Conmed Healthcare Management, Inc. (NYSE Amex: CONM), a leading full service provider of correctional facility healthcare services to county detention centers, today announced that it has signed an agreement with Howard County, Maryland for an initial one-year term with options for nine one-year extensions, which are at the County's option effective July 1, 2012. This new contract, with an existing customer, is expected to generate over $16 million in revenues for Conmed throughout the terms of the contract, with the initial annual rate of $1.6 million plus annual price increases based on the Consumer Price Index. The contract provides a full suite of medical services including medical, dental, mental health and administrative staffing; pharmacy, laboratory and mobile X-ray services; management of hospitalization and other out-of-facility services for the inmates, plus installation of electronic medical records (EMR). The jail currently houses approximately 320 inmates.

"We are very pleased to announce this new agreement with Howard County, a Conmed client since 2005," commented Dr. Richard Turner, Chairman and Chief Executive Officer of Conmed. "This contract is another testament of our remarkable client retention record and repeat business, which reflects Conmed's continued commitment to bring quality care to correctional facilities. It also exemplifies our strategy to cross-sell new service offerings to existing clients. We look forward to implementing EMR for Howard County and continuing our long-term relationship with them, providing quality medical and healthcare services to detainees."

About Howard County

Howard County is located between Baltimore and Washington in the "heart" of Maryland and was named after John Eager Howard, a Revolutionary War hero and the fifth Governor of Maryland. In 2010, Money Magazine ranked Howard County #2 on its list of "America's Best Places to Live 2010," in which they noted that the county "has it all": great education, enviable public safety, and the lowest unemployment rate in the state.

About Conmed

Conmed has provided correctional healthcare services since 1984, beginning in the State of Maryland, and currently serves county and municipal correctional facilities in ten states: Arizona, Kansas, Kentucky, Maryland, New Jersey, Oregon, Tennessee, Texas, Virginia and Washington. For more information, visit us at www.conmedinc.com.

Forward Looking Statements

This press release may contain, among other things, certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, without limitation, (i) statements with respect to the Company's plans, objectives, expectations and intentions; and (ii) other statements that are not historical facts including statements which may be identified by words such as "may," "could," "would," "should," "believes," "expects," "anticipates," "estimates," "intends," "plans," "projects," "potentially," or similar expressions. These statements are based upon the current beliefs and expectations of the Company's management, and are subject to significant risks and uncertainties. Actual results may differ from those set forth in the forward-looking statements. These forward-looking statements involve certain risks and uncertainties that are subject to change based on various factors (many of which are beyond the Company's control) including, without limitation: the Company's ability to increase revenue and to continue to obtain new contracts, contract renewals and extensions; inflation exceeding the Company's projection of the inflation rate of cost of services under multi-year contracts; the ability to obtain bonds; decreases in occupancy levels or disturbances at detention centers; malpractice litigation; the ability to utilize third-party administrators for out-of-facility care; compliance with laws and government regulations, including those relating to healthcare; competition; investigation and auditing of our contracts by government agencies; termination of contracts due to lack of government appropriations; material adverse changes in economic and industry conditions in the healthcare market; negative publicity regarding the provision of correctional healthcare services; dependence on key personnel and the ability to hire skilled personnel; influences of certain stockholders; increases in healthcare costs; insurance; public company obligations; limited liability of directors and officers; the Company's ability to meet the NYSE Amex continued listing standards; and stock price volatility. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the U.S. Securities and Exchange Commission, including the Company's Annual Report on Form 10-K, as amended, for the year ended December 31, 2011. Investors and security holders are urged to read these documents free of charge on the SEC's web site at www.sec.gov. The Company does not undertake to publicly update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.

Conmed Healthcare Management, Inc.
Thomas W. Fry, 410-567-5529
Chief Financial Officer
tfry@conmed-inc.com
or
In-Site Communications, Inc.
Lisa Wilson, 212-452-2793
lwilson@insitecony.com