WACKENHUT CORRECTIONS' UK COMPANY OPENS NEW PRISON FOR HM PRISON SERVICE AT MARCHINGTON, ENGLAND
PR Newswire, London, July 12 This press release is transmitted on behalf of Wackenhut Corrections
25-year contract -- in excess of USD900 million in revenues
Opened on schedule & on budget
First UK private therapeutic prison
Palm Beach Gardens, Florida - Wackenhut Corrections Corporation (NYSE: WHC) today announced that its United Kingdom joint-venture company, Premier Custodial Group, Ltd., successfully opened HM Prison & Therapeutic Community Dovegate, an 800-bed adult male prison and therapeutic community facility, located in Marchington, Staffordshire, England. The facility was designed, built, and financed by the Company in accordance with the specifications of HM Prison Services-Contracts & Competition Group. The 25-year contract is expected to generate in excess of USD900 million in revenues over the life of the contract, inclusive of debt service, operations and inflation.
George C. Zoley, vice chairman and chief executive officer of WCC, said, "We are delighted to have opened another correctional facility, on time and within budget, with the Prison Services Office of the United Kingdom, indicating the long-term commitment to privatisation corrections in the UK The opening of HM Prison & Therapeutic Community Dovegate marks the Company's fifth long-term private finance initiative (PFI) prison facility in the UK"
Zoley added, "The Dovegate prison complex, a state-of-the-art facility, is the UK's first therapeutic treatment facility to be developed in the last 30 years and the only privately developed and managed program in the UK This long-term management contract will significantly add to the Company's financial stability."
Dovegate is unique within the Prison Service of England and Wales. The complex is comprised of two distinct compounds: a minimum-security (Category B) training prison for 600 offenders and a maximum-security therapeutic community facility for 200 offenders. The Company will seek all applicable accreditations and certifications from the British Safety Council and other global accreditations agencies. The Company is set to achieve full capacity by early 2002.
Premier Custodial Group currently operates five custodial contracts for the Prison Services of England, Wales and Scotland: a Secure Training Centre for the Home Office; two prisoner escorting and court custody contracts for the Prisoner Escort and Custody Service of the Home Office and two areas for the electronic monitoring of offenders in England and Wales.