EVCI Subsidiaries Recognized for Excellence; Turnaround Strategy Proving Fruitful; Management Maintains Outlook for Fourth Quarter Profitability

Business Wire, August 29, 2001

Business Editors/Hi-Tech Writers

YONKERS, N.Y.--(BUSINESS WIRE)--Aug. 29, 2001

Educational Video Conferencing, Inc.'s (Nasdaq:EVCI; PCX:EVI; BSE:EVI) strategy of acquiring educational institutions and providing its management expertise continues to provide value to its subsidiaries. Recently, both Interboro Institute and ICTS, Inc. received recognition for excellence in their programs.

The Manhattan-based Interboro Institute concluded an articulation agreement with Medgar Evers College, a senior college in City University of New York system to facilitate the transfer of Interboro's two-year graduates into baccalaureate studies at Medgar Evers. Under the terms of the agreement, students graduating from Interboro's associate degree programs in Business Management and in Accounting will be able to transfer a full sixty credits into Medgar Evers' Bachelor of Professional Studies program in Applied Management. The agreement evidences EVCI's commitment to enhancing the value of its degree programs.

Dr. John McGrath, president of EVCI, said, "We are pleased Medgar Evers College recognizes the quality of Interboro's degree programs. We believe this agreement demonstrates our ability to acquire and restructure educational institutions to improve the quality of education, while simultaneously enhancing profitability."

McGrath added, "The turnaround at Interboro has been dramatic and will serve as a springboard for our ongoing acquisition strategy."

Consistent with the Interboro story, The United States Secret Service, through Gregory Buckler, chief of the microcomputer networks branch of the secret service, awarded ICTS, Inc., EVCI's latest acquisition, and one of its instructor's Robert Vescio a Certificate of Appreciation, signed by the director of the United States Secret Service, both for outstanding teaching and for support provided to the agency in their efforts to upgrade their computer systems to Windows 2000.

The Secret Service contracted with ICTS to create a special class dedicated to training their personnel to transition to Windows 2000 and to train their network administrators and engineers to perform the upgrades. The award was part of the agency's policy to recognize outstanding contributions to its personnel. It is based upon assessments received from the students by the agency. The award was made during a recent, dedicated Secret Service class in session at the ICTS Quaker Lane facility in Alexandria, Virginia.

Dr. McGrath stated, "We are extremely proud that ICTS has been honored by the U.S. Secret Service. We value the efforts of Mr. Vescio and the entire ICTS staff."

McGrath went on to say, "We have begun to implement our plan for operating profitability at ICTS. While it is still early is this process, the initial results are encouraging. We do anticipate that ICTS will provide EVCI with growing revenues for fiscal 2001 while continuing to reduce expenses at the same time. With these improvements in our business, we believe we will achieve profitability from operations by the end of the year."

ICTS operates information technology training and certification centers in Atlanta, GA; Baltimore, MD; Alexandria, VA and Hampton, VA. For the last two calendar years, ICTS' revenues were approximately $8.7 million and $11.0 million respectively.

The forward-looking statements in this news release regarding management's optimism about EVCI's future, and Dr. McGrath's belief that EVCI will achieve profitability by year end reflect management's current views with respect to future events and are subject to certain assumptions, risks and uncertainties. These include: efforts to expand Interboro's activities and acquire other schools may not generate significant revenues or any profits; initial results at ICTS may not be indicative of future results; ICTS revenues may not grow and expenses may not decrease; competition for students is likely to increase; economic and market conditions may not be favorable for EVCI; EVCI's success may depend on its ability to obtain substantial additional financing; obtaining financing and growing by acquisition would be adversely affected if EVCI's common stock were delisted from Nasdaq because it can not achieve compliance with the minimum bid price requirement; and the other specific risk factors described in EVCI's filings with the SEC, including its most recent Forms 10-KSB/A. and 10-QSB. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated by any forward-looking statement. EVCI undertakes no obligation to update the information in this press release.