CoreCivic awarded new contract to resume Tennessee detention facility operations

CoreCivic (CXW) has been awarded a new contract under an intergovernmental services agreement between the City of Mason, Tennessee, and U.S. Immigration and Customs Enforcement to resume operations at the Company’s 600-bed West Tennessee Detention Facility, a facility that has been idle since September 2021. The IGSA expires in August 2030 and may be further extended through bilateral modification. The agreement provides for a fixed monthly payment plus an incremental per diem payment based on detainee populations. Total annual revenue once the facility is fully activated is expected to be approximately $30 million to $35 million, with margins consistent with the CoreCivic Safety segment. We expect this award to have a minimal impact on earnings in the third quarter of 2025, and accretive to earnings beginning in the fourth quarter of 2025, with full ramp currently expected to be complete by the end of the first quarter of 2026.