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American Vantage Companies Announces Q3 Results

15 June 2000

LAS VEGAS--(Press Release)--June 14, 2000--American Vantage Companies (Nasdaq:AVCS - news; the``Company'') announced today the results of its operations for the three months ended April 30, 2000, the third quarter of its fiscal year ending July 31, 2000 (``Fiscal 2000'').

Due to the premature termination by the Table Mountain Tribe (``Tribe'') of agreements the Company had for providing consulting services to the Table Mountain Casino, revenues for the third quarter of Fiscal 2000 decreased. The Company had filed a lawsuit against the Tribe to recover damages as a result of the termination and the Tribe had filed a counter action against the Company.

In March 2000, the lawsuit was dismissed from the U.S. District Court for lack of subject matter jurisdiction. The Company is currently awaiting the opinion of a U.S. District Court judge to determine whether the suit can proceed in U.S. District Court. If the case cannot proceed in U.S. District Court, the Company intends to file a similar suit in the California Superior Court and will vigorously pursue its litigation against the Tribe to enforce the provisions of its contracts with the Tribe.

In the third quarter of Fiscal 2000, the Company recorded revenues of $889,000 as compared to revenues of $2,490,000 in the same period in Fiscal 1999. Revenues in the third quarter of Fiscal 1999 were comprised of casino consulting fees. The third quarter of Fiscal 2000 included restaurant revenues of $744,000 from the WCW Nitro Grill, which opened in May 1999 and is located in the Excalibur Hotel and Casino in Las Vegas, Nevada.

The Company's new 80% owned subsidiary, Placement 2000.Com, Inc. (``Placement 2000'') reported recruitment and Internet revenues of $145,000 for the third quarter. Placement 2000 is developing a website for a resume and job-posting database for information technology candidates as well as resume forwarding and recruitment ``split'' marketing websites. Placement 2000 also operates a traditional job recruitment business.

The Company's net loss for the third quarter of Fiscal 2000 was $610,000 or $0.12 per basic share compared to net income of $1,204,000 or $0.24 per basic share and $0.23 on a diluted basis for the third quarter of Fiscal 1999. The net loss for the nine months ended April 30, 2000 totaled $2,228,000 or $0.46 per basic share compared to net income of $2,921,000 or $0.58 per basic and $0.55 per diluted share for the nine months ended April 30, 1999.

                         FINANCIAL INFORMATION

                      American Vantage Companies
                      Consolidated Balance Sheets
                   April 30, 2000 and July 31, 1999

                                        April 30,            July 31,
                                           2000                1999
                                       (Unaudited)
 ASSETS
Current assets:
 Cash and cash equivalents                  $ 6,462,000   $12,626,000
 Accounts receivable                            149,000       191,000
 Mortgage notes receivable and accrued
  interest                                    3,183,000     1,500,000
 Refundable income taxes                      1,410,000       219,000
 Deferred income tax asset                       75,000       135,000
 Inventories                                    214,000       153,000
 Prepaid expenses                                49,000       376,000
  Total current assets                       11,542,000    15,200,000
Property and equipment, net                   1,976,000     2,029,000
Land held for investment or development       4,894,000     5,105,000
Investment in unconsolidated subsidiary       1,907,000       592,000
Deferred income tax asset                       123,000       191,000
Goodwill, net                                   277,000        36,000
Other assets - principally restricted
 cash in 2000                                   561,000        53,000
                                            $21,280,000   $23,206,000

 LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
 Accounts payable                           $   317,000   $   558,000
 Accrued expenses                               239,000       166,000
 Current portion of capitalized lease
  obligations                                    27,000          --
  Total current liabilities                     583,000       724,000
Long-term liabilities:
 Capitalized lease obligations, less
  current portion                                13,000          --
Minority interest in consolidated
 subsidiary                                     153,000          --
Commitments and contingency                        --            --
Stockholders' equity:
 Common stock, $.01 par; 30,000,000
  shares authorized; 4,887,000 shares
  issued and outstanding                         49,000        49,000
 Preferred stock, $.01 par; 10,000,000
  shares authorized; shares issued and
  outstanding - none                               --            --
 Capital in excess of par                     2,974,000     2,974,000
 Capital in excess of par - stock options       277,000          --
 Retained earnings                           17,231,000    19,459,000
                                             20,531,000    22,482,000
                                            $21,280,000   $23,206,000

-0-
                      American Vantage Companies
               Consolidated Statements of Income (Loss)
              Three Months Ended April 30, 2000 and 1999

                              (Unaudited)

                                               2000           1999

Revenues:
 Casino consulting fees                    $      --      $ 2,490,000
 Restaurant sales                              744,000           --
 Fees and commissions - recruitment and
  Internet                                     145,000           --
                                               889,000      2,490,000
Costs and expenses:
 Casino consulting                             130,000        438,000
 Restaurant operations                         987,000         86,000
 Death care operations                          15,000           --
 Recruitment and Internet operations           343,000           --
 General and administrative                    488,000        265,000
 Amortization and depreciation                  78,000          9,000
 Minority interest in consolidated
  subsidiary                                   (40,000)          --
 Loss of unconsolidated subsidiary              43,000           --
                                             2,044,000        798,000
 Income (loss) from operations              (1,155,000)     1,692,000
Other income (expense):
 Interest income                               251,000        252,000
 Interest expense                               (2,000)       (44,000)
 Miscellaneous                                   8,000         10,000
                                               257,000        218,000
 Income (loss) before income taxes            (898,000)     1,910,000
Income tax benefit (expense):
 Current:
  State                                         (9,000)       (81,000)
  Federal                                      308,000       (625,000)
 Deferred:
  State                                         (1,000)          --
  Federal                                      (10,000)          --
                                               288,000       (706,000)
 Net income (loss)                         $  (610,000)   $ 1,204,000
Earnings (loss) per common share:
 Basic                                     $     (0.12)   $      0.24
 Diluted                                   $     (0.12)   $      0.23
Weighted average number of common shares
 and common share equivalents:
 Basic                                       4,887,000      5,019,000
 Stock options and warrants                    101,000        239,000
 Diluted                                     4,988,000      5,258,000
-0-
                      American Vantage Companies
               Consolidated Statements of Income (Loss)
               Nine Months Ended April 30, 2000 and 1999
                              (Unaudited)

                                               2000            1999
Revenues:
 Casino consulting fees                    $      --      $ 6,660,000
 Restaurant sales                            2,537,000           --
 Fees and commissions - recruitment and
  Internet                                     282,000           --
                                             2,819,000      6,660,000
Costs and expenses:
 Casino consulting                             470,000      1,402,000
 Restaurant operations                       3,472,000        207,000
 Death care operations                         293,000         31,000
 Recruitment and Internet operations           569,000           --
 General and administrative                  1,617,000        991,000
 Amortization and depreciation                 222,000         25,000
 Minority interest in consolidated
  subsidiary                                   (56,000)          --
 Loss of unconsolidated subsidiary             235,000           --
                                             6,822,000      2,656,000
  Income (loss) from operations             (4,003,000)     4,004,000
Other income (expense):
 Interest income                               708,000        745,000
 Interest expense                               (2,000)       (44,000)
 Miscellaneous                                   9,000         10,000
                                               715,000        711,000
 Income (loss) before income taxes          (3,288,000)     4,715,000
Income tax benefit (expense):
 Current:
  State                                         (3,000)      (222,000)
  Federal                                    1,191,000     (1,572,000)
 Deferred:
  State                                        (49,000)          --
  Federal                                      (79,000)          --
                                             1,060,000     (1,794,000)
  Net income (loss)                        $(2,228,000)   $ 2,921,000
Earnings (loss) per common share:
 Basic                                     $     (0.46)   $      0.58
 Diluted                                   $     (0.46)   $      0.55
Weighted average number of common shares
 and common share equivalents:
 Basic                                       4,887,000      5,030,000
 Stock options and warrants                     67,000        276,000
 Diluted                                     4,954,000      5,306,000

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