Rural/Metro Awarded Exclusive 911 Ambulance Contract Renewal in San Diego, California

• Press Release
• Source: Rural/Metro Corporation
• On 7:00 am EDT, Wednesday July 29, 2009

SCOTTSDALE, AZ--(Marketwire - 07/29/09) - Rural/Metro Corporation (NASDAQ:RURL - News), a leading provider of ambulance and private fire protection services, announced today that it has once again been awarded the exclusive contract as the City of San Diego's partner in the provision of emergency ambulance services.

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Jack Brucker, President and Chief Executive Officer, said, "In more than a decade of service to the citizens of San Diego, we have demonstrated a record of responsive, reliable, high-quality care, and we are very proud to once again be selected as their trusted partner in the delivery of emergency ambulance services."

The San Diego City Council voted unanimously on Tuesday to enter into contract negotiations on the new five-year agreement with San Diego Medical Services Enterprise, L.L.C. (SDMSE), a partnership formed in 1997 between the San Diego Fire-Rescue Department and Rural/Metro Corporation.

The contract is expected to generate approximately $32.0 million in net revenue annually from emergency ambulance services. The initial contract term of five years is scheduled to begin on January 1, 2010, followed by one five-year optional renewal term thereafter, for a total possible contract length of 10 years.

SDMSE is the nation's first public-private ambulance partnership, providing innovative and high-quality 911 ambulance services organized as a limited liability corporation. SDMSE serves the citizens of San Diego with more than 550 employees and a fleet of more than 80 ambulances responding to more than 90,000 calls each year. As San Diego County's largest ambulance provider, the organization serves the cities of San Diego, Del Mar, Solana Beach, Encinitas, and Rancho Santa Fe.

Boo Heffner, President of the West Emergency Services Group, said, "We are very proud and pleased to continue serving the citizens of greater San Diego. Our commitment to the highest levels of quality ambulance care is directly supported by the unique and successful partnership we have built through the years with the City of San Diego."

Earlier this year, SDMSE earned national accreditation from the Commission on the Accreditation of Ambulance Services (CAAS) for demonstrating national standards of excellence for high-quality patient care.

Phil Forgione, Division General Manager and SDMSE Chief Executive Officer, added, "We have been a partner to this exceptional emergency medical services system for more than a decade. Our employees take great pride in excelling in their day-to-day work and building on the professional relationship and respect we share with the San Diego Fire-Rescue Department."

About Rural/Metro

Rural/Metro Corporation provides emergency and non-emergency ambulance services and private fire protection services in 22 states and approximately 400 communities throughout the United States. For more information, visit the Company's web site at www.ruralmetro.com.

SAFE HARBOR PROVISIONS FOR FORWARD-LOOKING STATEMENTS

The foregoing reflects the Company's views about its financial condition, performance and other matters that constitute "forward-looking" statements as such term is defined by the federal securities laws. Many of these statements are indicated by words such as "may," "will," "expect," "anticipate," "believe," "estimate," "should," "continue," "predict," "preliminary" and similar words used herein. The Company may also make forward-looking statements in its earnings reports filed with the Securities and Exchange Commission (SEC), earnings calls and other investor communications. These forward-looking statements are subject to the safe harbor protection provided by federal securities laws. These forward-looking statements are subject to numerous risks, uncertainties and assumptions, including those relating to the Company's future business prospects, working capital, cash flow, EBITDA, capital expenditures, payroll expense, repayment of debt, insurance coverage and claim reserves, unexpected governmental investigations, capital needs, operating results and compliance with debt facilities. In addition, the Company may face risks and uncertainties related to uncompensated care and its ability to collect its accounts receivable and other factors that are listed in its periodic reports filed under the Securities Exchange Act. Although the Company believes the expectations reflected in its forward-looking statements are based upon reasonable assumptions, because the statements are subject to risks and uncertainties, the Company can give no assurance that its expectations will be attained or that actual developments and results will not materially differ from those expressed or implied by the forward-looking statements. Readers are cautioned not to place undue reliance on the statements, which speak only as of the date hereof. The Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise, except as may be required by law.

(RURL/G)

 
CONTACT:
Liz Merritt
Rural/Metro Corporation
(480) 606-3337
Sharrifah Al-Salem, FD
(415) 293-4414