$	22,105,530		$	20,577,514
Table Games Hold %	13.0		%	15.6		%	13.5		%	13.2		%
Average # of Tables	93			93			91			93
Win/Table/Day	$	1,264		$	1,387		$	1,349		$	1,216

Slot Handle	$	87,157,083		$	84,557,140		$	177,190,406		$	173,301,059
Slot Win	$	5,127,795		$	4,424,267		$	9,693,696		$	8,692,433
Slot Hold %	5.9		%	5.2		%	5.5		%	5.0		%
Average # of Slots	551			546			552			551
Win/Slot/Day	$	102		$	89		$	97		$	87

Hotel
Occupancy	97.2		%	97.4		%	95.3		%	94.5		%
Average Daily Rate (ADR)	$	176		$	157		$	170		$	155
REVPAR	$	178		$	160		$	169		$	152

Other
Capital expenditures for cash, net	1,732,000			6,791,000			4,347,000			10,633,000

(1) EBITDA consists of earnings before interest, taxes, depreciation and amortization, as applicable. EBITDA is presented solely as a supplemental disclosure because management believes that it is 1) a widely used measure of operating performance in the gaming industry, and 2) a principal basis for valuation of gaming companies. EBITDA should not be construed as an alternative to operating income, as an indicator of the Company’s operating performance, or as an alternative to cash flows from operating activities, as a measure of liquidity, or as any other measure determined in accordance with generally accepted accounting principles. The Company has significant uses of cash flows, including capital expenditures, interest payments and debt principal repayments, which are not reflected in EBITDA. Also, other gaming companies that report EBITDA information may calculate EBITDA in a different manner than the Company.

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HARD ROCK HOTEL INC 8-K