Remaining Properties Affected by Storm to Reopen in Early 2006

Miami, FL, November 2, 2005 - Palace Resorts reports that four of its all-inclusive resorts located throughout Cancun and the Riviera Maya are slated to reopen before Christmas 2005, following damages sustained during Hurricane Wilma. The remaining Palace Resorts' properties in the region that were affected by the recent storm are expected to reopen as of February 1 st , 2006.

"Hurricane Wilma was an unwelcome visitor but our guests can be assured that our properties will be restored and refurbished to their original grandeur," said Roberto Chapur, President of Palace Resorts. "All of our facilities will offer the same high-quality and service that guests have come to expect and enjoy from Palace Resorts."

November 2005 Openings:

Aventura Spa Palace , located in the Riviera Maya region of Mexico, sustained only minor damages. T he North section of the resort, and all of this sector's restaurants, with the exception of the "El Greco" restaurant, will open on November 5 th . The entire property will become fully operational by November 30 th , when the south section of the resort reopens.

While Aventura Spa Palace is normally an adults-only property, the resort will allow children for a limited time from November 5 th - January 8 th to accommodate guests with prior reservations at other Palace properties that welcome families and are temporarily closed.

Aventura Spa Palace recently reopened the north section of the resort in early October 2005 following the passage of Hurricane Emily in late July. The grand reopening featured the launch of the new La Trattoria Restaurant to the numerous fine dining options that are available throughout the property.

December 2005 Openings:

Palace Resorts' newest property, Playacar Palace , is slated to open on December 18 th . T he nearby Playacar Spa & Golf Club , an 18-hole, par 72 course, is fully operational and t he spa located in the clubhouse at the Playacar Spa & Golf Club is expected to open by February 2006. Upon opening, the new resort will feature a 3,417 square foot convention center and is anticipated to offer weddings.

Beach Palace , which is located in Cancun's Hotel Zone, sustained little damage and will be fully operational on December 20 th .

Moon Palace Golf & Spa Resort is slated to reopen on December 20 th with approximately 1,500 rooms that are located throughout the property. Over the next 50 days, some of the rooms will undergo refurbishment and feature a refreshed décor upon opening. The Moon Spa & Golf Club will also reopen on the 20 th . The remaining 531 rooms, course clubhouse, golf suites and spa are slated to reopen on February 1 st when the entire resort becomes fully operational. All weddings have been temporarily suspended at Moon Palace Golf & Spa Resort until January 1 st . Scheduled ceremonies are being moved to Aventura Spa Palace based on availability.

February, 2006 Openings:

Palace Resorts' additional properties in Cancun's Hotel Zone are now closed and are expected to undergo repairs in the upcoming months. Sun Palace and Cancun Palace are slated to reopen on February 1 st . Upon reopening, Sun Palace is expected to feature a refreshed décor a nd a new spa and Cancun Palace will be home to a newly renovated lobby.

Palace Resorts continues to assess the damages at Cozumel Palace and no reopening date has been determined.

All of the above-mentioned dates are tentative and subject to change. Palace Resorts will continue to provide periodic updates on its website until all of the resorts are fully operational.

Palace Resorts , the company that set the standard in five-star, all-inclusive resort accommodations, offers six all-inclusive properties in Cancún and the Riviera Maya. In May of this year, Palace Resorts opened the new Cozumel Palace and in July the new Vallarta Palace, Palace's first property on Mexico's Pacific coastline. Le Blanc Spa Resort, a new luxury brand by Palace Resorts, debuted in August and the new Playacar Palace will open in December 2005.

For more information, contact (800) 635-1836 or visit www.palaceresorts.com .