Rural/Metro, in Partnership With City of San Diego, Wins 911 Contract to Serve Four San Diego County Communities.

Business Editors

SCOTTSDALE, Ariz.--(BUSINESS WIRE)--Aug. 16, 2001

Rural/Metro Corporation (Nasdaq:RURL) announced today that its partnership with the City of San Diego -- known as San Diego Medical Services Enterprise, L.L.C. -- has won the contract to provide exclusive 911 ambulance transportation services to the communities of Del Mar, Rancho Santa Fe, Encinitas and Solana Beach in Northern San Diego County.

The contract, valued at approximately $4 million over two years, includes two, two-year renewal options. The contract was won in a competitive bidding process that included the incumbent provider. Service begins Sept. 1, 2001.

Jack Brucker, Rural/Metro president and chief executive officer, said, "We are very pleased and honored to serve these communities and look forward to providing the excellent standard of care for which San Diego Medical Services Enterprise is known. This clearly demonstrates continued confidence and trust that the organization has earned throughout San Diego and Southern California." Rural/Metro and the City of San Diego formed a legal partnership in 1997, creating San Diego Medical Services Enterprise, a Limited Liability Corporation (SDMSE).

The four beachside communities represent a population of about 120,000 and comprise a 100-square-mile, tax-supported district known as County Service Area 17 (CSA 17). CSA 17 will pay $1.3 million annually to cover 911 services to its residents. Remaining revenue will be derived from transports provided to non-residents who receive 911 services within CSA 17. SDMSE will dedicate three Advanced Life Support ambulances and crews to CSA 17, as well as a community education and outreach specialist.

Robert "Boo" Heffner, president of Rural/Metro's West Emergency Services Group, added, "This represents very logical, profitable growth that not only strengthens our partnership in San Diego Medical Services Enterprise, but also demonstrates our shared commitment to expand our services within San Diego County."

Rural/Metro Corporation provides mobile health services, including emergency and non-emergency ambulance transportation, fire protection and other safety-related services to municipal, residential, commercial and industrial customers in more than 400 communities throughout the United States and Latin America.

Except for historical information contained herein, this press release contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include the ability to secure new contracts, retain existing contracts, improve operating margins, effectively manage labor costs, strengthen its collection process, and other factors and risks disclosed from time to time in the Company's SEC reports and filings.