EPIC RESORTS AND PSI ENTER INTO $75 MILLION AGREEMENT

Source: EPIC Resorts, LLC.

May 23, 1999
EPIC Resorts, LLC, has entered into a one-year, $75 million timeshare receivables purchase facility with an affiliate of Prudential Securities Incorporated. The agreement provides that the PSI affiliate will purchase from a special-purpose subsidiary of EPIC, without recourse to EPIC, up to $75 million of EPIC’s timeshare-receivables portfolio.

"This off-balance-sheet financing positions the company for significant future growth by providing immediate low-cost financing upon receivables generation and eliminates all debt from the balance sheet with the exception of the recent $130 million senior secured notes offering," says Thomas F. Flatley, president and chief executive officer of EPIC.

A nationwide developer and marketer of timeshare resorts in proven major tourist destinations, EPIC is based in King of Prussia, Pennsylvania. The company owns six resorts, in Daytona Beach, Florida; Lake Havasu City and Scottsdale, Arizona; Las Vegas, Nevada; Palm Springs, California; and Hilton Head, South Carolina. EPIC also operates off-site sales centers in Fresno, California, and Philadelphia, Pennsylvania.