Penn Entertainment issues shareholder letter in response to HG Vora

Penn Entertainment (PENN) issued the following letter to shareholders. The full text of the letter follows: “On May 19, 2025, we informed you that PENN would not be expending resources to solicit proxies for the PENN White Card over the HG Vora Gold Card as both HG Vora and the Company are recommending the same directors for the two open positions at this year’s Annual Meeting. While we attempted to reach a settlement with HG Vora in good faith, HG Vora rejected all of our proposals and insisted on imposing other conditions that violated directives from a gaming regulator and, therefore were not demands with which we could comply. Notwithstanding this impasse, HG Vora was successful in achieving changes to PENN’s Board composition, and, following our 2025 Annual Meeting, HG Vora nominees will represent 25% of the continuing Board. Nevertheless, last week, HG Vora issued a 116-page investor presentation full of false claims and mischaracterizations about the Company. Today we issued an addendum to our May 15, 2025 Fact Sheet to set the record straight on these false mischaracterizations. PENN’s gaming licenses are our most valuable assets – we understand and take our regulatory obligations seriously and, over our 30-year history in the industry, PENN has earned a reputation of trust with our regulators and the communities in which we operate. HG Vora, on the other hand, has consistently disregarded the gaming regulatory regime in its pursuit to exercise control and influence over PENN without all necessary licenses. Rather than operate within the well-established gaming regulatory framework, HG Vora has chosen to test boundaries and blame-shift, even concluding that we “(r)epeatedly sought to weaponize the Company’s regulators.” That same disregard is evident in HG Vora’s campaign of misstatements and insinuations about the Company’s Board and management team. We understand that claims of management enriching themselves with excessive compensation, personal use of corporate aircraft, or timely insider selling are attention-grabbing headlines; however, HG Vora’s claims are simply not based on the facts readily available in our public disclosure. Our Board and management team are actively engaged with all shareholders and remain focused on executing on our strategy to create long-term shareholder value.”