SOURCE: Rural/Metro Corporation

Rural/Metro Corporation

April 26, 2010 07:00 ET

Rural/Metro Awarded Emergency & Non-Emergency Renewals in Indiana With Estimated Annual Revenues of $4.8m

SCOTTSDALE, AZ--(Marketwire - April 26, 2010) -  Rural/Metro Corporation (NASDAQ: RURL) announced today that it has been awarded a long-term renewal to continue as the exclusive provider of emergency ambulance services to the City of Greenwood, Indiana, as well as a renewal of its preferred provider contract with St. Francis Hospital and Health Centers Inc.

In Greenwood, Indiana, the four-year contract term began April 1, 2010 and contains a one-year optional renewal term thereafter, for a total possible length of five years. The contract is expected to generate an estimated $2.1 million in net revenue annually.

Rural/Metro and its predecessor company have provided ambulance services in Greenwood, Indiana for 29 years, providing nearly 3,000 transports annually. Greenwood is located in Central Indiana, southeast of Indianapolis, with a population of more than 47,000.

The contract with St. Francis Hospital and Health Centers for non-emergency services also began April 1, 2010 with a one-year initial term, followed by annual renewals thereafter. The contract is expected to generate an estimated $2.7 million in net revenue annually.

St. Francis Hospital and Health Centers is one of the largest healthcare systems in Indiana, with three main facilities in Indianapolis, Beech Grove and Mooresville, as well as the St. Francis Plainfield Health Center. Rural/Metro provides more than 6,000 non-emergency transports annually for patients receiving care at St. Francis facilities.

"We are gratified when long-term customers such as the City of Greenwood and St. Francis Hospital and Health Centers make the choice to retain Rural/Metro as their trusted provider of ambulance services," said Conrad A. Conrad, Interim President and Chief Executive Officer. "We look forward to continuing our record of service excellence for many years to come."

Bryan Gibson, Group President, added, "We are very pleased to be awarded new contract terms with both of these key customers. The greater-Indianapolis area is a growing market, and we look forward to continued expansion in the region."

John Karolzak, Regional Division General Manager, emphasized the strength of Rural/Metro's partnerships within the greater Indianapolis area and the commitment of local employees to providing exceptional care. "We work diligently in all of the communities we serve to deliver the highest quality care in an environment where patients come first. We have a great team of compassionate caregivers who are dedicated to meeting patients' needs in a timely and professional manner." 

About Rural/Metro Corporation

Rural/Metro Corporation provides emergency and non-emergency ambulance services and private fire protection services in 20 states and approximately 400 communities throughout the United States. For more information, visit Rural/Metro Corporation's web site at www.ruralmetro.com.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995

This press release includes forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Our use of words or phrases such as "believes," "anticipates," "expects," "plans," "seeks," "intends," "will likely result," "estimates," "projects," or similar expressions identify such forward-looking statements. All statements that address events or developments that we expect or anticipate will occur in the future, including statements that describe the Company's business strategy, outlook, objectives, plans, intentions or goals, including, but not limited to, anticipated revenues from a contract or expansion in a region, are forward-looking statements. All such forward-looking statements and those presented elsewhere by the Company's management from time to time are subject to certain risks and uncertainties that could cause actual results to differ materially from those in forward-looking statements. See risks and uncertainties described in "Risk Factors" included in the Annual Report on Form 10-K for the fiscal year ended June 30, 2009, filed with the Securities and Exchange Commission ("SEC") on September 9, 2009. A copy of all SEC filings may be obtained from the SEC's EDGAR web site at www.sec.gov, or the Company's web site at www.ruralmetro.com

(RURL/G)

Contact Information

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