The GEO Group Provides Update on Contract Renewal for the D. Ray James Correctional Facility
September 30 2016 - 8:15AM
Business Wire
The GEO Group, Inc. (NYSE:GEO) ("GEO") announced today
that the Federal Bureau of Prisons (the “BOP”) has extended its
contract for the company-owned D. Ray James Correctional Facility
(the “Facility”) for a two-year renewal term through September 30,
2018 for the housing of up to 1,900 federal inmates with a fixed
payment for 1,800 beds compared to GEO’s previous contract which
contained a fixed payment for 1,962 beds.
“We are very appreciative of the continued confidence placed in
our company by the Federal Bureau of Prisons with this important
contract renewal,” said George C. Zoley, GEO’s Chairman and Chief
Executive Officer.
The Facility has a proven track record of providing
cost-effective, high-quality services on behalf of the Federal
Bureau of Prisons. The Facility provides industry-leading
rehabilitation and recidivism reduction programs.
“We are pleased to have been able to accommodate the BOP’s need
for fewer beds at the D. Ray James Correctional Facility with no
disruption to the facility’s operations or the level of
rehabilitation programming,” added Mr. Zoley. GEO does not expect
to revise its previously issued guidance as a result of this
renewal.
GEO has had a long standing private-public partnership with the
BOP that dates back to the 1990s. At the federal level, GEO’s
facilities have a proven track record of providing cost-effective,
high quality services. GEO looks forward to a continued partnership
with the Federal Bureau of Prisons at the D. Ray James Correctional
Facility.
About The GEO Group
The GEO Group, Inc. (NYSE: GEO) is the first fully integrated
equity real estate investment trust specializing in the design,
financing, development, and operation of correctional, detention,
and community reentry facilities around the globe. GEO is the
world's leading provider of diversified correctional, detention,
community reentry, and electronic monitoring services to government
agencies worldwide with operations in the United States, Australia,
South Africa, and the United Kingdom. GEO's worldwide operations
include the ownership and/or management of 104 facilities totaling
approximately 87,000 beds, including projects under development,
with a growing workforce of approximately 20,500 professionals.
Safe-Harbor Statement
This press release contains forward-looking statements regarding
future events and future performance of GEO that involve risks and
uncertainties that could materially affect actual results. Factors
that could cause actual results to vary from current expectations
and forward-looking statements contained in this press release
include, but are not limited to: (1) GEO’s ability to declare
future quarterly cash dividends and the timing and amount of such
future cash dividends; (2) GEO’s ability to successfully pursue
further growth and continue to create shareholder value; (3) risks
associated with GEO’s ability to control operating costs associated
with contract start-ups; (4) GEO’s ability to timely open
facilities as planned, profitably manage such facilities and
successfully integrate such facilities into GEO’s operations
without substantial costs; (5) GEO’s ability to win management
contracts for which it has submitted proposals and to retain
existing management contracts; (6) GEO’s ability to obtain future
financing on acceptable terms; (7) GEO’s ability to sustain
company-wide occupancy rates at its facilities; (8) GEO’s ability
to access the capital markets in the future on satisfactory terms
or at all; (9) GEO’s ability to remain qualified as a REIT; (10)
the incurrence of REIT related expenses; and (11) other factors
contained in GEO’s Securities and Exchange Commission periodic
filings, including its Form 10-K, 10-Q and 8-K reports.
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version on businesswire.com: http://www.businesswire.com/news/home/20160930005346/en/
The GEO Group, Inc.Pablo E. Paez, 1-866-301-4436Vice President,
Corporate Relations
Geo (NYSE:GEO)
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