Exhibit 99.1




               [Letterhead of American Real Estate Partners, L.P.]


Contact:  John P. Saldarelli
          Secretary and Treasurer
          (914) 242-7700

                              FOR IMMEDIATE RELEASE

                       AMERICAN REAL ESTATE PARTNERS, L.P.
             ACQUIRES REMAINING INTEREST IN STRATOSPHERE CORPORATION


Mount Kisco,  New York,  December 19, 2002 - American Real Estate Partners,
L.P.,  (NYSE:  ACP)  ("AREP")  and  Stratosphere  Corporation   ("Stratosphere")
announced  today that  American  Real Estate  Holdings  Limited  Partnership,  a
subsidiary of AREP, has acquired the remaining shares of Stratosphere  that AREP
does not  currently  own. The merger  closed today  pursuant to an agreement and
plan of merger  dated  February  1, 2002  following  a  special  meeting  of the
stockholders of Stratosphere at which the agreement was approved.

Under the agreement,  the stockholders  who are unaffiliated  with AREP and
Carl C.  Icahn will  receive a cash  price of $45.32  per  share,  and the Icahn
related  stockholders (other than AREP) will receive a cash price of $ 44.33 per
share. Stockholders of Stratosphere must submit their certificate and a properly
completed letter of transmittal to the paying agent in order to receive payment.
AREP will pay an aggregate  of  approximately  $44.3  million for the 49% of the
Stratosphere  shares that it does not already own. Mr. Icahn owns  approximately
86% of the outstanding equity interests in AREP.

This release contains certain forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995. Actual results may vary
due to the risks and  uncertainties  which exist regarding the matters contained
in the forward-looking statements.

Stratosphere Corporation owns and operates the Stratosphere Casino, Hotel &
Tower located in Las Vegas, Nevada.

American  Real  Estate  Partners,  L.P.  is a  master  limited  partnership
primarily  engaged in acquiring  and  managing  real estate  investments  with a
primary  focus on office,  retail,  industrial,  hotel,  gaming and  residential
properties.

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