By Nathalie Tadena
Online WSJ
Corrections Corp. of America (CXW) said it has lost contracts for facilities in Texas and Mississippi, but said its full-year guidance remains unaffected.
The prison operator said the Texas Department of Criminal Justice elected not to renew its contracts for the CCA owned and operated Mineral Wells Pre-Parole Transfer Facility and the Dawson State Jail, which is owned by the state of Texas but operated by CCA. The TDCJ was legislatively required to close two facilities due to budget reductions, the company noted. Upon expiration of the contracts in August, CCA will cease operations of the Dawson facility and idle the Mineral Wells facility.
CCA also disclosed it was not selected for the continued management of the Wilkinson County Correctional Facility owned by the state of Mississippi. CCA will cease operations of this facility at the end of the month, upon expiration of the contract. The Wilkinson facility was operating at a loss, the company said.
Full story: Corrections Corp Loses Contracts in Texas, Mississippi