www.mandaraspa.com

HONOLULU - July 5, 2001 Mandara Spa, the world's leading luxury resort spa management company, is pleased to announce that it has entered into a definitive agreement with Steiner Leisure Limited STNR, the world's largest and most successful cruise ship spa operator, under which Steiner will acquire a 60% controlling interest in Mandara Spa LLC and Mandara Spa Asia Ltd. The transaction is expected to close in early July 2001. Shiseido Co., Ltd, the fourth largest cosmetics company in the wo rld, will retain the 40% interest in Mandara Spa it acquired in May, 2000.

Steiner's acquisition of a controlling interest in Mandara Spa creates a powerhouse in the five billon dollar North American spa industry. In addition to the Mandara Spa brand, Steiner now controls some of the world's most prestigious spa brand names: The Greenhouse Spa, a leading day spa operator with 12 spas in the US; Elemis Spa, a luxury international day spa operator with six day spas in the UK and Asia, and Steiner Spas, with over 100 cruise ship spas.

Thomas Gottlieb, who will continue to serve as the President and CEO of Mandara Spa, says, "The acquisition is a critical step in making the Mandara Spa brand the undisputed leader in the rapidly growing resort spa universe. We are delighted to be part of the first family of leading international spa brands, and pleased that Steiner sees the benefits of Mandara Spa maintaining its own unique Asian identity, brand name and management team."

"Mandara Spa has grown in five years to become the leading international operator of spas for luxury hotels, resorts and cruise ships. Going forward from here, with the support of the strong brand names and management teams at Steiner and The Greenhouse, we believe we will be able to further elevate the service and style that have made Mandara Spa so successful in the past. At the same time, we believe that there will be many synergies between Mandara Spa and Steiner's portfolio of other leading spa brands, and that, in turn, will further strengthen all of our brands," says Gottlieb, who founded Mandara Spa in 1995 with Mark Edleson, President and Chief Executive Officer of Mandara Spa Asia.

Leonard Fluxman, President and Chief Executive Officer of Steiner Leisure announced, "The purchase of a controlling interest in Mandara Spa is one more step in our strategy of diversifying our revenue and earnings base by extending our spa operations to the resort and day-spa market. It is also consistent with our intention of building a portfolio of brands to offer to our maritime and land-based clients and partners."

Says Fluxman, "Thomas Gottlieb has significant experience in the hospitality and spa arena. We look forward to working with Thomas and Mark Edleson to expand Mandara Spa's operations and the Mandara Spa brand."

Conde Nast Award winning Mandara Spa, founded in Bali, Indonesia in 1995, has been one of the pioneers of an exotic Asian Spa style, based on natural products, tropical settings and open-air spa suites for couples. This unique style, coupled with exceptional service, has enabled Mandara Spa to grow to over 50 spas worldwide in Aruba, the Bahamas, Hawaii, Indonesia, Las Vegas, Malaysia, the Maldives, Micronesia, Moorea, Tahiti and Thailand and aboard Silversea Cruises, Norwegian Cruise Line and Orient Lines. Mandara Spa has successfully partnered with many of the leading hotel management groups such as Hilton and Hilton International, Marriott, Sheraton, Westin, Park Place Entertainment, Sun International, Nikko, Accor, Imperial Hotels and other top hotel companies worldwide .

Steiner Leisure is the leading worldwide provider of spa services to the cruise industry. Operating spas and salons on 100 cruise ships aboard the fleets of Carnival, Royal Caribbean, Princess, Disney, Celebrity, Holland America and 18 other cruise lines, Steiner Leisure also manufactures its own beauty and skin care products.

For more information on Mandara Spa LLC, please visit www.mandaraspa.com. For more information on Mandara Spa Asia, please visit . For more information on Steiner Leisure, please visit , or contact Leonard I. Fluxman at (305) 358-9002.