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TUCSON, Ariz., March 24 /PRNewswire-FirstCall/ — The Providence Service Corporation today announced that its workforce development subsidiary, Ross IES, was awarded an $18 million annual contract by the Workforce Initiative Board in El Paso Texas. The contract was awarded through a competitive bid process.Workforce Development is a federally funded program by the U.S. Department of Labor that allocates money to cities that have formed Workforce Initiative Boards designed to contract for job development, training, job readiness and social skills in order to rehabilitate, train and place eligible beneficiaries into meaningful employment.”We are thrilled to be selected to assist El Paso in its workforce development initiatives,” said Providence Chairman and CEO, Fletcher McCusker. “When we entered this business, we believed our programs, accountability and success would allow us to build market share. Today, we have a history of execution in these programs, both in the US and Canada, and we look forward to additional opportunities for growth.”The contract, which is subject to final review and execution, is expected to start May 1, 2008 and will increase 2008 revenue by approximately $10 million and be accretive to earnings by approximately $0.02 per diluted share, assuming a ramp up period. In 2009, the contract is expected to add $0.09 to diluted earnings per share.The Innovative Employment Solutions (IES) Division of Ross Education was acquired by Providence in August 2006 and currently provides job readiness and job placement assistance to economically disadvantaged individuals and dislocated workers in Michigan, Pennsylvania, West Virginia, and New York. Providence also has workforce development operations in Canada through its acquisition of WCG International Consultants Ltd. in August 2007.About ProvidenceProvidence Service Corporation, through its owned and managed entities, provides home and community based social services and non-emergency transportation services management to government sponsored clients under programs such as welfare, juvenile justice, Medicaid and corrections. Providence does not own or operate beds, treatment facilities, hospitals or group homes, preferring to provide services in the client’s own home or other community setting. At December 31, 2007, it was estimated that the Company would provide a range of services to over 76,000 clients, with over 7 million individuals eligible to receive the Company’s services related to its LogistiCare operations. Providence maintains 948 contracts in 38 states, the District of Columbia and British Columbia and is estimated to have a nearly $1 billion book of business with managed entities capable of servicing over 8 million eligible members.Certain statements herein, such as any statements about Providence’s confidence or strategies or its expectations about revenues, results of operations, profitability, earnings per share, contracts, collections, award of contracts, acquisitions and related growth, growth resulting from initiatives in certain states, effective tax rate or market opportunities, constitute “forward-looking statements” within the meaning of the private Securities Litigation Reform Act of 1995. Such forward-looking statements involve a number of known and unknown risks, uncertainties and other factors which may cause Providence’s actual results or achievements to be materially different from those expressed or implied by such forward-looking statements. These factors include, but are not limited to, reliance on government-funded contracts, risks associated with government contracting, risks involved in managing government business, legislative or policy changes, challenges resulting from growth or acquisitions, adverse media and legal, economic and other risks detailed in Providence’s filings with the Securities and Exchange Commission, including its Form 10-K for the year ended December 31, 2007. Words such as “believe,”"demonstrate,”"expect,”"estimate,”"anticipate,”"should” and “likely” and similar expressions identify forward-looking statements. Readers are cautioned not to place undue reliance on those forward-looking statements, which speak only as of the date the statement was made. Providence undertakes no obligation to update any forward-looking statement contained herein. The Providence Service Corporation