UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C.  20549

                                   FORM 10-QSB
                                   (Mark One)

     [X]  QUARTERLY report pursuant to Section 13 or 15(d) of the  
          Securities Exchange Act of 1934

          For the quarterly period ended June 30, 1997

                                       OR

     [ ]  TRANSITION report pursuant to Section 13 or 15(d) of the
          Securities Exchange Act of 1934

     For the transition period from          to
                                    --------    --------
                         Commission file number 0-26420
                                                -------

                         AMBASSADORS INTERNATIONAL, INC.
                         -------------------------------
             (Exact name of registrant as specified in its charter)

                     Delaware                              91-1688605
          -------------------------------              ------------------
          (State or other jurisdiction of               (I.R.S. Employer
          incorporation of organization)               Identification No.)

           Dwight D. Eisenhower Building
             110 South Ferrall Street
                Spokane, Washington                          99202
          -------------------------------              -----------------
               (Address of principal                       (Zip code)
                 executive offices)

     Registrant's telephone number, including area code: (509) 534-6200

     Indicate by check mark whether the registrant (1) has filed all
     reports required to be filed by Section 13 or 15(d) of the Securities
     Exchange Act of 1934 during the preceding 12 months (or for such
     shorter period that the registrant was required to file such reports),
     and (2) has been subject to such filing requirements for the past 90
     days.  Yes   X     No
                -----      -----

     Indicate number of shares outstanding of each of the issuer's classes
     of common stock, as of the latest practical date:

            Common shares outstanding as of July 31, 1997: 6,759,024

     This report, including all exhibits and attachments, contains 19
     pages.
     <PAGE>
                         AMBASSADORS INTERNATIONAL, INC.
                          FORM 10-QSB QUARTERLY REPORT


     Table of Contents

     PART I   FINANCIAL INFORMATION

     Item 1.  Consolidated Financial Statements (unaudited)

     Consolidated Balance Sheets at June 30, 1997 and December 31, 1996

     Consolidated Statements of Income for the Three and Six Months 
       Ended June 30, 1997 and 1996

     Consolidated Statements of Cash Flows for the Six Months Ended 
       June 30, 1997 and 1996

     Notes to Consolidated Financial Statements

     Item 2.  Management's Discussion and Analysis or Plan of Operation


     PART II  OTHER INFORMATION

     Item 4.  Submission of Matters to a Vote of Security Holders

     Item 6.  Exhibits and Reports on Form 8-K


     SIGNATURES
     <PAGE>
     PART I FINANCIAL INFORMATION
     Item 1. Consolidated Financial Statements (Unaudited)

     Ambassadors International, Inc.
     Consolidated Balance Sheets (Unaudited)
     June 30, 1997 and December 31, 1996


                                                  June 30,     December 31,
                                                  1997         1996
                                                  -----------  ------------
                        ASSETS

     Current assets:
       Cash and cash equivalents                  $36,650,557  $18,281,433
       Restricted cash equivalents                     88,000       55,000
       Investments                                      4,093      590,111
       Accounts receivable (including 
         $11,621 and $14,167 from officers 
         and employees)                             1,721,257    1,469,053
       Inventory                                      123,879      157,234
       Notes receivable, due within one 
         year                                         162,354
       Prepaid program costs and expenses           6,257,550    1,359,950
       Deferred income taxes                           31,601       24,584
       Other assets                                     3,539       12,892
                                                  -----------  -----------
           Total current assets                    45,042,830   21,950,257

     Property, plant and equipment, net             1,980,183    1,575,486
     Investment in joint venture                      262,500      262,500
     Goodwill, net of $312,544 and $115,567
       accumulated amortization                     3,259,091    3,338,224
     Covenant-not-to-compete, net of $36,899
       and $19,209 accumulated amortization           163,101      105,791
     Other assets                                      36,216       36,792
                                                  -----------  -----------
           Total assets                           $50,743,921  $27,269,050
                                                  ===========  ===========


     The accompanying notes are an integral part of the consolidated
       financial statements.
     <PAGE>
     Ambassadors International, Inc.
     Consolidated Balance Sheets (Unaudited), Continued
     June 30, 1997 and December 31, 1996



                                                  June 30,     December 31,
                                                  1997         1996
                                                  -----------  ------------
                    LIABILITIES AND
                  STOCKHOLDERS' EQUITY

     Current liabilities:
       Accounts payable                           $ 2,966,689  $ 1,764,002
       Accrued expenses                             2,991,596      822,927
       Participants' deposits                      22,552,111    5,138,772
       Customer advances                            1,228,448    2,396,578
       Note payable                                                201,146
                                                  -----------  -----------
           Total current liabilities               29,738,844   10,323,425

     Deferred income taxes                            163,044      163,044
                                                  -----------  -----------
           Total liabilities                       29,901,888   10,486,469
                                                  -----------  -----------
     Stockholders' equity:
       Preferred stock, $.01 par value; 
         2,000,000 shares authorized; 
         none issued and outstanding
       Common stock, $.01 par value; 
         authorized, 20,000,000 shares;
         issued and outstanding, 6,755,736
         and 6,753,887 shares                          67,558       67,539
       Additional paid-in capital                  13,641,902   13,625,279
       Retained earnings                            7,132,573    3,089,763
                                                  -----------  -----------
           Total stockholders' equity              20,842,033   16,782,581
                                                  -----------  -----------
           Total liabilities and stock-
             holders' equity                      $50,743,921  $27,269,050
                                                  ===========  ===========


     The accompanying notes are an integral part of the consolidated
       financial statements.
     <PAGE>
     Ambassadors International, Inc.
     Consolidated Statements of Income (Unaudited)
     for the three and six months ended June 30, 1997 and 1996

     <TABLE>
     <CAPTION>

                                                Six Months Ended          Three Months Ended
                                                June 30,                  June 30,
                                                ------------------------  -------------------------
                                                1997         1996         1997         1996
                                                -----------  -----------  -----------  ------------
     <S>                                        <C>          <C>          <C>          <C>
     Revenue                                    $13,715,100  $10,549,677  $11,733,447  $ 9,955,496
                                                -----------  -----------  -----------  -----------
     Operating expenses:
       Selling and tour promotion                 4,044,630    3,536,643    1,908,848    1,624,983
       General and administrative                 3,714,669    2,816,226    1,821,843    1,478,986
                                                -----------  -----------  -----------  -----------
                                                  7,759,299    6,352,869    3,730,691    3,103,969
                                                -----------  -----------  -----------  -----------
     Operating income                             5,955,801    4,196,808    8,002,756    6,851,527
                                                -----------  -----------  -----------  -----------
     Other income (expense):
       Interest expense                                (383)        (780)         (62)        (364)
       Interest and dividend income                 863,053      574,292      547,539      378,933
       Realized and unrealized gain (loss)
         on investments and other                  (472,146)     253,252     (210,633)      31,381
       Other, net                                       647      (54,043)         183      (54,116)
                                                -----------  -----------  -----------  -----------
                                                    391,171      772,721      337,027      355,834
                                                -----------  -----------  -----------  -----------
     Income before income taxes                   6,346,972    4,969,529    8,339,783    7,207,361
     Provision for income taxes                   2,304,162    1,689,781    2,918,917    2,450,503
                                                -----------  -----------  -----------  -----------
     Net income                                 $ 4,042,810  $ 3,279,748  $ 5,420,866  $ 4,756,858
                                                ===========  ===========  ===========  ===========
     Net income per share                       $      0.60  $      0.50  $      0.80  $       .72
                                                ===========  ===========  ===========  ===========
     Weighted average common shares outstanding   6,754,632    6,615,030    6,755,227    6,615,030
                                                ===========  ===========  ===========  ===========
     </TABLE>
     <PAGE>
     Ambassadors International, Inc.
     Consolidated Statements of Cash Flows (Unaudited)
     for the six months ended June 30, 1997 and 1996


                                                1997         1996
                                                -----------  -----------

     Cash flows from operating activities:
       Net income                               $ 4,042,810  $ 3,279,748
       Adjustments to reconcile net income
         to net cash provided by operating 
         activities:
           Depreciation and amortization            419,511      191,282
           Deferred income tax provision             (7,017)     454,666
           (Gain) loss on investments               472,146     (253,252)
           Loss on sale of property, plant
             and equipment                                           880
           Change in assets and liabilities,
             net of effects of purchases of
             subsidiaries:
               Restricted cash                      (33,000)     (10,000)
               Accounts receivable                 (252,204)     820,515
               Inventory                             33,355
               Prepaid program costs and 
                 expenses                        (5,129,460)  (3,941,573)
               Other assets                           9,812
               Proceeds from maturity of for-
                 ward foreign exchange contracts                 386,521
               Accounts payable and accrued 
                 expenses                         3,371,356      317,749
               Participants' deposits            17,413,339   11,331,534
               Customer advances                 (1,168,130)
                                                -----------  -----------
                   Net cash provided by 
                     operating activities        19,172,518   12,578,070
                                                -----------  -----------
     Cash flows from investing activities:
       Purchase of property, plant and 
         equipment                                 (609,541)    (215,333)
       Proceeds from sale of property, plant 
         and equipment                                             1,220
       Investment in joint venture                              (262,500)
       Cash (paid) received from acquisitions of
         subsidiaries, net                          (88,051)     147,314
       Payment for covenant-not-to-compete         (104,793)
       Maturity of investment                       345,732        5,000
       Amounts received (paid) on notes 
         receivable, net                           (162,237)       1,157
                                                -----------  -----------
                   Net cash used in investing 
                     activities                    (618,890)    (323,142)
                                                -----------  -----------
     <PAGE>
     Ambassadors International, Inc.
     Consolidated Statements of Cash Flows (Unaudited), Continued
     for the three months ended June 30, 1997 and 1996


                                                1997         1996
                                                -----------  -----------

     Cash flows from financing activities:
       Payment of notes payable                 $  (201,146) $    (4,262)
       Cash received from exercise of stock
         options                                     16,642
                                                -----------  ------------
                   Net cash used in financing
                     activities                    (184,504)      (4,262)
                                                -----------  -----------
     Net increase in cash and cash 
       equivalents                               18,369,124   12,250,666
     Cash and cash equivalents, beginning 
       of period                                 18,281,433   12,974,252
                                                -----------  -----------
     Cash and cash equivalents, end of 
       period                                   $36,650,557  $25,224,918
                                                ===========  ===========


     The accompanying notes are an integral part of the consolidated 
       financial statements.
     <PAGE>
     AMBASSADORS INTERNATIONAL, INC.
     NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


     1.  BASIS OF PRESENTATION

         The consolidated financial statements included herein have been
         prepared by Ambassadors International, Inc. (the Company), without
         audit, pursuant to the rules and regulations of the Securities and 
         Exchange Commission.  Certain information and footnote
         disclosures, normally included in financial statements prepared in
         accordance with generally accepted accounting principles, have
         been condensed or omitted as permitted by such rules and
         regulations.  The Company believes the disclosures included herein
         are adequate; however, these consolidated financial statements
         should be read in conjunction with the financial statements and
         the notes thereto for the year ended December 31, 1996 previously
         filed with the Securities and Exchange Commission on Form 10-KSB.

         In the opinion of management, these unaudited, consolidated 
         financial statements contain all of the adjustments (normal and 
         recurring in nature) necessary to present fairly the consolidated 
         financial position of the Company at June 30, 1997, the
         consolidated results of operations for the three- and six-month 
         periods ended June 30, 1997 and 1996 and the consolidated cash 
         flows for the six-month periods ended June 30, 1997 and 1996.  The
         results of operations for the periods presented may not be
         indicative of those which may be expected for the full year.


     2.  PRINCIPLES OF CONSOLIDATION

         The Company was incorporated in the state of Washington in 1967
         and was reincorporated on August 4, 1995 in the state of Delaware. 
         The consolidated financial statements include the accounts of 
         Ambassadors International, Inc. and its subsidiaries, Ambassador
         Programs, Inc. (API), The Helin Organization (Helin), and
         Ambassador Performance Group, Inc. (APG). Hereafter, API may be
         referred to as Ambassadors Education Group; Helin, individually,
         may be referred to as Ambassadors Performance Group - Newport
         Beach. APG may be referred to as Ambassador Performance Group -
         Minneapolis; and collectively, Helin and APG may be referred to as
         the Ambassador Performance Group.  All significant intercompany
         accounts and transactions are eliminated in consolidation.

     3.  INCOME TAXES

         For the six months ended June 30, 1997 and 1996, the Company
         recorded an income tax provision of approximately $2,304,000 and
         $1,690,000, respectively, to reflect the income tax provision for
         the net operating income at the estimated effective federal rate.
     <PAGE>
     AMBASSADORS INTERNATIONAL, INC.
     NOTES TO CONSOLIDATED FINANCIAL STATEMENTS


     4.  INVESTMENTS

         Included in investments is available for sale equity securities in
         the amounts of $224,315 and $590,111 at June 30, 1997 and
         December 31, 1996, respectively.  At June 30, 1997, unrealized
         losses on foreign currency forward contracts of $220,222 are also
         included in investments.
     <PAGE>
     Item 2. Management's Discussion and Analysis or Plan of Operation

     This Quarterly Report on Form 10-QSB contains forward-looking
     statements.  A forward-looking statement may contain words such as
     "will continue to be," "will be," "continue to," "expect to,"
     "anticipates that," "to be" or "can impact." Management cautions that
     forward-looking statements are subject to risks and uncertainties that
     could cause the Company's actual results to differ materially from
     those projected in forward-looking statements.

     COMPARISON OF THREE MONTHS ENDED JUNE 30, 1997 TO THE THREE MONTHS
     ENDED JUNE 30, 1996

     During the first quarter of 1996, the Company and its subsidiary
     acquired two other companies which operate travel programs.  Although
     these companies contributed to the gross program receipts and revenue
     of the consolidated group in the first six months of 1996, due to the
     timing of the acquisitions and future changes which management plans
     to make to the operations of these companies, management believes that
     the future contribution of these two acquisitions will increase.

     GROSS PROGRAM RECEIPTS AND REVENUES
     -----------------------------------
     Gross program receipts increased to $35.5 million in the second
     quarter of 1997 from $27.9 million in the second quarter of 1996. 
     This increase can be principally attributed to a 16% increase in the
     number of API program participants, a slight increase in program
     participants for the Ambassador Performance Group as well as an
     acquisition in this line of business in late 1996.  The number of
     program participants traveling during the second quarter of 1997 was
     8,727 compared to 7,622 in the comparable 1996 period.

     The 27% increase in gross program receipts, coupled with a slightly
     lower proportional increase in program costs, resulted in an 18%
     increase in revenues to $11.7 million in 1997 from $10.0 million in
     1996.

     SELLING AND TOUR PROMOTION EXPENSES
     -----------------------------------
     The Company's policy is to expense all selling and tour promotion
     costs as they are incurred.

     For the second quarter of 1997, selling and tour promotion expenses
     were $1.9 million compared to $1.6 million in the prior year.  This
     increase is principally the result of the Ambassador Performance Group
     acquisition and the assumption of their marketing costs, coupled with
     significant decreases in marketing expenses for the Ambassadors
     Education Group.
     <PAGE>
     GENERAL AND ADMINISTRATIVE EXPENSES
     -----------------------------------
     General and administrative expenses increased to $1.8 million in 1997
     from $1.5 million in 1996.  This increase is a combination of the
     increased costs associated with the aforementioned acquisition
     partially offset by an overall decrease in general and administrative
     expenses of the other existing entities.

     OTHER INCOME/EXPENSE
     --------------------
     Other income primarily consists of foreign currency gains or losses
     and interest income. Net other income decreased an insigificant amount
     in the second quarter of 1997 in comparison to the second quarter of
     1996.  The majority of this decrease can be attributed to an
     unrealized foreign exchange loss in 1997 compared to a gain in 1996,
     which was partially offset by increased interest income earned through
     cash management policies implemented in 1997.

     INCOME TAXES
     ------------
     The Company has recorded an income tax provision of approximately $2.9
     million for the quarter ended June 30, 1997 in comparison to
     approximately $2.5 million income tax provision for the quarter ended
     June 30, 1996.  The income tax provision is based on the estimated
     annual effective tax rate of 35% and 34% for 1997 and 1996,
     respectively.

     NET INCOME AND EARNINGS PER SHARE
     ---------------------------------
     The above factors resulted in the Company reporting net income of $5.4
     million or $.80 per share for the second quarter of 1997 compared to
     net income of $4.8 million or $0.72 per share in the comparable 1996
     quarter.

     SEASONALITY
     -----------
     Due to the seasonality of the core business of Ambassadors
     International, Inc., the first and fourth quarters of the fiscal year
     have significantly fewer programs traveling than the second and third
     quarters of the year.  Thus, the net income reported in the second
     quarter of 1997 may not be representative of future quarters.

     COMPARISON OF SIX MONTHS ENDED JUNE 30, 1997 TO THE SIX MONTHS ENDED
     JUNE 30, 1996

     GROSS PROGRAM RECEIPTS AND REVENUES
     -----------------------------------
     Gross program receipts increased to $43.1 million in 1997 from $30.1
     million in 1996.  This increase can be principally attributed to the
     increase in the number of program participants and the acquisition of
     Ambassador Performance Group - Minneapolis in late 1996.
     <PAGE>
     The number of program participants traveling during the six months
     increased to 9,724 in 1997 from 8,526 in 1996.  This 14% increase in
     program participants was the principal cause of the 30% increase in
     revenues for the first six months of 1997 in comparison to the same
     period in 1996.

     SELLING AND TOUR PROMOTION EXPENSES
     -----------------------------------
     Selling and tour promotion expenses for the first six months of 1997
     increased from 1996 by $0.5 million.  This increase can be primarily
     attributed to an acquisition in the Ambassador Performance Group
     although existing entities had a slight decrease in overall selling
     and tour promotion expenses.

     GENERAL AND ADMINISTRATIVE EXPENSES
     -----------------------------------
     General and administrative expenses increased to $3.7 million for the
     first six months of 1997 from $2.8 million for the first six months of
     1996.  This increase is principally due to costs associated with the
     aforementioned acquisition, which were partially offset by an overall
     decrease in expenses of the existing entities.

     OTHER INCOME/EXPENSE
     --------------------
     Other income primarily includes foreign currency gains or losses and
     interest income.  Other income decreased $0.4 million for the first
     six months of 1997 in comparison to the same period in 1996.  The
     majority of this decrease is due to foreign currency losses of $0.5
     million in 1997, which were partially offset by increased interest
     income earned on cash received from cash management practices in 1997. 
     The Company recognized a $0.3 million unrealized gain on its foreign
     currency financial instruments in the first half of 1996.

     The Company enters into forward foreign exchange contracts and foreign
     currency option contracts to offset certain operational exposures from
     changes in foreign currency exchange rates.  These foreign exchange
     contracts and options are entered into to support normal recurring
     purchases, and accordingly, are not entered into for speculative
     purposes.  Forward foreign exchange contracts are utilized to manage
     the risk associated with currency fluctuations on certain purchase
     commitments.  The Company is exposed to credit risk under the forward
     contracts and options to the extent that the counterparty is unable to
     perform under the agreement.  The Company anticipates hedging the
     majority of its foreign currency risk in future periods.  There can be
     no assurance that the Company's hedging strategies will be successful
     in mitigating the impact of foreign currency fluctuations.  Most of
     the Company's forward contracts and options matured prior to June 30,
     1997 as foreign currencies were needed for summer travel programs. 
     The face amount of forward foreign exchange contracts outstanding at
     June 30, 1997 was $0.9 million.
     <PAGE>
     INCOME TAXES
     ------------
     The Company has recorded an income tax provision of approximately $2.3
     million for the six months ended June 30, 1997 in comparison to $1.7
     million income tax provision for the six months ended June 30, 1996. 
     The income tax liability is based on the estimated annual effective
     tax rate of 35% and 34% for 1997 and 1996, respectively.

     NET INCOME AND EARNINGS PER SHARE
     ---------------------------------
     The above factors resulted in the Company reporting net income of $4.0
     million or $.60 per share for the six months ended June 30, 1997
     compared to net income of $3.3 million or $0.50 per share for the
     comparable 1996 period.

     LIQUIDITY AND CAPITAL RESOURCES
     -------------------------------
     The Company's business is not capital intensive.  However, the Company
     does retain funds for operating purposes in order to conduct sales and
     marketing efforts for future programs and to facilitate acquisitions
     of other companies.

     Net cash provided by operations for the six months ended June 30, 1997
     and 1996, respectively, was approximately $19.2 million and $12.6
     million.  The increase in cash flows from 1996 to 1997 can be
     attributed to the timing of cash receipts from participants and the
     increase in the number of participants.

     During the six months ended June 30, 1997, the Company used
     approximately $0.6 million in investing activities, which partially
     related to the costs for the remodeling of the Company's corporate
     headquarters building.  The Company does not have any material capital
     expenditure commitments for the ensuing year.  However, the Company is
     continuing to pursue further acquisitions of related travel businesses
     that will require some of its available cash and cash equivalents.

     The Company had no significant long- or short-term debt as of June 30,
     1997.  The Company has a credit facility available with Seafirst Bank
     for $12.0 million (U.S.) for foreign currency purchases and forward
     contracts.

     At June 30, 1997, the Company had approximately $36.7 million of cash
     and cash equivalents.  Management believes cash flows from operations
     will be sufficient to fund the Company's anticipated operating needs,
     capital expenditures and acquisitions for the ensuing year.
     <PAGE>
     FOREIGN CURRENCY; HEDGING POLICY
     ---------------------------------
     The substantial majority of the Company's programs take place outside
     of the United States and most foreign suppliers require payment in
     their own currency rather than U.S. dollars.  Accordingly, the Company
     is exposed to foreign currency risks in certain countries as foreign
     currency exchange rates between those currencies and the U.S. dollar
     fluctuate.  In 1993, the Company initiated a program to hedge against
     these foreign currency risks in the currencies of countries in which
     the largest amount of program pass-through expenses are denominated in
     foreign currency.  To hedge against foreign currency risks, the
     Company has used forward contracts which allow the Company to acquire
     the foreign currency at a fixed price for a specified period of time. 

     The Company also uses foreign currency call options which provide the
     Company with the option to acquire certain foreign currencies at a
     fixed exchange rate and time period.  Concurrent with the purchase of
     a foreign currency call option, the Company sells a foreign currency
     put option to minimize the net premium paid for the call option.  The
     strike prices on these options generally straddle the exchange rate at
     the time the options are purchased and sold.  Additionally, the
     Company purchases futures contracts to similarly hedge its foreign 
     currency risk.  The Company is exposed to credit risk under the
     forward contracts and options to the extent that the counterparty is
     unable to perform under the agreement.  The Company anticipates
     hedging the majority of its foreign currency risk in future periods. 
     There can be no assurance that the Company s hedging strategies will
     be successful in mitigating the impact of foreign currency
     fluctuations.

     NEW ACCOUNTING PRONOUNCEMENTS
     -----------------------------
     In February 1997, Statement of Financial Accounting Standards No. 128
     (SFAS 128), "Earnings Per Share" was issued. SFAS 128 establishes
     standards for computing and presenting earnings per share (EPS) and
     simplifies the existing standards. This standard replaces the
     presentation of primary EPS with a presentation of basic EPS. It also
     requires the dual presentation of basic and diluted EPS on the face of
     the income statement for all entities with complex capital structures
     and requires a reconciliation of the numerator and denominator of the
     diluted EPS computation. SFAS 128 is effective for financial
     statements issued for period ending after December 15, 1997, including
     interim periods and requires restatement of all prior-period EPS data
     presented. The Company does not believe the application of this
     standard will have a material effect on the presentation of its EPS.

     In June 1997, the Financial Accounting Standards Board (FASB) issued
     SFAS No. 130, "Comprehensive Income" (SFAS No. 130).  SFAS No. 130
     becomes effective in 1998 and requires reclassification of earlier
     financial statements for comparative purposes.  SFAS No. 130 requires
     that amounts of certain items, including foreign currency translation
     adjustments and gains and losses on certain securities, be included in
     comprehensive income in the financial statements.  SFAS No. 130 does
     not require a specific format for the financial statement in which
     comprehensive income is reported, but does require that an amount
     representing total comprehensive income be reported in that statement. 
     Management has not yet determined the effect, if any, of SFAS No. 130
     on the consolidated financial statements.
     <PAGE>
     Also in June 1997, the FASB issued SFAS No. 131, "Disclosures about
     Segments for an Enterprise and Related Information" (SFAS No. 131). 
     This Statement will change the way public companies report information
     about segments of their business in their annual financial statements
     and requires them to report selected segment information in their
     quarterly reports issued to shareholders.  It also requires entity-
     wide disclosures about the products and services an entity provides,
     the material countries in which it holds assets and reports revenues,
     and its major customers.  The Statement is effective for fiscal years
     beginning after December 15, 1997.  Management has not yet determined
     the effect, if any, of SFAS No. 131 on the consolidated financial
     statements.


     PART II OTHER INFORMATION

     Items 1, 2, 3 and 5 are not presented as they are not applicable.

     Item 4.  Submission of Matters to a Vote of Security Holders

     At the annual meeting of shareholders on May 16, 1997, the
     shareholders elected the following directors:

                                For             Withheld
                                ---------       --------
     John A. Ueberroth          5,905,295       5,250
     James L. Easton            5,902,324       8,221

     Item 6. Exhibits and Reports on Form 8-K.

             Exhibits: 27 - Financial Data Schedule

             Reports on Form 8-K:

             No reports on Form 8-K were filed during the quarter ended
             June 30, 1997.
     <PAGE>
     SIGNATURES


     Pursuant to the requirements of the Securities Exchange Act of 1934,
     the registrant has duly caused this report to be signed on its behalf
     by the undersigned thereunto duly authorized.


     AMBASSADORS INTERNATIONAL, INC.


     Date: August 14, 1997         By: /s/ Jeffrey D. Thomas
                                       ----------------------------------
                                       Jeffrey D. Thomas, 
                                       Chief Financial Officer
<PAGE>