PRISON FIRM SUED OVER PHONE RATES - [Washington
Post, B2.] A [Washington] D.C. advocacy group filed a
class-action lawsuit yesterday accusing Corrections
Corporation of America [CCA] and five telephone carriers of
enriching themselves by charging exorbitant rates for calls
made by inmates from the company's prison facilities.
The suit attacks contractual arrangements made by the
private prison firm with MCI, AT&T and other carriers to
handle all outgoing pay-phone calls made by prisoners.
CCA officials issued a statement defending the
charges, saying the rates are comparable to those charged
by publicly run facilities. They cited security
requirements and the need for operator assistance as major
cost-incurring factors. The phone carriers have offered similar
explanations about the higher charges.
I got the ML estimate from the summary of the
fairness opinion from the proxy they filed yesterday. I'd
give you the page number, but MK has already confirmed
what I posted and I really don't want to go back and
look at the damn thing again.
I'm not short
PZN, in fact I'm not even a new poster. I've posted
before on this board under a different i.d. I was long
until the open this morning, but now I'm free of this
Call me stupid for selling low, but I
finally realized by reading the proxy that nobody, and I
mean absolutely nobody, is working on behalf of the
common shareholders. And it's obviously been that way
for some time. Did you see the pro forma forecast for
2000? Blackstone is going to take every penny that this
thing generates, and they really don't have any
incentive to improve the performance of the company. Hell,
they're guaranteed 18% just by sitting on their
Good luck to all that are still holding, but face it,
we've all been f****d. And Doc and the board are busy
salvaging anything they for themselves can out of this
Looks like a crapshoot if you vite yes, if you
vote no it may result in some pain at the top and
potentially a better deal. JMO. The irony would be if you
vote with Blackstone and still wind up with an empty
CO is not going to kick out PZN out of Colorado.
From my understanding DOC is talking with PZN and WHC
about expanding their current facilities from their
current bed capacity to another 600 to 800 inmates. The
governor of CO is pushing for more private beds.
On going Probe Will not set well with Colo. DOC.
Fraud going on in the Walsenburg prison. just heard
this from a friend who sits on the grand jury. NO
details yet. out at 3 3/4 biggest loss ever but I will
sleep better knowing I can't lose any more on this pig
and the crants. Little letters for little people.
2100 beds by the way.