Rural/Metro Enters Into Amendment and Waiver to Its Senior Credit Facility; Provides Restateme... (45593 (464852) 938949 Inc...)

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Rural/Metro Enters Into Amendment and Waiver to Its Senior Credit Facility; Provides Restatement Details

Date:10/17/2007

45,593 (464,852) 938,949

Income Taxes (165,265) (145,289) 480,664

Total Adjustments to Net Income $ (119,672) $ (610,141) $ 1,419,613

Total Adjustments After-Tax per

Fully Diluted Share $ 0.00 $ (0.02) $ 0.06

Increase (decrease) to Net Income

Adjustments - After Tax 2004 2003 2002-Prior Total

Subscription Revenue $ (223,984) $ (191,489) $ (1,962,927) $ (2,084,816)

Operating Leases (251,617) (109,902) (363,145) (560,988)

Retirement Plan - - - (415,080)

Other Items 47,735 78,498 (980,946) (377,203)

(427,866) (222,893) (3,307,018) (3,438,087)

Income Taxes (242,746) (236,076) (758,383) (1,067,095)

Total Adjustments

to Net Income $ (670,612) $ (458,969) $ (4,065,401) $ (4,505,182)

Total Adjustments After-Tax per

Fully Diluted Share $ (0.03) $ (0.03)

Other Updates

Due to the ongoing nature of the restatement process, the Company is not providing interim updates on uncompensated care or other financial metrics for the three months ended September 30, 2007 until such time that all outstanding reports described above have been filed. The Company remains confident that previously outlined initiatives to reduce uncompensated care are progressing as expected.

About Rural/Metro

Rural/Metro Corporation provides emergency and non-emergency medical transportation, private fire protection, and other safety services in 23 states and approximately 400 communities throughout the United States. For more information, visit the Company's web site at http://www.ruralmetro.com.

Safe Harbor Provisions for Forward-Looking Statements

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