8-K

                                  UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549
                              ---------------------


                                    FORM 8-K

                                 CURRENT REPORT

     PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934



Date of Report (Date of earliest event reported):   July 6, 2001 (July 5, 2001)


                          HARRAH'S ENTERTAINMENT, INC.
             (Exact name of registrant as specified in its charter)


         DELAWARE                         1-10410                62-1411755
   (State or other jurisdiction       (Commission             (I.R.S. Employer
         of incorporation)             File Number)          Identification No.)


         ONE HARRAH'S COURT
         LAS VEGAS, NEVADA                                               89119
(Address of Principal Executive Offices)                              (Zip Code)



                                 (702) 407-6000
              ----------------------------------------------------
              (Registrant's telephone number, including area code)


          ------------------------------------------------------------
          (Former name or former address, if changed since last report)











ITEM 5.  OTHER EVENTS

     On July 5, 2001, Harrah's Entertainment, Inc. issued a press release, a
copy of which is attached hereto as Exhibit 99(1) and incorporated herein by
reference.


ITEM 7.  FINANCIAL STATEMENTS AND EXHIBITS

         (c)      Exhibits

                  99(1)  Text of press release, dated July 5, 2001, of the
                         Registrant.









                                    SIGNATURE

     Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended,  the  Registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.

                                           HARRAH'S ENTERTAINMENT, INC.


Date:    July 6, 2001                      By:  /s/ Brad L. Kerby
                                                --------------------------------
                                                Name:    Brad L. Kerby
                                                Title:   Corporate Secretary

EX-99.1

                                                       EXHIBIT 99(1)

               Harrah's Entertainment Expects Adjusted Net Income
                 Of 46 to 50 Cents Per Share For Second Quarter

     LAS VEGAS, July 5, 2001 -- Harrah's Entertainment, Inc. (NYSE:HET) today
announced it expects to report second-quarter Adjusted Earnings Per Share of 46
to 50 cents, up 15 to 25 percent over last year's second quarter but below
analysts' consensus estimates of 55 cents per share.

     Second-quarter revenues are expected to reach a record level and Property
Earnings Before Interest, Taxes, Depreciation and Amortization (EBITDA) is
expected to match the record Property EBITDA of the second quarter 2000.

     The company cited two factors as the primary reasons for the earnings
shortfall: a lower than expected table-games hold percentage at the Rio in Las
Vegas and accelerating weakness in retail, or non-tracked walk-in, business
stemming from the nation's economic slowdown.

     "During the quarter we saw continued increases in both tracked and
cross-market play, especially from Platinum and Diamond Total Rewards
customers," said Phil Satre, Harrah's Entertainment Chairman and Chief Executive
Officer. "However, we experienced a decline in business from retail customers in
several markets, which led to lower growth rates than we had anticipated.

     "While the gains in tracked and cross-market play reinforce our confidence
in our long-term growth strategy, the uncertain prospects for a rapid economic
recovery and the economy's impact on retail business have prompted us to
modestly reduce our full-year growth expectations," Satre said.

     The economic slowdown had its greatest impact on the company's Northern
Nevada operations, which experienced a double-digit decline in retail business
from key Northern California feeder markets.




     "To counter the drop in retail play, we developed new marketing plans to
stimulate the retail segment of our businesses," said Gary Loveman, Harrah's
Entertainment President and Chief Operating Officer. "We implemented those plans
at the end of June.

     "The Rio in Las Vegas performed significantly better in the 2001 second
quarter than in the year-earlier quarter due to better cost management, a higher
table-game hold percentage and improved results in non-gaming areas," Loveman
said.

     "However, the Rio's second-quarter table-game hold percentage was more than
five percentage points below the hold percentage in the first quarter of this
year," Loveman said. "The impact of the hold percentage being below the
first-quarter level is estimated at between four and five cents a share.

     "We anticipate a positive earnings impact when we complete ongoing Central
and Eastern Division construction projects designed to upgrade our product
offerings and bring customers in these markets the complete Harrah's
Entertainment experience," Loveman said.

     The company opened a casino enhancement at North Kansas City at the end of
the second quarter. Renovations at Harrah's Lake Charles, where up to 40 percent
of the property's hotel rooms were out of service during the quarter, and at
Players Metropolis, where preparations continue for a September conversion of
the property to the Harrah's brand, impacted results in the second quarter.

     "In addition to construction disruptions, Lake Charles was also affected by
a weekend storm-related highway closure in June that kept customers away from
the Lake Charles market," Loveman said. "The company's Louisiana riverboats were
also impacted by increased gaming taxes."




     Other second-quarter results are expected to reflect improvements at the
Atlantic City Showboat over the first-quarter levels and the impact of
competitive pressures in the Chicagoland market.

     "We are encouraged that the Atlantic City Showboat achieved market-share
gains and Property EBITDA improvements from the first quarter of 2001," Loveman
said.

     "To protect our market share in Chicagoland, we quickly responded to the
aggressive marketing campaign of a new competitor during the quarter," he said.
"We are now refining our marketing to enhance profitability while maintaining
our market share."

     Harrah's noted that the operating shortfalls will be partially offset by
operating gains achieved at Harrah's St. Louis, Harrah's Shreveport and Harrah's
Atlantic City, as well as at the Southern Nevada Harrah's brand properties.

     In addition to project-opening and other costs excluded by the company from
Adjusted Earnings Per Share and from analysts' estimates, Harrah's also expects
its second-quarter operating results to be impacted by an approximate $5.5
million pre-tax charge to write off its investments in Zoho Corporation and an
approximate $2.8 million pre-tax charge connected to an initiative to reduce the
income-statement volatility of a deferred compensation program.

     Harrah's Entertainment plans to release actual second-quarter results on
Wednesday, July 18.

     Harrah's Entertainment will host a conference call on Friday, July 6, 2001,
at 9:00 a.m. Eastern Daylight Time to discuss the anticipated second-quarter
results discussed in this press release, as well as general trends in the
company's overall business. Those interested in participating in the conference
call should dial 800-305-1078, or 703-871-3026 for international callers, about
10 minutes before the call start



time. A taped replay of the conference call can be accessed at 888-266-2081 or
703-925-2533 for international callers, beginning at 12:30 p.m. Eastern Daylight
Time on Friday, July 6, 2001. The replay will be available through July 13,
2001. The pin number for the replay is 5369730.

     The conference call will also be available live or archived at our web site
- - www.harrahs.com - in the "Investor Relations" section behind the "About Us"
tab.

     Founded more than 60 years ago, Harrah's Entertainment, Inc. is the most
recognized and respected name in the casino-entertainment industry, operating 21
casinos in the United States under the Harrah's, Showboat, Rio and Players brand
names. With a combined database of more than 23 million players, Harrah's
Entertainment is focused on building loyalty and value with its target customers
through a unique combination of great service, excellent products, unsurpassed
distribution, operational excellence and technology leadership.

     This release includes "forward-looking statements" intended to qualify for
the safe harbor from liability established by the Private Securities Litigation
Reform Act of 1995. These forward-looking statements generally can be identified
by phrases such as the company "believes," "expects," "anticipates," "plans,"
"foresees," "forecasts," "estimates" or other words or phrases of similar
import. Similarly, such statements herein that describe the company's business
strategy, outlook, objectives, plans, intentions or goals are also
forward-looking statements. All such forward-looking statements are subject to
certain risks and uncertainties that could cause actual results to differ
materially from those in forward-looking statements. Such risks and
uncertainties include, but are not limited to, economic, bank, equity and
debt-market condition, changes in laws or regulations, third-party relations and
approvals, decisions of courts, regulators and governmental bodies, factors
affecting leverage, including



interest rates, abnormal gaming holds, construction disruptions and delays,
ineffective marketing, and effects of competition.

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