CoreCivic Enters Into New Management Contract With Montana at Saguaro Correctional Facility in Arizona
15 November 2023 - 12:00AM
CoreCivic, Inc. (NYSE: CXW) ("CoreCivic")
announced today it signed a new management contract with the state
of Montana for the housing of up to 120 inmates at the Company's
1,896-bed Saguaro Correctional Facility in Eloy,
Arizona.
The new management contract commences
immediately and ends October 31, 2025. The contract may be extended
by mutual agreement. The total term, including renewals, may not
exceed seven years. We anticipate completing the receipt of the
inmates from Montana at the Saguaro facility by December 31,
2023.
Damon T. Hininger, President and Chief Executive
Officer commented, "We are grateful for our longstanding
partnership with the Montana Department of Corrections and honored
by the opportunity to meet their evolving needs at both our
Crossroads Correctional Facility in Shelby, Montana as well as at
our Saguaro Correctional Facility in Eloy, Arizona. Our modern
Saguaro facility, built in 2007, will now care for incarcerated
individuals for three different state
partners."
Hininger continued, "This new contract further
reflects the attractiveness of our available bed capacity as well
as the high level of service and trust for which CoreCivic is
recognized. We continue to anticipate heightened need for our
modern and flexible capacity from states and local agencies, as
well as from Federal partners."
About CoreCivic
CoreCivic is a diversified, government-solutions company with
the scale and experience needed to solve tough government
challenges in flexible, cost-effective ways. We provide a broad
range of solutions to government partners that serve the public
good through high-quality corrections and detention management, a
network of residential and non-residential alternatives to
incarceration to help address America’s recidivism crisis, and
government real estate solutions. We are the nation’s largest owner
of partnership correctional, detention and residential reentry
facilities, and one of the largest prison operators in the United
States. We have been a flexible and dependable partner for
government for 40 years. Our employees are driven by a deep sense
of service, high standards of professionalism and a responsibility
to help government better the public good. Learn more at
www.corecivic.com.
Forward-Looking Statements
This press release contains statements as to our beliefs and
expectations of the outcome of future events that are
"forward-looking" statements within the meaning of Section 21E of
the Securities Exchange Act of 1934, as amended, and the Private
Securities Litigation Reform Act of 1995, as amended. These
forward-looking statements are subject to risks and uncertainties
that could cause actual results to differ materially from the
statements made. These include, but are not limited to, the risks
and uncertainties associated with: (i) changes in government
policy, legislation and regulations that affect utilization of the
private sector for corrections, detention, and residential reentry
services, in general, or our business, in particular, including,
but not limited to, the continued utilization of our correctional
and detention facilities by the federal government, including as a
consequence of the United States Department of Justice, or DOJ, not
renewing contracts as a result of President Biden's Executive Order
on Reforming Our Incarceration System to Eliminate the Use of
Privately Operated Criminal Detention Facilities, impacting
utilization primarily by the Federal Bureau of Prisons and the
United States Marshals Service, and the impact of any changes to
immigration reform and sentencing laws (we do not, under
longstanding policy, lobby for or against policies or legislation
that would determine the basis for, or duration of, an individual’s
incarceration or detention); (ii) our ability to obtain and
maintain correctional, detention, and residential reentry facility
management contracts because of reasons including, but not limited
to, sufficient governmental appropriations, contract compliance,
negative publicity and effects of inmate disturbances;
(iii) changes in the privatization of the corrections and
detention industry, the acceptance of our services, the timing of
the opening of new facilities and the commencement of new
management contracts (including the extent and pace at which new
contracts are utilized), as well as our ability to utilize
available beds; (iv) general economic and market conditions,
including, but not limited to, the impact governmental budgets can
have on our contract renewals and renegotiations, per diem rates,
and occupancy; (v) fluctuations in our operating results
because of, among other things, changes in occupancy levels;
competition; contract renegotiations or terminations; inflation and
other increases in costs of operations, including a continuing rise
in labor costs; fluctuations in interest rates and risks of
operations; (vi) the impact resulting from the termination of Title
42, the federal government's policy to deny entry at the United
States southern border to asylum-seekers and anyone crossing the
southern border without proper documentation or authority in an
effort to contain the spread of the coronavirus and related
variants, or COVID-19; (vii) government budget uncertainty, the
impact of the debt ceiling and the potential for government
shutdowns and changing funding priorities; (viii) our ability to
successfully identify and consummate future development and
acquisition opportunities and realize projected returns resulting
therefrom; (ix) our ability to have met and maintained
qualification for taxation as a real estate investment trust, or
REIT, for the years we elected REIT status; and (x) the
availability of debt and equity financing on terms that are
favorable to us, or at all. Other factors that could cause
operating and financial results to differ are described in the
filings we make from time to time with the Securities and Exchange
Commission.
We take no responsibility for updating the information contained
in this press release following the date hereof to reflect events
or circumstances occurring after the date hereof or the occurrence
of unanticipated events or for any changes or modifications made to
this press release or the information contained herein by any
third-parties, including, but not limited to, any wire or internet
services.
Contact: |
Investors: Michael Grant - Managing Director, Investor Relations -
(615) 263-6957 |
|
Financial Media: David Gutierrez, Dresner Corporate Services -
(312) 780-7204 |
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