Staten Island, New York, November 6, 1998 - Atlantic Express Transportation Group, Inc. announced today that it has completed the transaction to acquire 100% of common stocks of the Fiore Group of Bus Companies, namely Fiore Bus Service Inc., Groom Transportation, R. Fiore Bus Service Inc., and McIntire Transportation, Inc.

Domenic Gatto, CEO and President of Atlantic Express said, "Atlantic's acquisition of the Fiore Bus Companies marks our company's entry into the Massachusetts market. Fiore's excellent reputation for quality service and its high contract renewal rate blend well with Atlantic's similar philosophy and track record. This acquisition is in line with our business strategy of having small to mid-size companies join our group to continue our expansion plan."

The Fiore companies provide school transportation services to 16 school districts located just a few miles north of Boston. The companies also provide charter and field trip services with its fleet of motorcoaches. They operate out of three facilities near Boston and maintain a fleet of 188 vehicles generating revenues of approximately $6.2 million annually.

The principals of the companies, Ernest Groom and Kathryn Fiore, a husband and wife team, together with their existing management and staff, shall continue to manage the companies. Domenic Gatto has also appointed Groom and Fiore to become members of the Atlantic Express Contractor's Advisory Board. They will assist in policies and service decisions.

Kathryn Fiore said, "For two years, we have been thinking of joining a large national company with an excellent reputation in the industry for providing top quality service. My father, Rudolph who founded our business 40 years ago, my husband Ernie and I have worked hard to establish the Fiore Bus Group as a reputable name in school busing in this region. From the large companies that we considered to join, we were fortunate to have met and were impressed with the Atlantic Express team of Domenic Gatto (CEO), Nat Schlenker (CFO), Noel Cabrera (EVP), and Jerry Dente (COO). We found that Atlantic and Fiore share the same ideals about quality work and customer satisfaction. This transaction provides us with additional financial security and flexibility while pursuing what we enjoy most - working with our valued employees, school districts and customers. We are confident that Fiore's name will continue to equate to excellence under the Atlantic Express umbrella."

Atlantic Express is the third largest provider of school bus transportation in the United States, with fiscal year 1999 revenues projected to surpass $300 million. It has 95 contracts with various school districts in New York, Missouri, California, Pennsylvania, Connecticut and New Jersey. In addition to school bus transportation operations, the Company provides public transportation services for physically and mentally challenged passengers, transportation for pre-kindergarten children and Medicaid recipients, express commuter line, charter and tour bus services, and bus sales, leasing and services. The acquisition of the Fiore companies will increase Atlantic's fleet to approximately 4,500 vehicles operating from 35 facilities. Atlantic Express is an American-owned, American-based company.

For additional information or for inquiries on joining the Atlantic Express Group, please contact: Domenic Gatto, CEO/President Tel. (718)-442-7000 ext.311