Riviera Holdings Corporation
                         2901 Las Vegas Boulevard South
                               Las Vegas, NV 89109
                       Investor Relations: (800) 362-1460
                               TRADED: AMEX - RIV
                               www.theriviera.com

FOR FURTHER INFORMATION:
AT THE COMPANY:                                      INVESTOR RELATIONS CONTACT:
Duane Krohn, Treasurer and CFO                  Betsy Truax, Skorpus Consulting
(702) 794-9527 Voice                                     (208) 241-3704 Voice
(702) 794-9442 Fax                                       (208) 232-5317 Fax
Email:  dkrohn@theriviera.com                            Email:  etruax@aol.com

FOR IMMEDIATE RELEASE:

                   RIVIERA REPORTS THIRD QUARTER 2000 RESULTS

         LAS VEGAS, NV - October 24, 2000 -- Riviera Holdings Corporation (AMEX:
RIV) today reported  financial results for the third quarter ended September 30,
2000.  Net revenues for the quarter were $51.4  million,  up 32 percent from net
revenues of $38.9 million in the third quarter of 1999.  EBITDA (Earnings Before
Interest,  Income Taxes,  Depreciation,  Amortization,  preopening expenses, and
other income and expense,  net) for the quarter was $7.0 million,  up 40 percent
from EBITDA of $5.0 million in 1999. The net loss increased from $2.2 million or
($0.43)  per share in the third  quarter of 1999 to $2.4  million or ($0.61) per
share in the  third  quarter  of 2000.  The loss per  share  increased  18 cents
primarily  due to the  repurchase  of 1.3 million  shares in the 12 months ended
September 30, 2000. The number of shares outstanding  decreased from 5.1 million
to 3.8 million.

For the first nine  months of 2000,  net  revenues  were $155.1  million,  up 29
percent  from net  revenues of $119.9  million in the first nine months of 1999.
EBITDA for the first nine months was $27.8 million, up 46 percent from EBITDA of
$19.1 million in 1999.  The Company's  net loss  decreased  from $2.8 million or
($0.56)  per share in the first nine  months of 1999 to $2.2  million or ($0.55)
per share in the first nine months of 2000.

Riviera  Holdings  Corporation  had cash  and  short-term  investments  of $56.4
million,  working  capital of $37.5  million and  shareholders'  equity of $20.1
million at September 30, 2000.

Third Quarter Highlights

- Riviera Las Vegas ADR up $6 or 13%
- Riviera Las Vegas EBITDA $6.0 million for the  quarter,  up 25%
- Riviera Las Vegas margins increase  2.5%
- Cash and short-term investments totaled $56.4 million
- Riviera Black Hawk revenues  increase 27% over the second quarter
- Riviera Black Hawk contributed $1.0 million in EBITDA