Loto-Québec Abandons Its Plan for the Creation of a
Recreational and Tourist Complex at the Peel Basin
Due to the Cirque du Soleil's Withdrawal from the Project

Montréal, March 10, 2006 - In view of the Cirque du Soleil's decision to withdraw from the Peel Basin recreational and tourist complex project, Loto-Québec has announced that it will not be pursuing its plans for the relocation of the Casino de Montréal to this sector. The announcement came after the Corporation's Board of Directors confirmed the decision.

"The very essence of our project was bound to the dynamic presence of the Cirque du Soleil, to its distinctive signature, its unique style and character which was to permeate all the components of the complex, to its remarkable creativity, and to the Cirque's capacity to attract private partners," underlined Loto-Québec President, Mr. Alain Cousineau. "In the absence of these characteristics, the project is no longer able to distinguish itself definitively within the casino industry of today's new competitive landscape and to maximize its ability to draw visitors from outside Québec."

As such, the question of the Casino de Montréal's future and competitiveness remains present and unresolved. Continuing to operate the Casino in its current form provides no assurances that the gaming house will be able to maintain its profitability. Therefore,
Loto-Québec intends to devote all of its efforts to curbing the erosion of the Casino de Montréal's earnings, as it remains a major tourist attraction and has served as an important source of revenue for the Québec Government since 1993.

"I would like to thank Guy Laliberté, Daniel Lamarre and the entire Cirque du Soleil team, whose decision I understand," concluded Mr. Cousineau. "We greatly appreciate their collaboration and the fruitful exchange of ideas and expertise in planning this project, which had the potential of enriching Montréal, particularly the South-West Borough, with a formidable development tool."

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Information: 
Jean-Pierre Roy
Director of Media Relations
(514) 499-5151



To consult (in French only):
Cirque du Soleil se retire du projet Bassin Peel