MIAMI, June 3 -- Celebrity Cruises canceled a 14-night Northern
European cruise on Galaxy today to repair a damaged portside propeller. The
ship, which returned to port shortly after leaving Amsterdam Saturday, will
not sail its June 2-15 scheduled cruise, but will enter drydock instead in
Hamburg, Germany, to repair damages. Guests are being flown home and assisted
with other travel plans. Galaxy is expected to resume sailing June 16.

"We know that our guests are disappointed and we are terribly sorry that we
have caused them this disappointment," said Celebrity Cruises President
Richard Sasso. "We will certainly make every effort to minimize any
additional inconvenience."

To compensate guests for this disruption, all Galaxy guests will receive a
full refund for their cruise and airfare, plus a free cruise on a future
14-night sailing. Guests' travel agents also will receive their full
commission.

Special teams have been assembled and dedicated hospitality desks have been
set up onboard the ship to assist guests with their flights home. A Help Desk
also has been activated at Celebrity's Miami headquarters to answer general
inquiries. That number is 1-888-826-8495.

The canceled cruise is expected to have a negative impact on the Company's
earnings of between $.04 and $.05 per share.

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