<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>2
<FILENAME>y99989exv99w1.txt
<DESCRIPTION>PRESS RELEASE
<TEXT>
<PAGE>
                                                                    Exhibit 99.1

CONTACT: JOHN P. SALDARELLI
         SECRETARY AND TREASURER
         (914) 242-7700

                              FOR IMMEDIATE RELEASE

   AMERICAN REAL ESTATE PARTNERS, L.P. REPORTS SECOND QUARTER AND SIX MONTH
                                   RESULTS

MOUNT KISCO, NEW YORK, AUGUST 9, 2004 - American Real Estate Partners, L.P.
(NYSE:ACP) today reported the following second quarter and six month financial
results:

        In the second quarter of 2004 earnings were $81,786,000 compared to a
loss of $2,787,000 in the second quarter of 2003. Of this difference,
approximately $47 million was from an increase in income from discontinued
operations as a result of gains on sale of real estate, approximately $19
million was from a write-down of other investments in 2003, approximately $8
million was the result of a gain on the sale of certain marketable debt
securities and approximately $7 million was the result of increased income from
hotel and casino operations.

        For the second quarter, diluted earnings (loss) per weighted average
limited partnership unit outstanding were $1.54 in 2004 and ($.13) in 2003.

        Earnings in the six months ended June 30, 2004 were $144,806,000
compared to $11,605,000 in the six months ended June 30, 2003.  Of this
increase, approximately $54 million was from an increase in income from
discontinued operations as a result of gains on sale of real estate,
approximately $19 million was from a write-down of other investments in 2003,
approximately $37 million was the result of a gain on the sale of certain
marketable debt securities, approximately $15 million was the result of
increased income from hotel and casino operations and approximately $8 million
was from increased interest income.

        For the six months ended June 30, 2004, diluted earnings per weighted
average limited partnership unit outstanding were $2.66 compared to $.07 in
2003.

The financial statements have been restated for the three and six months ended
June 30, 2003 to include the earnings of our subsidiaries: National Energy
Group, Inc. and American Casino & Entertainment Properties LLC.

American Real Estate Partners, L.P. is a master limited partnership.






<PAGE>
      FOR IMMEDIATE RELEASE

                    AMERICAN REAL ESTATE PARTNERS, L.P.
                REPORTS SECOND QUARTER AND SIX MONTH RESULTS

                        CONSOLIDATED RESULTS OF EARNINGS
                IN THOUSANDS OF DOLLARS EXCEPT PER UNIT DATA


<TABLE>
<CAPTION>
SECOND QUARTER ENDED JUNE 30,                   2004               2003
----------------------------------------    ------------       ------------
                                                               (RESTATED) (1)
                                                      (UNAUDITED)
<S>                                         <C>                <C>
Revenues                                    $    117,901       $     90,645
                                            ============       ============
Operating income                            $     25,834       $     15,541
Write-down of other investments                       --            (18,798)
Loss on sales and disposition of
   real estate                                      (226)              (272)
Gain on sales of marketable debt
   securities                                      8,310                 --
Income tax expense                                (3,088)            (3,167)
                                            ------------       ------------
Income from continuing operations                 30,830             (6,696)
Income from discontinued operations               50,956              3,909
                                            ------------       ------------

Net earnings                                $     81,786       $     (2,787)
                                            ============       ============

  Net earnings per L.P. unit:

  Basic:
     Income (loss) from continuing
     operations                             $        .63       $       (.21)
     Income from discontinued operations            1.08                .08
                                            ------------       ------------

  Basic earnings (loss) per L.P. unit       $       1.71       $       (.13)
                                            ============       ============

Weighted average units outstanding            46,098,284         46,098,284
                                            ============       ============

Diluted:
   Income (loss) from continuing
   operations                               $        .58       $       (.21)
   Income from discontinued operations               .96                .08
                                            ------------       ------------

   Diluted earnings (loss) per L.P.
   unit                                     $       1.54       $       (.13)
                                            ============       ============

Weighted average units and
   equivalent units outstanding               51,938,033         46,098,284
                                            ============       ============
</TABLE>


(1) THE FINANCIAL STATEMENTS HAVE BEEN RESTATED TO REFLECT THE EARNINGS OF OUR
SUBSIDIARIES: I) NATIONAL ENERGY GROUP, INC., AND II) AMERICAN CASINO AND
ENTERTAINMENT PROPERTIES LLC.
<PAGE>
FOR IMMEDIATE RELEASE

                    AMERICAN REAL ESTATE PARTNERS, L.P.
                REPORTS SECOND QUARTER AND SIX MONTH RESULTS

                        CONSOLIDATED RESULTS OF EARNINGS
                IN THOUSANDS OF DOLLARS EXCEPT PER UNIT DATA

<TABLE>
<CAPTION>
SIX MONTHS ENDED JUNE 30,                         2004               2003
-----------------------------------------     ------------       ------------
                                                                 (RESTATED) (1)
                                                        (UNAUDITED)
<S>                                           <C>                <C>
Revenues                                      $    222,023       $    184,245
                                              ============       ============
Operating income                              $     50,732       $     31,872
Provision for loss on real estate                       --               (200)
Write down of other investments                         --            (18,798)
Write-down of equity securities
   available for sale                                   --               (961)
Gain on sales and disposition of
   real estate                                       5,821                866
Gain on sales of marketable debt
   securities                                       37,167                 --
Income tax expense                                  (9,257)            (7,059)
                                              ------------       ------------
Income from continuing operations                   84,463              5,720
Income from discontinued operations                 60,343              5,885
                                              ------------       ------------

Net earnings                                  $    144,806       $     11,605
                                              ============       ============

  Net earnings per L.P. unit:

  Basic:
     Income (loss) from continuing
     operations                               $       1.68       $       (.06)
     Income from discontinued operations              1.28                .13
                                              ------------       ------------

  Basic earnings per L.P. unit                $       2.96       $        .07
                                              ============       ============

Weighted average units outstanding              46,098,284         46,098,284
                                              ============       ============

Diluted:
   Income (loss) from continuing
   operations                                 $       1.53       $       (.06)
   Income from discontinued operations                1.13                .13
                                              ------------       ------------

   Diluted earnings per L.P. unit             $       2.66       $        .07
                                              ============       ============

Weighted average units and
   equivalent units outstanding                 52,218,668         46,098,284
                                              ============       ============
</TABLE>


(1) THE FINANCIAL STATEMENTS HAVE BEEN RESTATED TO REFLECT THE EARNINGS OF OUR
SUBSIDIARIES: I) NATIONAL ENERGY GROUP, INC., AND II) AMERICAN CASINO AND
ENTERTAINMENT PROPERTIES LLC.


</TEXT>
</DOCUMENT>
