Community Medical Transport awarded contracts for ambulance and ambulette services: Company Estimates Combined Contract Value at More Than $1 Million Annually.

YONKERS, N.Y.--(BUSINESS WIRE)--July 3, 1996--Community Medical Transport, Inc. (Nasdaq National Market:CMTI), a provider of comprehensive medical transportation services in the New York/New Jersey metropolitan area, today announced that its Freedom Ambulance and Community Ambulette subsidiaries have been awarded several service contracts with healthcare institutions in the Bronx, New York. Community believes that it was awarded these contracts as a result of its Community Managed Transport Initiative which was implemented in March 1996.

According to Dean L. Sloane, President and Chief Executive Officer of Community Medical, "Contracting services to one or a limited number of providers, as compared to on-demand services provided by multiple vendors, represents a growing trend among major healthcare facilities. We are proud that our expanded service capabilities and excellent reputation for quality care have allowed the Company to win these contracts and expect them to make a meaningful contribution to Community Medical's revenues going forward. In fact, based on transportation volume at Bronx Lebanon Hospital alone, we anticipate annual revenue contributions in excess of $1 million."

Bronx Lebanon Hospital Center, a 674-bed acute care hospital with two locations, has chosen Freedom Ambulance and Community Ambulette as its only contracted medical transpiration providers, under multi-year, renewable agreements commencing July 1996. These contracts call for Freedom and Community to be the primary provider of a full range of ambulance and ambulette transportation services to Bronx Lebanon Hospital Center, which provides more than 400,000 outpatient and 100,000 emergency treatments annually.

In addition, Freedom Ambulance and Community Ambulette have been chosen as service providers to Hebrew Hospital Home, a long-term care facility. Services to Hebrew Hospital commence July 8th. Effective June 1996, Freedom Ambulance commenced ambulance services under a contract with Westchester Square Medical Center, a private acute care hospital.

"It is important to note," added Mr. Sloane, "that these contracts have been awarded to our ongoing, core operations at Freedom Ambulance and Community Ambulette. We expect our third quarter results to begin to show the benefits of these new contracts. We believe we are extremely well positioned to compete for additional service contracts. Simultaneously, our recently rolled-out Community Managed Transport Initiative has attracted significant industry attention, and, we expect to close several acquisitions within the next sixty days. We are excited about the progress the Company is making on these many fronts."

The Company also announced that its Community Ambulette subsidiary has been awarded a four year contract to plan, administer and service the daily medical transportation needs of participants at centers affiliated with its clients, the Bronx and Westchester Developmental Disability Services Organizations ("DDSOs"). The Bronx and Westchester DDSOs offer day treatment and day training services to handicapped and disabled residents in their regions. Services provided to these DDSOs generated in excess of $1.5 million in revenues for the fiscal year ended December 31, 1995. Mr. Sloane noted, "Community's managed approach to transportation services positioned the Company as a prime candidate for this contract."

All forward looking information are estimates by the Company's management and are subject to various risks and uncertainties that may cause results to differ from management's current expectations. Such factors include the Company's ability to close pending acquisitions; changes in healthcare regulations and reimbursement policies; increased competition; and other risks as detailed from time to time in the Company's SEC reports and filings.

Community Medical Transport, Inc. currently provides medical (emergency and non-emergency) and other specialized transportation services in New York and New Jersey. The Company is dedicated to administering, managing and servicing the transportation needs of healthcare facilities, managed care providers and municipalities. Whether provided as a single transport or in a managed transportation program, Community Medical's services will be offered at fees that help its customers meet their cost containment objectives, with sensitivity to those patients in its care.

CONTACT: Community Medical Transport, Inc. -or- The Equity Group Inc.

Dean L. Sloane, President & CEO  Tamara Ehlin

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