Student Transportation (STA) Wins New Premier New Hampshire Busing Contract
Kearsarge Regional School District to Provide Fuel in
$8.4 million Five-Year, Renewable Pact
TORONTO (March 17, 2008) Student Transportation of America, Ltd. (STA), (TSX: STB, STB.UN) today announced that its STA-Goffstown location has been awarded an $8.4 million contract to provide transportation services for the Kearsarge Regional School District over the next five years.
The contract includes provisions for the school district to provide 100% of the fuel required. Like all contracts in New Hampshire, the district has the option to extend the agreement without a bidding process at the end of the five year period.
The school district provides bus and van transportation for seven schools serving the towns of Kearsarge, Bradford, Newbury, New London, Springfield, Sutton, Warner and Wilmot.
“We are pleased that, once again, strong recommendations from our current New Hampshire customers helped reassure the Kearsarge Board of Education on their decision,” said Michael Kennedy, regional chief operating officer for STA’s Atlantic Region. “Based on the strength of our good reputation, competitive pricing and long-standing history of quality service, we were unanimously chosen over incumbent First Student.”
With this new contract, STA continues to build regional density in New England while pursuing growth opportunities through acquisitions, bids and school district conversions throughout the United States and Ontario, Canada.
About Student Transportation
Founded in 1997, Student Transportation is the fourth-largest provider of school bus transportation services in North America, conducting operations through local operating subsidiaries. Student Transportation has become a leading school bus transportation company by aggregating operations through the consolidation of existing providers and conversion of in-house operations and currently operates more than 5,000 school vehicles in North America. For more information, please visit www.ips-sta.com
This news release contains “forward-looking statements” within the meaning of applicable securities laws, which reflects the expectations of management regarding STA’s results of operations, expense levels, cost of capital, financial leverage, seasonality, cash flows, performance, liquidity, borrowing availability, financial ratios, ability to execute the STA’s growth strategy and cash distributions. Forward-looking statements generally can be identified by the use of forward-looking terminology such as “may”, “will”, “expect”, “intend”, “track”, “targeted”, “estimate”, “anticipate”, “believe”, “should”, “plans” or “continue” or similar expressions suggesting future outcomes or events. These forward looking statements reflect STA’s current expectations regarding anticipated future events, results, circumstances, performance or expectations, which are not historical facts. Forward looking statements involve significant risks and uncertainties, and should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not or the times at which or by the performance or results will be achieved. A number of factors could cause our actual results to differ materially from the results discussed, expressed or implied in any forward-looking statement made by us or on our behalf, including, but not limited to the factors discussed under “Risk Factors” in our Annual Information Form. These forward looking statements are made as of the date of this news release and, except as required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.