DEBBIE REYNOLDS HOTEL & CASINO, INC

For Immediate Release

     Las Vegas,  Nevada,  October 1, 1997 - Debbie Reynolds Hotel & Casino, Inc.
("DRHC"), a Nevada Corporation,  announces today that it has entered into a Deal
Point  Memorandum  with David A.  Siegel,  ("Siegel"),  individually,  Owner and
President of Westgate Resorts,  one of the largest  timeshare  developers in the
world and Debbie Reynolds, ("Reynolds"), individually.

     Pursuant  to the  Deal  Point  Memorandum  Siegel  will  arrange  a loan of
$15,650,000 to be secured by a first  mortgage on DRHC's  property and invest an
additional $3,000,000 of equity into DRHC. The $18,650,000 will be used, through
a plan of  reorganization,  to satisfy  debt,  renovate the  existing  property,
provide working capital and to recapitalize DRHC.

     In consideration for arranging the mortgage and investing the equity,  DRHC
will issue Siegel  shares of common stock  totalling 85% ownership in DRHC and a
warrant to purchase up to an additional  5,000,000  shares of common stock for a
term of 2 years with an exercise price ranging from $1.00 to $2.00 per share.

     As a condition precedent to arranging the mortgage and investing the equity
into DRHC,  Siegel is requesting that and Reynolds and the Hollywood Motion 
Picture and Television Museum, ("Hollywood"), a non-profit California 
Corporation, have agreed to enter into a 99 year space lease with DRHC which 
provides that Reynolds and the Hollywood Museum remain on the hotel  property 
for the duration of the lease.  The Reynolds lease will include the casino, 
showroom, museum, giftshop and bar.

     The obligation of DRHC,  Siegel, Reynolds and Hollywood to consummate this
transaction is expressly conditioned upon the execution of a binding letter of 
intent.

     All parties are committed to complete all remaining due diligence, take any
and all corporate  action and seek  governmental and bankruptcy court approvals,
if any, pertaining to the transactions  contemplated with a view to close in the
fourth quarter of 1997.

     On July 3,  1997 the  Company  filed for  relief  under  Chapter  11 of the
Bankruptcy  Code,  due to the  inability  of the Company to generate  sufficient
funds to cover,  on a timely  basis all of its  debts.  The  Company  is seeking
reorganization  of its debts.  Also  filing  were  subsidiary  companies  Debbie
Reynolds  Management  Company and Debbie Reynolds  Resorts,  Inc. In addition to
filing personal  bankruptcy  under Chapter 11, Miss Debbie Reynolds  resigned as
Chairman  of the  Board,  Director  and an Officer  of Debbie  Reynolds  Hotel &
Casino,  Inc., Debbie Reynolds  Management  Company and Debbie Reynolds Resorts,
Inc.

     It is the  intention  of DRHC to enter  into a binding  letter  of  intent,
formulate  a plan of  reorganization  and submit the plan to federal  bankruptcy
court for approval.

     Effective  September  30, 1997,  pursuant to a space lease  agreement  with
Capado Gaming Corporation,  a Nevada  Corporation,  Capado Gaming commenced a 25
slot machine gaming operation on DRHC's property.

For more information, please call Todd Fisher, CEO, (702) 734-0711.