ATC Healthcare Announces Receipt of Correspondence from AMEX Due to a Failure to Satisfy Continued Listing Requirements

  
    
  
  
    
      ATC Healthcare, Inc. (AMEX:AHN), 
      a leader in medical staffing, announced today that it received a letter 
      on January 31, 2008 from the American Stock Exchange (“AMEX”) 
      stating that the Company had failed to regain compliance with AMEX’s 
      continued listing requirements set forth in Sections 134 and 1101 of the 
      AMEX Company Guide by the January 24, 2008 deadline previously imposed 
      by AMEX, because the Company failed to timely file with the SEC its 
      Quarterly Report on Form 10-Q for the quarter ended August 31, 2007 (the “August 
      Form 10-Q). The Company was further advised that its failure to file its 
      Quarterly Report on Form 10-Q for the quarter ended November 30, 2007 
      (the “November Form 10-Q”) 
      has resulted in an additional deficiency under Sections 134 and 1101 of 
      the AMEX Company Guide.
    
    
      As previously disclosed in the Company’s 
      Current Reports on Form 8-K (filed on October 30, 2007 and November 27, 
      2007), the Company initially received notice from AMEX on October 24, 
      2007 advising that the Company’s delayed 
      filing of its August Form 10-Q was a violation of Sections 134 and 1101 
      of the AMEX Company Guide and, in order to maintain its AMEX listing, 
      the Company must submit a plan by November 7, 2007 advising AMEX of 
      action it has taken, or will take, that would bring the Company into 
      compliance. On November 6, 2007, the Company submitted a plan to AMEX 
      indicating that it would file the August Form 10-Q by January 24, 2008. 
      On November 21, 2007, AMEX notified the Company that AMEX had accepted 
      the Company’s plan to regain compliance with 
      the AMEX continued listing standards and granted the Company an 
      extension until January 24, 2008 to file its August Form 10-Q.
    
    
      The Company was not able to file the August Form 10-Q prior to its 
      January 24, 2008 deadline and has not filed the November Form 10-Q. By 
      letter to AMEX dated January 23, 2008, the Company proposed a revised 
      plan to file the August Form 10-Q by February 21, 2008 and the November 
      Form 10-Q by March 20, 2008. AMEX is currently in the process of 
      reviewing the Company’s proposed revised 
      plan. There can be no assurance that the Company can meet the deadlines 
      set by AMEX or otherwise maintain its AMEX listing.
    
    
      About ATC Healthcare, Inc.
    
    
      ATC is a national leader in medical staffing personnel to hospitals, 
      nursing homes, clinics and other healthcare facilities with 47 locations 
      in 25 states. ATC provides supplemental staffing, outsourcing and human 
      resource solutions to hospitals, nursing homes, medical and research 
      facilities and industry. Drawing from a pool of over 15,000 healthcare 
      professionals spanning more than 50 specialties, the company supplies 
      both clinical and non-clinical personnel for short-term, long-term, and “traveling” 
      contract assignments. To learn more about the company’s 
      services, visit their website at www.atchealthcare.com.
    
    
      Forward Looking Statements
    
    
      Certain statements contained in this release that are not statements of 
      historical facts are “forward-looking 
      statements” within the meaning of the Private 
      Securities Litigation Reform Act of 1995. The words — 
      “believe”, “expect”, 
      “anticipate”, “intend”, 
      “will”, and 
      similar expressions are examples of words that identify forward-looking 
      statements. Forward-looking statements include, without limitation, 
      statements regarding our future financial position, timing of future 
      revenue, business strategy and cost savings. These forward-looking 
      statements are based on our current beliefs, as well as assumptions we 
      have made based upon information currently available to us. These 
      forward-looking statements may be affected by the risks and 
      uncertainties in our business and are qualified in their entirety by the 
      cautionary statements and risk factor disclosure contained in our 
      filings with the Securities and Exchange Commission, including our 
      annual report on Form 10-K for the year ended February 28, 2007. We do 
      not assume, and expressly disclaim, any obligation to update these 
      forward-looking statements.