Royal Olympic Announces Six-Month Results

Royal Olympic Cruise Lines Inc. reported a net loss for the first six months of the fiscal year 2000 of $10.2 million, an improvement of $2.3 million or 18.4 percent compared with the same period last year. The first half of the year is traditionally a very slow period for the area of the European cruise market in which Royal Olympic operates. The company expects to further improve its position in the rest of fiscal year 2000 and to report positive net income for the full year. The company plans to deploy its most recent delivery, the Olympic Voyager, in the Caribbean cruise market following the end of the summer and fall high seasons in the Aegean. The company also announced that on June 14, 2000 it entered into an amended agreement with the bank that is financing the company's two newly constructed cruise ships. The first of such cruise ships, the "Olympic Voyager," was delivered in June of this year. The second new building is expected in late spring or early summer of 2001. Under the terms of this agreement, the company is required to raise $20.0 million of additional equity by the end of the year. ROC Holdings Inc. and Louis Cruise Lines Ltd. have agreed with the bank to provide up to the full amount of the required $20 million equity investment. ROC Holdings owns 51.4 percent of the company and Louis Cruise Lines owns 70 percent of ROC Holdings.