<PAGE>   1


                                                                   EXHIBIT 99.2


                       (AMERICA SERVICE GROUP INC. LOGO)

                       N  E  W  S   R  E  L  E  A  S  E


FOR IMMEDIATE RELEASE

CONTACT:  MICHAEL CATALANO                          BRUCE A. TEAL
          PRESIDENT AND CHIEF EXECUTIVE OFFICER     EXECUTIVE VICE PRESIDENT AND
          (615) 376-1319                              CHIEF FINANCIAL OFFICER
                                                    (615) 376-1361

          AMERICA SERVICE GROUP ANNOUNCES RECORD FIRST QUARTER RESULTS

                           --------------------------

                 COMPANY ANNOUNCES SECOND ACQUISITION THIS YEAR

First Quarter Highlights:
-   Completed acquisition of Correctional Physician Services, Inc. (CPS)
-   Revenues increased 31% over first quarter of 1999
-   Earnings per share, exclusive of preferred stock dividends, increased 167%
    over first quarter of 1999
-   EBITDA per share increased to $0.80 versus $0.67 for the first quarter of
    1999
-   Senior bank debt reduced by an additional $2.3 million prior to CPS
    acquisition
-   Today separately announced the acquisition of Correctional Health
    Services, Inc. (CHS)

NASHVILLE, Tennessee (April 24, 2000) - America Service Group Inc. (NASDAQ:ASGR)
announced today record first quarter results. The Company also separately
announced that it has executed a stock purchase agreement to acquire
Correctional Health Services, Inc. (CHS).

         Michael Catalano, president and chief executive officer of America
Service Group, said, "We are pleased to report solid first quarter financial
results and our second acquisition this year. Clearly, our operating performance
and financial strength have earned us a leadership position in the industry."

         Healthcare revenue for the first quarter of 2000 was $76.2 million, up
31% from $58.3 million in the year-ago quarter, primarily due to the Company's
acquisition of EMSA Government Services (EMSA) during the first quarter of 1999.
Net income was $1.7 million for the first quarter of 2000 compared with net
income of $480,000 for the first quarter of 1999.

         Diluted earnings per share was $0.32 for the first quarter of 2000
compared with a loss per share of $0.42 for the first quarter of 1999, which was
due to a $1.9 million noncash, nonrecurring preferred stock dividend. Excluding
the impact of the noncash, nonrecurring dividend in 1999, diluted earnings per
share for the first quarter of 1999 would have been $0.12.



                                     -MORE-

      105 Westpark Drive - Suite 300 - Brentwood,TN 37027 - 615-373-3100 -
                                Fax 615-376-9862

<PAGE>   2


ASGR Reports First Quarter Results
Page 2
April 24, 2000


         Healthcare expenses as a percent of revenue for the first quarter of
2000 were 90.1%, a slight increase over 90.0% in the first quarter of 1999. In
addition, selling, general and administrative expenses improved from 5.2% of
revenues in the first quarter of 1999 to 4.3% of revenues in the first quarter
of 2000.

         On March 29, 2000, the Company announced that it had acquired the
Pennsylvania and New York operations of Correctional Physician Services, Inc.
(CPS) for $14 million through an asset purchase agreement whereby the contracts
for the Eastern Region of the Pennsylvania Department of Corrections and the
Yonkers Region of the New York Department of Correctional Services were assigned
to Prison Health Services, Inc., an operating subsidiary of America Service
Group. The two contracts provided services to approximately 21,000 inmates and
produced revenues of approximately $41 million during 1999. CPS is a privately
held company with headquarters located in Blue Bell, Pennsylvania.

         In a separate release dated April 24, 2000, the Company announced that
it had signed an agreement to acquire the stock of Correctional Health Services,
Inc. (CHS) for a purchase price of $17 million. CHS is a privately held company
with headquarters in Verona, New Jersey. It presently has annualized revenues of
approximately $19 million generated by 19 contracts providing services to 23
adult and juvenile detention and residential treatment facilities with a total
average daily population of approximately 12,000 inmates. Closing of the CHS
transaction is subject to customary regulatory clearance and is expected on June
1, 2000.

         A listen-only simulcast of America Service Group's first quarter
conference call will be available online at www.asgr.com or www.streetevents.com
on April 25, 2000, beginning at 11:00 a.m. Eastern time. The online replay will
follow immediately and continue for 30 days.

         America Service Group Inc., based in Brentwood, Tennessee, is a leading
provider of correctional healthcare services in the United States. Subsequent to
the CPS and CHS transactions, America Service Group Inc., through its
subsidiaries, contracts with 123 government agencies to provide a wide range of
managed healthcare programs for approximately 165,000 patients. The Company
employs over 4,600 medical, professional and administrative staff nationwide.

         This press release may contain "forward-looking" statements made
pursuant to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. As such, they involve risk and uncertainty that actual
results may differ materially from those projected in the forward-looking
statements. A discussion of the important factors and assumptions regarding the
statements and risks involved is contained in the Company's filings with the
Securities and Exchange Commission.



                                     -MORE-

<PAGE>   3


ASGR Reports First Quarter Results
Page 3
April 24, 2000



                           AMERICA SERVICE GROUP INC.
                              FINANCIAL HIGHLIGHTS
                      (In thousands, except per share data)

<TABLE>
<CAPTION>


                                                                             Three Months Ended
                                                          ----------------------------------------------------------
                                                          March 31,           % of       March  31,          % of
                                                            2000             Revenue       1999             Revenue
                                                            ----             -------       ----             -------
<S>                                                       <C>               <C>          <C>               <C>
CONDENSED INCOME STATEMENT DATA:

Healthcare revenue                                         $ 76,169             100.0     $ 58,281             100.0
Healthcare expenses                                          68,626              90.1       52,478              90.0
                                                           --------         ---------     --------         ---------
Gross margin                                                  7,543               9.9        5,803              10.0
Selling, general and administrative expenses                  3,241               4.3        3,020               5.2
Depreciation and amortization                                   977               1.3          667               1.1
                                                           --------         ---------     --------         ---------
Income from operations                                        3,325               4.4        2,116               3.6
Interest, net                                                  (498)             (0.7)      (1,024)             (1.8)
                                                           --------         ---------     --------         ---------
Income before taxes                                           2,827               3.7        1,092               1.9
Provision for income taxes                                    1,132               1.5          612               1.1
                                                           --------         ---------     --------         ---------
Net income                                                    1,695               2.2          480               0.8
Preferred stock dividends                                       163               0.2        1,989               3.4
                                                           --------         ---------     --------         ---------
Net income (loss) attributable to common shares            $  1,532               2.0     $ (1,509)             (2.6)
                                                           --------         ---------     --------         ---------
Net income (loss) per common share:
     Basic                                                 $   0.41                       $  (0.42)
                                                           --------                       --------
     Diluted                                               $   0.32                       $  (0.42)
                                                           --------                       --------
     Diluted - exclusive of preferred stock dividends      $   0.32                       $   0.12
                                                           --------                       --------
Weighted average shares outstanding:
     Basic                                                    3,726                          3,575
                                                           --------                       --------
     Diluted                                                  5,346                          3,575
                                                           --------                       --------
     Diluted - exclusive of preferred stock dividends         5,346                          4,166
                                                           --------                       --------

</TABLE>

<TABLE>
<CAPTION>

                                                                                          March 31,       Dec. 31,
                                                                                            2000            1999
                                                                                            ----            ----
<S>                                                                                       <C>             <C>
CONDENSED BALANCE SHEET DATA:

Cash and cash equivalents                                                                 $    451         $   444
Other current assets                                                                        48,369          48,467
                                                                                          --------         -------
Current assets                                                                              48,820          48,911
Cost in excess of net assets acquired                                                       58,664          44,548
Property and equipment, net                                                                  4,077           3,932
Other assets                                                                                 1,228           1,336
                                                                                          --------         -------

                                                                                          $112,789         $98,727
                                                                                          ========         =======

Current liabilities                                                                       $ 40,028         $39,413
Other liabilities                                                                            3,098           2,874
Long-term debt                                                                              37,200          25,500
Stockholders' equity                                                                        32,463          30,940
                                                                                          --------         -------

                                                                                          $112,789         $98,727
                                                                                          ========         =======

</TABLE>


                                      -END-