CCA Red Rock Correctional Loses Contract

Bet we fill them as fast as they get emptied...
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Corrections Corp. loses Alaska contract
Monday, August 10, 2009, 2:33pm
Nashville Business Journal

Corrections Corporation of America lost its contract with Alaska to house up to 1,000 inmates.

The Nashville-based prison manager (NYSE: CXW) houses about 765 Alaskan inmates at the firm's 1,596-bed Red Rock Correctional Center in Arizona. The contract expired June 30, and the Alaska Department of Corrections selected another provider in its recent bid process.

Corrections Corp. said it expects the state will begin transferring its inmates out of Red Rock in December, and the company plans to market the available beds to other state and federal customers. The corrections firm houses about 650 inmates from the states of California, Washington and Hawaii at the Red Rock facility.

Corrections Corp. is the nation's largest corrections manager for government agencies.

"We are very disappointed to have not been selected by the Alaska Department of Corrections, a long standing customer of ours. We will work closely with the Alaska Department of Corrections to ensure a smooth transition out of the Red Rock facility," said Damon Hininger, president of Corrections Corp. "Although at the present moment, we do not have another customer lined up to fill the vacant beds, these beds are located in a market that is very attractive to a variety of state and federal customers."

Corrections Corporation of America owns 12,180 beds in the state of Arizona, which are fully occupied, including the 765 beds currently used by Alaska.