STATEN ISLAND, NY Sept. 16, 1998 - Atlantic Express Transportation Corp. Chairman, CEO and President Domenic Gatto, announced today that the Board of Directors of the Regional Transit District of Denver, Colorado voted to approve the award of a five-year $60.5 million contract to Atlantic Express to operate the Access-A-Ride ADA Paratransit service in the RTD Region.

This Paratransit contract is one of the largest in the country whereby RTD provides more than 500,000 trips a year with a fleet that would expand to 190 vehicles. Aside from operating the fleet, Atlantic's contract also includes computerization and scheduling systems.

Atlantic Paratrans, Inc., the operating subsidiary of Atlantic Express shall start providing the service in April 1999. The Company and RTD are looking forward to a smooth transition of operations from current provider, Laidlaw Transit Service, Inc. which has held the contract for five years now.

Atlantic Express, the third largest school bus company in North America, is also one of the largest providers of paratransit service having contracts with various transit authorities in major cities. Atlantic operates a modern fleet of over 4,300 vehicles providing service across the United States.

CEO and President Domenic Gatto said, "We are delighted to hear that RTD has decided to award this contract to us. As always, we will strive to provide the best service possible as we have always done in the past for our customers. This RTD contract marks our entry into the Rockies Region and is in line with our expansion and acquisition program. The addition of this contract will increase our annual revenue in excess of 300 million dollars."

For more information, contact: Domenic Gatto, CEO/President Tel. (718)-442-7000 ext.311