Dr. Mary L. Livers Joins Avalon Management Team; Respected Industry Leader to Serve as Chief Operating Officer.

Business Editors

OKLAHOMA CITY--(BUSINESS WIRE)--May 14, 2001

Avalon Correctional Services, Inc. (Nasdaq:CITY), a leading owner and operator of private community correctional operations and specialized alternative programming, today announced that Dr. Mary L. Livers has joined the Company in the position of Chief Operating Officer.

Dr. Livers is responsible for providing leadership for all of Avalon's correctional operations in Oklahoma, Texas, and Colorado, including over 1,700 beds, and approximately 1,000 offenders enrolled in specialized programming. She will also direct the company's alternative programs, including community sentencing, day reporting, and pre-release programs.

"Dr. Livers' wealth of experience in the corrections industry gives her in-depth knowledge of the balance between employee skill development as well as business and operational objectives," said Donald E. Smith, President and CEO. "Her vast background in corrections, combined with her energy, commitment, and leadership, will propel our corrections efforts, attracting new contracting agencies, new alternative programming, and talented correctional professionals to Avalon."

Prior to joining Avalon, Dr. Livers was with the Oklahoma Department of Corrections for 19 years. Dr. Livers' career with the Department included serving as a Deputy Warden, Administrator, Warden, Deputy Director, Chief of Operations, Regional Director, and Associate Director. Prior to joining the Oklahoma Department of Corrections, Dr. Livers worked four years with the Arkansas Department of Corrections. Dr. Livers has a Bachelor of Science degree in Sociology/Psychology and a Master's degree in Social Work from Louisiana State University. She recently completed the Adult and Higher Education Doctoral Program at the University of Oklahoma.

Dr. Mary L. Livers is a Board of Governors Representative on the American Correctional Association Executive Committee. She is also a member of the Association of Women Executives in Corrections, the Southern States Correctional Association, the Oklahoma Correctional Association, and the National Association of Wardens and Superintendents.

Avalon Correctional Services, Inc. is a leading developer and manager of privatized community correctional facilities and correctional programming in the United States. Avalon currently has a total offender capacity of 1,700 beds in Oklahoma, Colorado and Texas, in addition to providing alternative programming for 1,000 offenders. For more information about Avalon, contact our web site at www.avaloncorrections.com or call 800/919-9113.