ADMINISTAFF ANNOUNCES OPENING OF FOURTH SAN FRANCISCO BAY-AREA OFFICE

HOUSTON, TX – January 10, 2001 – Administaff, Inc. (NYSE: ASF), the nation’s leading Professional Employer Organization (PEO), today announced the opening of its fourth office in the San Francisco Bay area, representing the company’s fastest regional expansion in its 14-year history.

Administaff opened its first San Francisco Bay-area office in September 1998. The newest office, located in Walnut Creek, Calif., is the company’s second sales office in the East Bay area.

"We are continuing to see strong marketplace demand for our services among small and medium-sized businesses throughout the greater San Francisco Bay area," said Jay E. Mincks, Administaff’s executive vice president of sales and marketing. "The companies in this region tend to be forward-thinking, growth-minded organizations that recognize the value of outsourcing non-core competencies such as human resource services."

The new East Bay office opening continues Administaff’s nationwide expansion plan, which targets a total of 90 sales offices in 40 strategically selected markets. The company now operates 32 sales offices in 17 major metropolitan markets: Atlanta, Austin, Baltimore, Charlotte, Chicago, Dallas, Denver, Houston, Los Angeles, New Jersey, New York City, Orlando, Phoenix, San Antonio, San Francisco, St. Louis, and Washington, D.C. Together, these 17 markets represent more than 500,000 businesses and approximately 8.5 million worksite employees that fit the company’s client profile.

Larry Shaffer will serve as district manager at the new Walnut Creek office. The office is located at 2999 Oak Road, Suite 200, Walnut Creek, 94596; the phone number is (925) 287-4900. Shaffer formerly was a district manager at Administaff’s San Mateo, Calif., office. Steve Coito, formerly a sales consultant in the San Mateo office, was promoted to fill Shaffer’s position.

Positions are available in the new Walnut Creek office for human resources, recruiting, administrative and sales professionals. To learn more about Administaff career opportunities, please contact Shaffer in the Walnut Creek office.

About Administaff
Administaff is a leading personnel management company that serves as a full-service human resources department for small and medium-sized businesses throughout the United States. With 1999 revenues of $2.3 billion, Administaff ranks No. 615 on the Fortune 1000 list. The company also is included on Fortune’s list of "America’s Most Admired Companies," the Forbes Platinum 400 list of best big companies in America, and the Information Week 500 list of leading information technology innovators.

Administaff’s Personnel Management System includes employment administration, benefits management, government compliance, recruiting and selection, employer liability management, training and development, performance management and owner support. These core services are complemented by an eBusiness strategy that includes Administaff Assistant®, an eService platform that provides clients and worksite employees with information and resources to help maximize the benefit of their Administaff services; and bizzportSM, an eCommerce portal that features value-added products and services from best-of-class providers such as American Express, Aon Enterprise, AT&T, Bank One, Best Upon Request, Continental Airlines, CorporateGifts.com, Dell, Forrester Research, FTD.COM, IBM, Lexmark, MovingStation, Spiegel, Virtual Growth and Works.com.

For additional information, visit the company’s web site at www.administaff.com.

(Note: The statements contained in this press release that are not historical facts are forward-looking statements that involve a number of risks and uncertainties. Therefore, the actual results of future events described in such forward-looking statements could differ materially from those stated in such forward-looking statements. Among the factors that could cause actual results to differ materially are: (i) regulatory and tax developments; (ii) changes in Administaff’s direct costs and operating expenses; (iii) the estimated costs and effectiveness of capital projects and investments in technology and infrastructure; (iv) Administaff’s ability to effectively implement its eBusiness strategy; (v) the effectiveness of Administaff’s sales and marketing efforts, including the company’s marketing arrangements with other companies; and (vi) changes in the competitive environments in the PEO industry. These factors are described in further detail in Administaff’s filings with the Securities and Exchange Commission.)