The GEO Group Announces Decision by Federal Bureau of Prisons to Not Rebid Its Contract for Rivers Correctional Facility
November 23 2020 - 6:55AM
Business Wire
The GEO Group, Inc. (NYSE: GEO) (“GEO”) announced today
that the Federal Bureau of Prisons has decided to not rebid the
contract for the company-owned, 1,450-bed Rivers Correctional
Facility in North Carolina, which is set to expire on March 31,
2021. The contract for the Rivers Correctional Facility generated
approximately $43 million in annualized revenues for GEO. GEO
expects to market the Rivers Correctional Facility to other federal
and state agencies.
George C. Zoley, Chairman and Chief Executive Officer of GEO,
said, “We have operated the Rivers Correctional Facility under a
public-private partnership with the Federal Bureau of Prisons for
20 years. Over the last two decades, our employees have delivered
high quality services, helping Washington D.C. residents at the
Rivers Correctional Facility achieve successful rehabilitation and
community reentry outcomes. Federal prison populations in the
United States have experienced a decline, more recently as a result
of the COVID-19 pandemic. We expect to market the Rivers
Correctional Facility to other federal and state agencies.”
In an effort to enhance the community support services for
Washington D.C. residents housed at the Rivers Correctional
Facility, GEO established Reentry Success D.C. in collaboration
with the National Federation of Federal Employees (an affiliate of
the International Association of Machinists and Aerospace Workers).
The program enhances GEO’s pre- and post-release services by
connecting returning citizens to gainful employment. Reentry
Success D.C. is available to every GEO Continuum of Care
participant at the Rivers Correctional Facility, who is returning
to Washington D.C. upon release. Additional information on Reentry
Success D.C. can be found at www.reentrysuccessdc.com
About The GEO Group
The GEO Group (NYSE: GEO) is a
fully integrated equity real estate investment trust specializing
in the design, financing, development, and operation of secure
facilities, processing centers, and community reentry centers in
the United States, Australia, South Africa, and the United Kingdom.
GEO is a leading provider of enhanced in-custody rehabilitation,
post-release support, electronic monitoring, and community-based
programs. GEO’s worldwide operations include the ownership and/or
management of 123 facilities totaling approximately 93,000 beds,
including projects under development, with a workforce of
approximately 23,000 professionals.
This press release contains forward-looking statements regarding
future events and the 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
successfully market the Rivers Correctional Facility to other
federal and state agencies as of March 31, 2021 or as soon as
practicable thereafter; (2) GEO’s ability to win management
contracts for which it has submitted proposals and to retain
existing management contracts; (3) GEO’s ability to declare future
quarterly cash dividends and the timing and amount of such future
dividends; (4) GEO’s ability to successfully pursue further growth
and continue to enhance shareholder value; (5) GEO’s ability to
access the capital markets in the future on satisfactory terms or
at all; (6) GEO’s ability to control operating costs associated
with contract start-ups; (7) 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; (8) GEO’s ability to obtain future
financing on acceptable terms or at all; (9) GEO’s ability to
sustain company-wide occupancy rates at its facilities; and (10)
other factors contained in GEO’s Securities and Exchange Commission
filings, including its Form 10-K, 10-Q and 8-K reports.
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Pablo E. Paez (866) 301 4436 Executive Vice President, Corporate
Relations
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