Steiner Leisure Limited Announces Agreement by Mandara Spa to Build and Operate the Spa at the Walt Disney World Swan and Dolphin Hotel in Orlando, Florida

NASSAU, The Bahamas | Steiner Leisure Limited (NASDAQ:STNR) today announced that its Mandara Spa division has entered into an agreement to build out and operate a luxury spa facility at the Walt Disney World Swan and Dolphin Hotel in Orlando, Florida owned by Tishman Realty & Construction Corporation and Met Life and managed by Starwood Hotels & Resorts Worldwide. Located in Orlando, Florida, the 2,267 guest room AAA Four Diamond Walt Disney World Swan and Dolphin is a premier resort complex situated on 87 acres of beautiful lakefront property in the heart of the Walt Disney World(R) Resort.

The terms of Mandara's lease of the facilities will be for 20 years (including renewals at the option of Mandara). The spa is situated within the resort and will blend the distinctive architecture of the resort with Mandara's signature contemporary-Balinese elements. The main spa facility will comprise treatment rooms and couples suites accented with Balinese inspired art and textiles. Additional features of the spa include a relaxation Tea Garden and Meditation Garden with lakefront views and balconies, men's and women's changing lounges, steam rooms, a sophisticated nail salon and a "hair spa" offering a complete array of beauty services in a single setting. A full compliment of spa services custom tailored for the unique Orlando setting and spa environment will be featured. Mandara estimates that the build-out will cost approximately $2.5 million.

Mandara estimates that the spa will open in Summer 2005.

Leonard Fluxman, President and Chief Executive Officer of Steiner Leisure, said "Starwood operates some of the finest resort facilities in the world. The Walt Disney World Swan and Dolphin in Orlando, Florida is no exception and we are extremely pleased to be able to continue to build our Mandara relationship with Tishman and Starwood at this magnificent destination."

Bill McCreary, President of Tishman Hotel Corporation, said, "We are pleased to continue our relationship with Steiner Leisure in this endeavor. The Mandara Spa will meet a growing demand of our guests and will provide an additional dimension of luxury options for them to enjoy."

Steiner Leisure Limited is a worldwide provider of spa services. The Company's operations include spas and salons on 114 cruise ships, at 53 resort spas and at two luxury day spas. In addition, we license the "Mandara" name for use at 12 resort spas in Thailand and two resort spas in China and we also license the "Greenhouse" name for use at a luxury day spa in New York City. Our cruise line and land-based resort customers include Carnival Cruise Line, 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 private label products, including La Therapie(R), Ionithermie, and Steiner Hair Care, are available at .

Steiner Leisure also owns and operates three post secondary schools (comprised of a total of seven campuses) located in Miami, Fort Lauderdale, Orlando and Sarasota, Florida; Baltimore, Maryland; York, Pennsylvania and Charlottesville, Virginia. Offering degree and non-degree programs in massage therapy and skin care, these schools train and qualify spa professionals for health and beauty positions within the Steiner family of companies or other industry entities.

Forward-Looking Statements

Our statements with respect to the proposed services at, and the estimated opening date of, our operations at the Walt Disney World Swan and Dolphin Hotel may be deemed to be forward-looking statements under the federal securities laws. Such statements are not guarantees of future performance and involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performances or achievements to differ materially from future results, performances or achievements expressed or implied in such forward-looking statements. Such factors include uncertainties beyond our control that could affect the timely construction of land-based spa facilities such as at the Walt Disney World Swan and Dolphin Hotel, including, in this case, our lack of control over the construction and the venue where the spa will be located and possible weather-related delays. Other risks are described in our filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K for 2003.