Europa Cruises Corporation Announces Sale of M/V Europa Stardancer

Company Press Release: Europa Cruises Corporation

December 7, 1999
MADEIRA BEACH, Fl -- Europa Cruises Corporation (OTC Bulletin Board: KRUZ) announced today that on December 3, 1999, it sold the M/V Europa Stardancer for One Million Eight Hundred Thousand Dollars ($1,800,000) to Stardancer Casino, Inc. The Company used the proceeds of the sale to pay $800,000 to First Union National Bank of Florida and to pay down a significant portion of the Company's remaining debt.

Deborah A. Vitale, President of Europa Cruises Corporation, commenting on the sale stated: ``We are extremely pleased to have been able to sell the Stardancer. The proceeds of the sale were used to reduce the Company's total debt by approximately $1.3 million. The sale has placed the Company on more stable financial footing. This is an important first step in realizing our goal of becoming an essentially debt-free, asset rich entity.''

Europa Cruises Corporation owns, operates and leases gambling ships. Until the sale of the Stardancer, the Company owned four vessels and chartered two of them, including the Stardancer. The Company now owns three vessels and charters one of its remaining vessels. The Company's gambling cruises offer Las Vegas style gaming including blackjack, slot machines, craps, and roulette in addition to dining, dancing and entertainment.

The Company, through its wholly-owned subsidiary, Casino World, Inc., intends to build a destination casino resort and hotel at its 404-acre site on the Bay of St. Louis in Diamondhead, Mississippi. The site, which is located immediately off Interstate 10, is adjacent to a site on which Mandalay Resort Group, previously known as Circus Circus Enterprises, Inc., also intends to develop a destination casino resort and hotel.

The business of the Company is subject to risks and uncertainties. The development of the Diamondhead, Mississippi project is also subject to risks and uncertainties which include those relating to permitting, financing, the activities of environmental groups, the outcome of litigation and the actions of federal, state, or local governments and agencies.

SOURCE: Europa Cruises Corporation