This Company derives it's income from goverment "outsourced" contracts. New revenue will and can only come from new government outsourcing, not entrepreneurship. Thus, notwithstanding management and accounting mishaps, the income is solid, management is another thing.
Doubtful, but some assured growth in privatizing state hospitals, another government check.
Question for the board - so if it's government money and high management salaries and perks what are the management skills for the GEO Team?
The thing that makes GEO successfull is not only the goverment contracts and outsourcing. It is meeting the needs of the client. When GEO is awarded a contract they not only agree to the stipulations of the Contract but the needs of the Client which often means doing more than what your contract says.
Being entrepenurs in private corrections is kind of a difficult thing and new inovations are not always what is needed. Facilities and services that "mesh" with what the client has already will ensure that beds are full, clients are happy and earnings grow.
Sanders Says Prison Expansion On Hold by Christopher Henderson, 1/26/06
City Councilman James Sanders, Jr. (D-Laurleton) announced this week that the expansion plans for a private prison in Springfield Gardens have been halted, but a spokesman for the company that owns the prison said the expansion will go ahead as scheduled. Sanders said an official announcement will come next week after he and other elected officials meet with The U.S. Marshals Sevice, which holds a contract with the prison at 182-22 150th Ave. "We were called upon to deal with life and death issues," Sanders said. "By the grace of God, we have prevailed this time." The Marshals house 200 federal prisoners at Queens Private Correctional Facility. Until last July, the facility, which is owned by GEO Group, Inc.,held immigration detainees caught at nearby Kennedy Airport. In December, GEO Group, an international prison management company,bought the warehouse next to the prison and announced plans to increase its capacity by 170 inmates. GEO spokesman Marty McLaughlin said the company still intends to go ahead with those expansion plans. Local officials and community groups have fought against the prison over the past month after the expansion and the change to federal prisoners became well-known. Sanders led a march on the prison on Martin Luther King's birthday last week. At an earlier town hall meeting, residents raised concerns about the prison's proximity to their homes and PS 52 on 146th Terrace. The U.S. Marshals Service did not return calls for comment on this story.