Steiner Leisure Limited Announces New Agreement to Operate Spas at Atlantis and One&Only Ocean Club Resorts
NASSAU, The Bahamas--June 6, 2006--Steiner Leisure Limited (Nasdaq:STNR) announced today that its premier luxury spa division, Mandara Spa, has entered into a new agreement with Kerzner International Bahamas Limited to continue to operate the luxury spas at Atlantis and One&Only Ocean Club resorts, both on Paradise Island in the Bahamas.
Under the new Atlantis agreement, Mandara would operate its spa at Atlantis within a new 30,000 square foot facility currently under construction. This new facility is anticipated to open in January 2007. The fitness facility operated by Mandara at Atlantis is also being expanded. The new lease for this spa expires in May 2016 and is subject to a five year renewal at Mandara's option. Mandara's prior Atlantis lease was scheduled to expire in December 2013. In connection with this new agreement, Mandara has agreed to contribute $15,600,000 toward the construction and fitting out of the new spa facility.
The new agreement provides for continuation of Mandara's operation of its spa at One&Only Ocean Club through its current expiration date of December 1, 2013 and also provides for a five year renewal term at the option of Mandara.
Leonard Fluxman, President and Chief Executive Officer of Steiner Leisure said, "We are delighted to be extending our relationship with Kerzner International and to participate in the development of the spectacular new spa and fitness facility at Atlantis. We look forward to continuing to provide unique and unsurpassed luxury spa services to guests at Atlantis and One&Only Ocean Club who have already experienced what Mandara has to offer as well as to new guests at our spas."
Atlantis, Paradise Island is a 2,317-room, ocean-themed destination resort built around a 34-acre waterscape and features the largest open-air marine habitat in the world. A major expansion that includes a 600-room all-suite luxury hotel and a significant enhancement to Atlantis water-based attractions is scheduled to open by Spring 2007.
As part of the prestigious One&Only collection of resorts, One&Only Ocean Club is known for its timeless elegance, absolute privacy and exceptional service.
Steiner Leisure Limited is a worldwide provider of spa services. The Company's operations include spas and salons on 124 cruise ships, and in 57 resort spas and two luxury day spas. Our cruise line and land-based resort customers include Carnival Cruise Lines, Caesars Entertainment, Celebrity Cruises, Crystal Cruises, Cunard/Seabourn Cruise Lines, Hilton Hotels, Holland America Line, Kerzner International, Marriott Hotels, Norwegian Cruise Lines, Princess Cruises and Royal Caribbean Cruises. Our Elemis Limited subsidiary manufactures its Elemis(R) brand products for use in our cruise ship and land-based spas. This top quality European line of beauty products is also distributed worldwide to exclusive hotels, salons, health clubs and destination spas. Elemis(R), as well as other Steiner products, including La Therapie(R), Ionithermie, and Steiner Hair Care, are available at http://www.timetospa.com.
Steiner Leisure owns and operates four post secondary schools (comprised of a total of 14 campuses) located in Miami, Orlando, Pompano Beach and Sarasota, Florida; Baltimore, Maryland; Charlottesville, Virginia; York, Pennsylvania; Salt Lake City and Lindon, Utah; Las Vegas, Nevada; Tempe and Phoenix, Arizona; and Westminster and Aurora, Colorado. Offering degree and non-degree programs in massage therapy and, in some cases, skin care, these schools train and qualify spa professionals for health and beauty positions within the Steiner family of companies or other industry entities.
Steiner Leisure's statements with respect to the opening date of the new spa at Atlantis and with respect to the scheduled opening date of the Atlantis expansion may be deemed to be forward-looking statements under the federal securities laws. Such statements do not guarantee the timely construction of this new spa or such scheduled opening as known and unknown risks and other factors may preclude results that match these statements. Such risks and factors include uncertainties beyond Steiner Leisure's control that could adversely affect the timely construction and final characteristics of land-based spas and their resort venues such as these, including Steiner Leisure's lack of control over the construction and the venue where the spa will be located and possible weather-related, or other delays. Other risks are described in the Company's filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for 2005.