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                                                                    Exhibit 99.3

FRIDAY FEBRUARY 9, 9:50 AM EASTERN TIME

PRESS RELEASE

                   LAKES GAMING DISCONTINUES INVOLVEMENT WITH
                          PASKENTA TRIBE OF CALIFORNIA

MINNEAPOLIS--(BUSINESS WIRE)--Feb. 9, 2001--Lakes Gaming, Inc. (Nasdaq:LACO -
news) today announced that it has mutually agreed with the Paskenta Band of
Nomlaki Indians in California to discontinue Lakes' involvement in the casino
development planned by the Paskenta Tribe. Lakes had previously announced a
joint venture with MRD Gaming to develop a casino on behalf of the Paskenta
Tribe in northern California.

Lakes Gaming, Inc. currently manages the largest casino resort in Louisiana and
has entered into development and management agreements with three separate
tribes for three new casino operations, one in Michigan and two in California.
The Company also has agreements for the development of one additional casino on
Indian owned land in California through a joint venture with MRD Gaming, and has
entered into a joint venture agreement for the development of land on the Las
Vegas strip. Lakes Gaming, Inc. common shares are traded on the Nasdaq National
Market under the trading symbol "LACO".

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor"
for forward-looking statements. Certain information included in this press
release (as well as information included in oral statements or other written
statements made or to be made by the Company) contains statements that are
forward-looking, such as statements relating to plans for future expansion and
other business development activities as well as other capital spending,
financing sources and the effects of regulation (including gaming and tax
regulation) and competition. Such forward-looking information involves important
risks and uncertainties that could significantly affect anticipated results in
the future and, accordingly, such results may differ from those expressed in any
forward-looking statements made by or on behalf of the Company. These risks and
uncertainties include, but are not limited to, those relating to development and
construction activities, dependence on existing management, domestic or global
economic conditions, activities of competitors and the presence of new or
additional competition, fluctuations and changes in customer preferences and
attitudes, changes in federal or state tax laws or the administration of such
laws and changes in gaming laws or regulations (including the legalization of
gaming in certain jurisdictions). For more information, review the Company's
filings with the Securities and Exchange Commission.

Contact:

     Lakes Gaming, Inc., Minnetonka
     Timothy J. Cope
     952/449-7030
     www.lakesgaming.com