American Shared Hospital Services Signs Contract for 18th Gamma Knife Center with Northern Westchester Hospital.

Business Editors/Health/Medical Writers

SAN FRANCISCO--(BUSINESS WIRE)--April 10, 2003

AMERICAN SHARED HOSPITAL SERVICES (AMEX:AMS)(PCX:AMS), the world's largest provider of Gamma Knife(R) radiosurgery services, announced today that it has signed a contract with Northern Westchester Hospital ("NWH") in Mt. Kisco, New York, for its 18th Gamma Knife Center. Northern Westchester Hospital has filed a Certificate of Need application with the New York State Department of Health to certify this service.

Craig K. Tagawa, Chief Operating Officer of American Shared, said, "This Gamma Knife agreement will enable NWH to provide one of the most advanced treatments available to non-invasively treat malignant and benign brain tumors, vascular malformations and trigeminal neuralgia. The addition of the Gamma Knife to NWH's Center for Minimally Invasive Neurosurgery demonstrates their commitment to providing leading edge care to the people of Westchester, Putnam and Dutchess counties in New York. We are proud to announce NWH as our 18th Gamma Knife center."

"Providing the highest level of care in the comfort of a community setting is one of the things that differentiates Northern Westchester Hospital," said Joel Seligman, NWH President and CEO. "We look forward to offering this state-of-the-art technology to members of our community and the surrounding areas, so they can receive the treatment they need closer to home."

American Shared Hospital Services (www.ashs.com)

American Shared Hospital Services is building a profitable medical services company in an under served niche -- turnkey technology solutions for advanced radiosurgical procedures. The Company's core business is supplying hospitals with the Gamma Knife -- a non-invasive treatment for malignant and benign brain tumors, vascular malformations and trigeminal neuralgia (facial pain). The Gamma Knife, the gold standard in radiosurgery, reduces surgical risk and patient discomfort, resulting in a shorter hospital stay and lower risk of complications. In most cases, Gamma Knife patients resume their normal activities within a few days of treatment, compared to weeks or months for patients who undergo conventional surgery. More than 200,000 patients worldwide have already received this treatment. American Shared Hospital Services is the world leader in providing Gamma Knife radiosurgery services.

About Northern Westchester Hospital

Northern Westchester Hospital (NWH) is a 259-bed facility in Mount Kisco that offers state-of-the-art care in a community setting. With private rooms, dedicated clinical staff, and more than 500 highly qualified physicians, NWH offers a complete range of diagnostic, medical and surgical services. Special services include the Institute for Neurosciences -- Center for Minimally Invasive Neurosurgery; the new Interventional Radiology suite; a Breast Health program with certified mammography, breast ultrasound services, and stereotactic breast biopsy; Institute of Aesthetic Surgery and Medicine; the Center for Sleep Medicine; and a Level II Neonatal Intensive Care Unit (NICU); new, state-of-the-art operating rooms and an emerging center for integrative medicine.

NWH also offers a complete spectrum of cancer care services, and is developing a comprehensive cancer center that will house a state-of-the-art linear accelerator for radiation therapy; an infusion center; and a suite dedicated to providing resources for breast and prostate cancer patients.

For more information, visit www.nwhc.net.