Profile: Corrections Corp of America (CXW)
4 May 2016
Corrections Corporation of America, incorporated on September 24, 1998, is a real estate investment trust (REIT). The Company is engaged in owning, operating and managing prisons and other correctional facilities, and providing residential, community re-entry and prisoner transportation services for governmental agencies. In addition to providing fundamental residential services, the Company's facilities offer a range of rehabilitation and educational programs, including basic education, faith-based services, life skills and employment training, and substance abuse treatment. It also provides or makes available to offenders certain healthcare (including medical, dental and mental health services), food services and work and recreational programs. The Company's customers consist of federal, state and local correctional and detention authorities. Federal correctional and detention authorities consist of the Federal Bureau of Prisons (the BOP), the United States Marshals Service (the USMS), and the United States Immigration and Customs Enforcement (ICE). Its customer contracts have terms of three to five years and contain multiple renewal options. Most of its facility contracts also contain clauses that allow the government agency to terminate the contract at any time without cause.
The Company provides a range of evidence-based re-entry programs and activities at its facilities. In a number of its facilities, and in conjunction with the Mexican Government, it offers an adult education curriculum recognized by various nations to which offenders may return. The Company offers a spectrum of vocational/technical education opportunities to equip individuals with job skills. The Company offers evidence-based treatment programs, such as the Residential Drug Addictions Treatment Program (RDAP). Its Re-Entry and life skills programs prepare individuals for life after incarceration by teaching offenders how to conduct a job search, how to manage their budget and financial matters, parenting skills and relationship and family skills. The Company also offers cognitive behavioral programs aimed at changing anti-social attitudes and behaviors of offenders, with a focus on altering the level of criminal thinking of offenders. Its Victim Impact Programs are available at various facilities, which seek to educate offenders on the negative effects upon others resulting from their criminal conduct. At a number of its facilities, the Company provides faith-based programs to those seeking spiritual growth and character development. Its facilities also offer opportunities for religious worship and study for a range of faith groups and belief systems.
The Company provides a range of services to defendants and offenders who are serving their full sentence, the last portion of their sentence, waiting to be sentenced, or awaiting trial while supervised in a community environment, through its community corrections facilities. The Company offers housing and programs, with a focus on employment, job readiness and life skills, in order to help offenders re-enter the community and reduce the risk of recidivism. It also offers an alternative sentencing option to the courts, which allows offenders who are gainfully employed to pay the cost of incarceration while serving their sentence in a community facility. In addition, in some of its community corrections facilities, the Company offers housing and program services to parolees who have completed their sentence, but lack a viable home plan.
The Company's facilities include Correctional facilities, which house and provide contractually agreed upon programs and services to sentenced adult prisoners, typically prisoners on whom a sentence in excess of over one year has been imposed; Detention facilities, which house and provide contractually agreed upon programs and services to prisoners being detained by ICE, prisoners who are awaiting trial who have been charged with violations of federal criminal law or state criminal law and prisoners who have been convicted of crimes and on whom a sentence of over one year or less has been imposed; Community corrections facilities, which offer housing and programs to offenders who are serving the last portion of their sentence or who have been assigned to the facility in lieu of a jail or prison sentence, with a focus on employment, job readiness and life skills; Residential facilities, which provide space and residential services in an open and safe environment to adults with children who illegally crossed the United States border and are awaiting the outcome of immigration hearings or the return to their home countries. The residential facilities offer services, including, but not limited to, educational programs, medical care, recreational activities, counseling and access to religious and legal services, and Leased facilities, which include the facilities that the Company owns but do not manage and that are leased to third-party operators. The Company leases approximately two correctional facilities and over four community corrections facilities to third-party operators.
The Company provides transportation services to governmental agencies through its TRS, TransCor America, LLC (TransCor). The Company owns or controls approximately 70 correctional and detention facilities, and manages over 10 facilities owned by its government partners, with a total design capacity of approximately 88,500 beds in over 20 states and the District of Columbia. Additionally, the Company manages approximately 10 correctional and detention facilities owned by government agencies. The Company also owns over two corporate office buildings. The Company's owned and managed facilities include facilities placed into service that it owns or controls through a lease. Its managed-only facilities include facilities it manages that are owned by a third-party.
The Company competes with The GEO Group, Inc., and Management and Training Corporation.
Corrections Corp of America
10 Burton Hills Blvd
NASHVILLE TN 37215-6105