The GEO Group Announces 626-Bed Expansion of the Karnes County Residential Center in Texas
December 19 2014 - 08:35AM
Business Wire
The GEO Group (NYSE: GEO) (“GEO”) announced today the
development of a 626-bed expansion to the company-owned, 532-bed
Karnes County Residential Center in Texas under an amendment to
GEO’s existing contract with Karnes County, Texas and the existing
intergovernmental service agreement between Karnes County and U.S.
Immigration and Customs Enforcement. GEO will finance, develop, and
manage the $36 million expansion, which will increase the
Facility’s total capacity to 1,158 beds. The expansion is expected
to generate approximately $20 million in additional annualized
revenues for GEO and returns on investment consistent with GEO’s
company-owned facilities. GEO expects to complete the 626-bed
expansion and begin intake in the fourth quarter of 2015.
George C. Zoley, Chairman and Chief Executive Officer of GEO,
said, “We appreciate the confidence placed in our company by U.S.
Immigration and Customs Enforcement, which has been tasked with
helping our nation respond to an unprecedented humanitarian crisis
by providing appropriate residential care for families. The
expansion of our long-standing public-private partnership with ICE
will provide a long-term solution to the expected ongoing need for
residential care for families.”
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 98 facilities totaling
approximately 79,000 beds, including projects under development,
with a growing workforce of approximately 18,000 professionals.
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,
including statements regarding estimated earnings, revenues and
costs and our ability to maintain growth and strengthen contract
relationships. 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) 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; and (8) other
factors contained in GEO’s Securities and Exchange Commission
filings, including the forms 10-K, 10-Q and 8-K reports.
The GEO GroupPablo E. Paez, 866-301-4436Vice President,
Corporate Relations
Geo (NYSE:GEO)
Historical Stock Chart
From Feb 2024 to Mar 2024
Geo (NYSE:GEO)
Historical Stock Chart
From Mar 2023 to Mar 2024