The GEO Group Announces 314-Bed Contract Capacity Expansion at Montgomery Processing Center in Texas
June 05 2019 - 6:55AM
Business Wire
The GEO Group, Inc. (NYSE:GEO) (“GEO”) announced today
that it has entered into a contract modification with U.S.
Immigration and Customs Enforcement (“ICE”) to increase the
contract capacity at the company-owned Montgomery Processing Center
in Conroe, Texas by 314 beds increasing the Center’s capacity to
1,314 beds. The 314-bed contract capacity increase is expected to
be fully operational in September 2019 and generate incremental
annualized revenues of approximately $10 million.
The Montgomery Processing Center was developed by GEO under a
ten-year contract with ICE and opened in September 2018. The Center
was designed in accordance with Leadership in Energy and
Environmental Design (LEED) Silver standards and is comprised of
highly energy efficient buildings able to withstand a category 5
hurricane and capable of providing 100 percent auxiliary power in
times of emergency.
The Center has modern medical facilities providing
around-the-clock medical care, and its housing units feature game
top tables, flat screen TVs, law kiosks, and abundant natural light
utilizing sky lights and windows. The Center also offers expansive
outdoor recreational amenities including shaded pavilions, three
artificial turf soccer fields, basketball courts, a paved walk
path, and handball courts.
“We’re pleased to have been able to build on our long-standing
partnership with ICE which dates back to the 1980s. For more than
three decades, under both Democrat and Republican administrations,
our company has provided high quality, culturally responsive
services in safe and humane environments. GEO’s facilities comply
with the federal government’s performance-based national detention
standards and are highly rated by independent accreditation
entities,” said George C. Zoley, GEO’s Chairman and Chief Executive
Officer.
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 135 facilities totaling
approximately 96,000 beds, including projects under development,
with a growing 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 pursue further growth and continue to enhance
shareholder value; (2) GEO’s ability to access the capital markets
in the future on satisfactory terms or at all; (3) 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 or at all; (7) GEO’s
ability to sustain company-wide occupancy rates at its facilities;
and (8) 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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version on businesswire.com: https://www.businesswire.com/news/home/20190605005238/en/
Pablo E. Paez 1-866-301-4436Executive Vice President, Corporate
Relations
Geo (NYSE:GEO)
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