American Gem Corp. announces Michael Anthony Jewelers to continue American Sapphire program.

HELENA, Mont.--(BUSINESS WIRE)--Feb. 12, 1997--Michael Anthony Jewelers and American Gem Corp. announced Wednesday that Michael Anthony Jewelers would be continuing its American Sapphire program.

"Our American Sapphire Collection (TM) was introduced to U.S. consumers through our Christmas 1996 test markets," said Michael Paolercio, CEO of Michael Anthony Jewelers.

"Now we want to move the American Sapphire into additional mass market jewelers. We will be talking to major jewelry retailers at the Jewelers' Circular Keystone (JCK) Jewelry Show in Orlando, February 15th through February 18th."

Michael Anthony Jewelers plans to pursue a test of the American Sapphire on one of the television home shopping networks. "The American Sapphire is a natural for television home shopping," said Paolercio, "because it has such an interesting story associated with it.

"The fact that it is the only precious gem mined in large commercial quantities in the U.S., coupled with its brilliance and range of colors help impart a story that should be very interesting to television home shopping viewers."

Michael Anthony Jewelers is one of the largest karat gold jewelry manufacturers in the United States, and one of the largest gold rope chain manufacturers in the world.

"This successfully concludes the first major step towards market acceptance of this beautiful American Sapphire(TM), and we are delighted to continue to be associated with this premier manufacturer," stated Greg Dahl, CEO of American Gem Corp.

"We are excited to take the next significant step, which is moving forward with Michael Anthony to advance programs with major retailers."

CONTACT: American Gem Corp.

Greg Dahl, 406/442-4000, Fax: [phone]