HOUSTON, March 27, 2003 - Castle Dental Centers, Inc. (OTC Bulletin Board: CASL.OB) today announced that it has entered into a series of preliminary agreements to restructure its debt and re-capitalize the Company. Key elements of these agreements include the refinancing of the Company's current senior credit facility, the entry into a new five-year $16 million senior credit facility with GE Healthcare Financial Services, and the sale of $12 million in preferred stock to a new equity investor. The consummation of these transactions, which is subject to completion of definitive documentation and satisfaction of certain other conditions, would result in the new equity investor owning a majority of the common equity and voting rights in Castle Dental Centers.

James M. Usdan, president and chief executive officer, commented on the new agreements, "The completion of these preliminary agreements will represent the culmination of our debt restructuring efforts, which have been ongoing for more than two years. We have made significant progress in improving our operating performance and, with this new investment and the resulting substantial reduction in bank debt, we will begin to reinvest in our dental centers with the goal of eventually resuming controlled growth. GE Healthcare Financial Services has been instrumental in reaching an agreement to refinance our bank debt and we look forward to working with them as we continue our turnaround. We are very excited about this new opportunity."

There can be no assurance, however, that this restructuring will be consummated since the closing is subject to conditions beyond the Company's control, including, the negotiation, execution and delivery of definitive documentation for the restructuring by all required parties, including the Company's senior bank lenders and GE Healthcare Financial Services, the satisfaction of certain other conditions and the absence of any material adverse change affecting the Company's business.

Castle Dental Centers, Inc. develops, manages and operates integrated dental networks through contractual affiliations with general, orthodontic and multi-specialty dental practices in the U.S. Castle manages 77 dental centers with approximately 190 affiliated dentists in Texas, Florida, Tennessee and California with annual patient revenues of approximately $100 million.

Information contained in this press release, other than historical information, may be considered forward-looking in nature and is subject to various risks, uncertainties and assumptions. Among the key factors that may have a direct bearing on the Company are fluctuations in the economy, the degree and nature of competitions and the demand for the Company's services, changes in laws and regulations affecting the Company's business, the Company's inability at any time to complete acquisitions and integrate the operations of acquired businesses, and numerous other factors discussed in Castle Dental's filings with the Securities and Exchange Commission

Contacts

James M. Usdan
President, Chief Executive Officer
Castle Dental Centers, Inc.
713-490-8603

Joseph P. Keane
Chief Financial Officer
Castle Dental Centers, Inc.
713-490-8602