Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Feb. 17, 2015 | Jun. 30, 2014 | |
Document Information [Line Items] | |||
Document Type | 10-K | ||
Amendment Flag | FALSE | ||
Document Period End Date | 31-Dec-14 | ||
Document Fiscal Year Focus | 2014 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | CXW | ||
Entity Registrant Name | CORRECTIONS CORP OF AMERICA | ||
Entity Central Index Key | 1070985 | ||
Current Fiscal Year End Date | -19 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 116,790,636 | ||
Entity Public Float | $3,792,269,339 |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
ASSETS | ||
Cash and cash equivalents | $74,393 | $77,909 |
Accounts receivable, net of allowance of $748 and $1,265, respectively | 248,588 | 244,957 |
Current deferred tax assets | 13,229 | 9,241 |
Prepaid expenses and other current assets | 29,775 | 20,612 |
Current assets of discontinued operations | 15 | |
Total current assets | 365,985 | 352,734 |
Property and equipment, net | 2,658,628 | 2,546,613 |
Restricted cash | 2,858 | 5,589 |
Investment in direct financing lease | 3,223 | 5,473 |
Goodwill | 16,110 | 16,110 |
Non-current deferred tax assets | 2,301 | 3,078 |
Other assets | 78,086 | 77,828 |
Total assets | 3,127,191 | 3,007,425 |
LIABILITIES AND STOCKHOLDERS' EQUITY | ||
Accounts payable and accrued expenses | 317,566 | 252,277 |
Income taxes payable | 1,368 | 1,243 |
Current liabilities of discontinued operations | 54 | 886 |
Total current liabilities | 318,988 | 254,406 |
Long-term debt | 1,200,000 | 1,205,000 |
Other liabilities | 126,703 | 45,512 |
Total liabilities | 1,645,691 | 1,504,918 |
Commitments and contingencies | ||
Preferred stock - $0.01 par value; 50,000 shares authorized; none issued and outstanding at December 31, 2014 and 2013, respectively | 0 | 0 |
Common stock - $0.01 par value; 300,000 shares authorized; 116,764 and 115,923 shares issued and outstanding at December 31, 2014 and 2013, respectively | 1,168 | 1,159 |
Additional paid-in capital | 1,748,303 | 1,725,363 |
Accumulated deficit | -267,971 | -224,015 |
Total stockholders' equity | 1,481,500 | 1,502,507 |
Total liabilities and stockholders' equity | $3,127,191 | $3,007,425 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, except Per Share data, unless otherwise specified | ||
Accounts receivable, allowance | $748 | $1,265 |
Preferred stock, par value | $0.01 | $0.01 |
Preferred stock, shares authorized | 50,000 | 50,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $0.01 | $0.01 |
Common stock, shares authorized | 300,000 | 300,000 |
Common stock, shares issued | 116,764 | 115,923 |
Common stock, shares outstanding | 116,764 | 115,923 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
REVENUES: | $423,477 | $408,474 | $410,694 | $404,222 | $431,103 | $421,466 | $425,005 | $416,723 | $1,646,867 | $1,694,297 | $1,723,657 | |||
EXPENSES: | ||||||||||||||
Operating | 1,156,135 | 1,220,351 | 1,217,051 | |||||||||||
General and administrative | 106,429 | 103,590 | 88,935 | |||||||||||
Depreciation and amortization | 113,925 | 112,692 | 113,063 | |||||||||||
Asset impairments | 27,800 | 30,082 | 6,513 | |||||||||||
Costs and Expenses, Total | 1,406,571 | 1,443,146 | 1,419,049 | |||||||||||
OPERATING INCOME | 41,845 | [1] | 69,850 | 65,535 | 63,066 | 56,019 | 67,271 | 67,969 | 59,892 | 240,296 | 251,151 | 304,608 | ||
OTHER (INCOME) EXPENSE: | ||||||||||||||
Interest expense, net | 39,535 | 45,126 | 58,363 | |||||||||||
Expenses associated with debt refinancing transactions | 36,528 | 2,099 | ||||||||||||
Other income | -1,204 | -100 | -333 | |||||||||||
Total non-operating expense (income) | 38,331 | 81,554 | 60,129 | |||||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 201,965 | 169,597 | 244,479 | |||||||||||
Income tax (expense) benefit | -6,943 | 134,995 | -87,513 | |||||||||||
Income from continuing operations | 195,022 | 304,592 | 156,966 | |||||||||||
Loss from discontinued operations, net of taxes | -663 | -2,739 | -355 | -3,757 | -205 | |||||||||
NET INCOME | $30,006 | [1] | $57,546 | $55,732 | $51,738 | $47,471 | $51,843 | $20,429 | [2] | $181,092 | [3] | $195,022 | $300,835 | $156,761 |
BASIC EARNINGS PER SHARE: | ||||||||||||||
Income from continuing operations | $1.68 | $2.77 | $1.58 | |||||||||||
Loss from discontinued operations, net of taxes | ($0.03) | |||||||||||||
Net income | $0.26 | [1] | $0.50 | $0.48 | $0.45 | $0.41 | $0.45 | $0.19 | [2] | $1.81 | [3] | $1.68 | $2.74 | $1.58 |
DILUTED EARNINGS PER SHARE: | ||||||||||||||
Income from continuing operations | $1.66 | $2.73 | $1.56 | |||||||||||
Loss from discontinued operations, net of taxes | ($0.03) | |||||||||||||
Net income | $0.25 | [1] | $0.49 | $0.48 | $0.44 | $0.41 | $0.44 | $0.19 | [2] | $1.78 | [3] | $1.66 | $2.70 | $1.56 |
Regular Dividend | ||||||||||||||
DILUTED EARNINGS PER SHARE: | ||||||||||||||
Dividend declared on common stock, per share | $2.04 | $1.97 | $0.60 | |||||||||||
Special Dividend | ||||||||||||||
DILUTED EARNINGS PER SHARE: | ||||||||||||||
Dividend declared on common stock, per share | $6.66 | |||||||||||||
[1] | The earnings amounts in the fourth quarter of 2014 were unfavorably impacted by $27.8 million of non-cash impairments recorded to write down the book values of two of CCA's non-core facilities to the estimated fair values, as discussed in Note 5. | |||||||||||||
[2] | The earnings amounts in the second quarter of 2013 were negatively impacted by $36.3 million of expenses associated with debt refinancing transactions. | |||||||||||||
[3] | The earnings amounts in the first quarter of 2013 were favorably impacted by the net tax benefit resulting from the revaluation of certain deferred tax assets and liabilities associated with the REIT conversion effective January 1, 2013. |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
CASH FLOWS FROM OPERATING ACTIVITIES: | |||
Net income | $195,022 | $300,835 | $156,761 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 113,925 | 113,491 | 113,933 |
Asset impairments | 30,082 | 9,150 | |
Amortization of debt issuance costs and other non-cash interest | 3,102 | 3,509 | 4,316 |
Expenses associated with debt refinancing transactions | 36,528 | 2,099 | |
Deferred income taxes | -3,211 | -151,037 | 5,761 |
Other expenses and non-cash items | 4,594 | 2,623 | 1,084 |
Non-cash revenue and other income | -3,880 | -294 | |
Income tax benefit of equity compensation | -665 | -351 | -2,708 |
Non-cash equity compensation | 13,975 | 12,965 | 12,325 |
Changes in assets and liabilities, net: | |||
Accounts receivable, prepaid expenses and other assets | -12,549 | 16,683 | 12,189 |
Accounts payable, accrued expenses and other liabilities | 82,396 | 23,910 | -24,219 |
Income taxes payable | 790 | 1,492 | 1,715 |
Net cash provided by operating activities | 423,581 | 369,504 | 283,256 |
CASH FLOWS FROM INVESTING ACTIVITIES: | |||
Expenditures for facility development and expansions | -85,791 | -27,955 | -30,424 |
Acquisition of businesses, net of cash acquired | -36,252 | ||
Expenditures for other capital improvements | -49,315 | -48,570 | -49,014 |
Capitalized lease payments | -70,793 | ||
Cash paid for leasehold incentive | -12,765 | ||
Decrease in restricted cash | 2,983 | 452 | |
Proceeds from sale of assets | 5,136 | 998 | 1,838 |
Increase in other assets | -1,101 | -3,260 | -4,027 |
Payments received on direct financing lease and notes receivable | 1,994 | 1,840 | 1,707 |
Net cash used in investing activities | -196,887 | -125,512 | -79,920 |
CASH FLOWS FROM FINANCING ACTIVITIES: | |||
Proceeds from issuance of debt | 250,000 | 1,283,000 | 888,500 |
Principal repayments of debt | -255,000 | -1,198,000 | -1,023,500 |
Payment of debt issuance and other refinancing and related costs | -37,349 | -6,336 | |
Proceeds from exercise of stock options | 12,450 | 30,171 | 4,933 |
Purchase and retirement of common stock | -4,036 | -6,693 | -2,808 |
Income tax benefit of equity compensation | 665 | 351 | 2,708 |
Increase in restricted cash for dividends | -251 | -1,016 | |
Dividends paid | -234,048 | -299,434 | -59,768 |
Net cash used in financing activities | -230,220 | -228,970 | -196,271 |
NET (DECREASE) INCREASE IN CASH AND CASH EQUIVALENTS | -3,526 | 15,022 | 7,065 |
CASH AND CASH EQUIVALENTS, beginning of year | 77,919 | 62,897 | 55,832 |
CASH AND CASH EQUIVALENTS, end of year | 74,393 | 77,919 | 62,897 |
Cash paid during the period for: | |||
Interest (net of amounts capitalized of $2,525, $836, and $1,057 in 2014, 2013, and 2012, respectively) | 39,928 | 40,776 | 66,943 |
Income taxes | $19,717 | $7,422 | $83,864 |
Consolidated_Statements_of_Cas1
Consolidated Statements of Cash Flows (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Interest, capitalized interest | $2,525 | $836 | $1,057 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (USD $) | Total | Regular Dividend | Special Dividend | Common Stock | Common Stock | Additional Paid-in Capital | Additional Paid-in Capital | (Accumulated Deficit) Retained Earnings | (Accumulated Deficit) Retained Earnings | (Accumulated Deficit) Retained Earnings |
In Thousands | Special Dividend | Special Dividend | Regular Dividend | Special Dividend | ||||||
Beginning Balance at Dec. 31, 2011 | $1,408,022 | $995 | $1,129,435 | $277,592 | ||||||
Beginning Balance (in shares) at Dec. 31, 2011 | 99,528 | |||||||||
Net income | 156,761 | 156,761 | ||||||||
Issuance of common stock (in shares) | 1 | |||||||||
Issuance of common stock | 29 | 29 | ||||||||
Retirement of common stock (in shares) | -110 | |||||||||
Retirement of common stock | -2,808 | -1 | -2,807 | |||||||
Dividend on common stock | -60,222 | -60,222 | ||||||||
Restricted stock compensation, net of forfeitures (in shares) | -13 | |||||||||
Restricted stock compensation, net of forfeitures | 7,635 | 7,635 | ||||||||
Stock option compensation expense, net of forfeitures | 4,661 | 4,661 | ||||||||
Income tax benefit of equity compensation | 2,609 | 2,609 | ||||||||
Restricted stock grant (in shares) | 333 | |||||||||
Restricted stock grant | 3 | -3 | ||||||||
Stock options exercised (in shares) | 366 | |||||||||
Stock options exercised | 4,933 | 4 | 4,929 | |||||||
Ending Balance at Dec. 31, 2012 | 1,521,620 | 1,001 | 1,146,488 | 374,131 | ||||||
Ending Balance (in shares) at Dec. 31, 2012 | 100,105 | |||||||||
Net income | 300,835 | 300,835 | ||||||||
Issuance of common stock (in shares) | 20 | |||||||||
Issuance of common stock | 27 | 27 | ||||||||
Retirement of common stock (in shares) | -180 | |||||||||
Retirement of common stock | -6,693 | -2 | -6,691 | |||||||
Dividend on common stock (in shares) | 13,878 | |||||||||
Dividend on common stock | -221,196 | -135,546 | 139 | 542,541 | -221,196 | -678,226 | ||||
Restricted stock compensation, net of forfeitures (in shares) | -30 | |||||||||
Restricted stock compensation, net of forfeitures | 9,822 | 9,381 | 441 | |||||||
Stock option compensation expense, net of forfeitures | 3,116 | 3,116 | ||||||||
Income tax benefit of equity compensation | 351 | 351 | ||||||||
Restricted stock grant (in shares) | 300 | |||||||||
Restricted stock grant | 3 | -3 | ||||||||
Stock options exercised (in shares) | 1,830 | |||||||||
Stock options exercised | 30,171 | 18 | 30,153 | |||||||
Ending Balance at Dec. 31, 2013 | 1,502,507 | 1,159 | 1,725,363 | -224,015 | ||||||
Ending Balance (in shares) at Dec. 31, 2013 | 115,923 | |||||||||
Net income | 195,022 | 195,022 | ||||||||
Retirement of common stock (in shares) | -118 | |||||||||
Retirement of common stock | -4,036 | -1 | -4,035 | |||||||
Dividend on common stock | -239,086 | -239,086 | ||||||||
Restricted stock compensation, net of forfeitures (in shares) | -20 | |||||||||
Restricted stock compensation, net of forfeitures | 12,093 | 11,985 | 108 | |||||||
Stock option compensation expense, net of forfeitures | 1,882 | 1,882 | ||||||||
Income tax benefit of equity compensation | 665 | 665 | ||||||||
Restricted stock grant (in shares) | 267 | |||||||||
Restricted stock grant | 3 | 3 | ||||||||
Stock options exercised (in shares) | 712 | |||||||||
Stock options exercised | 12,450 | 7 | 12,443 | |||||||
Ending Balance at Dec. 31, 2014 | $1,481,500 | $1,168 | $1,748,303 | ($267,971) | ||||||
Ending Balance (in shares) at Dec. 31, 2014 | 116,764 |
Consolidated_Statements_of_Sto1
Consolidated Statements of Stockholders' Equity (Parenthetical) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Regular Dividend | |||
Dividend on common stock, per share | $2.04 | $1.97 | $0.60 |
Special Dividend | |||
Dividend on common stock, per share | $6.66 |
ORGANIZATION_AND_OPERATIONS
ORGANIZATION AND OPERATIONS | 12 Months Ended | |
Dec. 31, 2014 | ||
ORGANIZATION AND OPERATIONS | 1 | ORGANIZATION AND OPERATIONS |
Corrections Corporation of America (together with its subsidiaries, the “Company” or “CCA”) is the nation’s largest owner of privatized correctional and detention facilities and one of the largest prison operators in the United States. As of December 31, 2014, CCA owned or controlled 52 correctional and detention facilities, and managed an additional 12 facilities owned by its government partners, with a total design capacity of approximately 84,500 (unaudited) beds in 19 states and the District of Columbia. | ||
CCA is a Real Estate Investment Trust (“REIT”) specializing in owning, operating and managing prisons and other correctional facilities and providing residential, community re-entry, and prisoner transportation services for governmental agencies. In addition to providing fundamental residential services, CCA’s facilities offer a variety of rehabilitation and educational programs, including basic education, faith-based services, life skills and employment training, and substance abuse treatment. These services are intended to help reduce recidivism and to prepare offenders for their successful re-entry into society upon their release. CCA also provides or makes available to offenders certain health care (including medical, dental and mental health services), food services, and work and recreational programs. | ||
CCA began operating as a REIT for federal income tax purposes effective January 1, 2013. The Company provides correctional services and conducts other business activities through taxable REIT subsidiaries (“TRSs”). A TRS is a subsidiary of a REIT that is subject to applicable corporate income tax and certain qualification requirements. The Company’s use of TRSs enables CCA to comply with REIT qualification requirements while providing correctional services at facilities it owns and at facilities owned by its government partners and to engage in certain other business operations. A TRS is not subject to the distribution requirements applicable to REITs so it may retain income generated by its operations for reinvestment. Consequently, income taxes recorded in 2014 are not comparable to those recorded in 2013 and 2012. See Note 11. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 2 | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |||||||||||||||
Basis of Presentation | |||||||||||||||||
The consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles and include the accounts of CCA on a consolidated basis with its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated. | |||||||||||||||||
Cash and Cash Equivalents | |||||||||||||||||
CCA considers all liquid debt instruments with a maturity of three months or less at the time of purchase to be cash equivalents. | |||||||||||||||||
Restricted Cash | |||||||||||||||||
Restricted cash at December 31, 2014 and 2013 of $2.9 million and $5.6 million, respectively, is restricted for a capital improvements, replacements, and repairs reserve fund required by one of CCA’s contracts, and for the payment of dividends on unvested restricted stock. | |||||||||||||||||
Accounts Receivable and Allowance for Doubtful Accounts | |||||||||||||||||
At December 31, 2014 and 2013, accounts receivable of $248.6 million and $245.0 million were net of allowances for doubtful accounts totaling $0.7 million and $1.3 million, respectively. Accounts receivable consist primarily of amounts due from federal, state, and local government agencies for the utilization of CCA’s correctional and detention facilities, as well as for operating and managing prisons and other correctional facilities and providing offender residential and prisoner transportation services to such government agencies. | |||||||||||||||||
Accounts receivable are stated at estimated net realizable value. CCA recognizes allowances for doubtful accounts to ensure receivables are not overstated due to uncollectibility. Bad debt reserves are maintained for customers in the aggregate based on a variety of factors, including the length of time receivables are past due, significant one-time events, and historical experience. If circumstances related to customers change, estimates of the recoverability of receivables would be further adjusted. | |||||||||||||||||
Property and Equipment | |||||||||||||||||
Property and equipment are carried at cost. Assets acquired by CCA in conjunction with acquisitions are recorded at estimated fair market value at the time of purchase. Betterments, renewals and significant repairs that extend the life of an asset are capitalized; other repair and maintenance costs are expensed. Interest is capitalized to the asset to which it relates in connection with the construction or expansion of facilities. Construction costs directly associated with the development of a correctional facility are capitalized as part of the cost of the development project. Such costs are written-off to general and administrative expense whenever a project is abandoned. The cost and accumulated depreciation applicable to assets retired are removed from the accounts and the gain or loss on disposition is recognized in income. Depreciation is computed over the estimated useful lives of depreciable assets using the straight-line method. Useful lives for property and equipment are as follows: | |||||||||||||||||
Land improvements | 5 – 20 years | ||||||||||||||||
Buildings and improvements | 5 – 50 years | ||||||||||||||||
Equipment and software | 3 – 5 years | ||||||||||||||||
Office furniture and fixtures | 5 years | ||||||||||||||||
Accounting for the Impairment of Long-Lived Assets Other Than Goodwill | |||||||||||||||||
Long-lived assets other than goodwill are reviewed for impairment when circumstances indicate the carrying value of an asset may not be recoverable. When circumstances indicate an asset may not be recoverable, impairment is recognized when the estimated undiscounted cash flows associated with the asset or group of assets is less than their carrying value. If impairment exists, an adjustment is made to write the asset down to its fair value, and a loss is recorded as the difference between the carrying value and fair value. Fair values are determined based on quoted market values, comparable sales data, discounted cash flows or internal and external appraisals, as applicable. | |||||||||||||||||
Goodwill | |||||||||||||||||
Goodwill represents the cost in excess of the net assets of businesses acquired. As further discussed in Note 3, goodwill is tested for impairment at least annually using a fair-value based approach. | |||||||||||||||||
Investment in Direct Financing Lease | |||||||||||||||||
Investment in direct financing lease represents the portion of CCA’s management contract with a governmental agency that represents lease payments on buildings and equipment. The lease is accounted for using the financing method and, accordingly, the minimum lease payments to be received over the term of the lease less unearned income are capitalized as CCA’s investment in the lease. Unearned income is recognized as income over the term of the lease using the interest method. | |||||||||||||||||
Investment in Affiliates | |||||||||||||||||
Investments in affiliates that are equal to or less than 50%-owned over which CCA can exercise significant influence are accounted for using the equity method of accounting. Investments under the equity method are recorded at cost and subsequently adjusted for contributions, distributions, and net income attributable to the Company’s ownership based on the governing agreement. | |||||||||||||||||
Debt Issuance Costs | |||||||||||||||||
Generally, debt issuance costs, which are included in other assets in the consolidated balance sheets, are capitalized and amortized into interest expense using the interest method, or on a straight-line basis over the term of the related debt, if not materially different than the interest method. However, certain debt issuance costs incurred in connection with debt refinancings are charged to expense in accordance with Accounting Standards Codification (“ASC”) 470-50, “Modifications and Extinguishments.” | |||||||||||||||||
Revenue Recognition | |||||||||||||||||
CCA maintains contracts with certain governmental entities to manage their facilities for fixed per diem rates. CCA also maintains contracts with various federal, state, and local governmental entities for the housing of offenders in company-owned facilities at fixed per diem rates or monthly fixed rates. These contracts usually contain expiration dates with renewal options ranging from annual to multi-year renewals. Most of these contracts have current terms that require renewal every two to five years. Additionally, most facility management contracts contain clauses that allow the government agency to terminate a contract without cause, and are generally subject to legislative appropriations. CCA generally expects to renew these contracts for periods consistent with the remaining renewal options allowed by the contracts or other reasonable extensions; however, no assurance can be given that such renewals will be obtained. Fixed monthly rate revenue is recorded in the month earned and fixed per diem revenue, including revenue under those contracts that include guaranteed minimum populations, is recorded based on the per diem rate multiplied by the number of offenders housed or guaranteed during the respective period. | |||||||||||||||||
CCA recognizes any additional management service revenues upon completion of services provided to the customer. Certain of the government agencies also have the authority to audit and investigate CCA’s contracts with them. If the agency determines that CCA has improperly allocated costs to a specific contract or otherwise was unable to perform certain contractual services, CCA may not be reimbursed for those costs and could be required to refund the amount of any such costs that have been reimbursed. | |||||||||||||||||
Rental revenue is recognized in accordance with ASC 840, “Leases”. In accordance with ASC 840, minimum rental revenue is recognized on a straight-line basis over the term of the related lease. Leasehold incentives are recognized as a reduction to rental revenue on a straight-line basis over the term of the related lease. Rental revenue associated with expense reimbursements from tenants are recognized in the period that the related expenses are incurred based upon the tenant lease provision. | |||||||||||||||||
In September 2014, CCA agreed under an expansion of an existing inter-governmental service agreement (“IGSA”) between the city of Eloy, Arizona and the U.S. Immigration and Customs Enforcement (“ICE”) to provide residential space and services at the newly activated South Texas Family Residential Center. The amended IGSA qualifies as a multiple-element arrangement under the guidance in ASC 605, “Revenue Recognition”. CCA evaluates each deliverable in an arrangement to determine whether it represents a separate unit of accounting. A deliverable constitutes a separate unit of accounting when it has standalone value to the customer. ASC 605 requires revenue to be allocated to each unit of accounting based on a selling price hierarchy. The selling price for a deliverable is based on its vendor specific objective evidence (“VSOE”) of selling price, if available, third party evidence (“TPE”) if VSOE of selling price is not available, or estimated selling price (“ESP”) if neither VSOE of selling price nor TPE is available. CCA establishes VSOE of selling price using the price charged for a deliverable when sold separately. CCA establishes TPE of selling price by evaluating similar products or services in standalone sales to similarly situated customers. CCA establishes ESP based on management judgment considering internal factors such as margin objectives, pricing practices and controls, and market conditions. In arrangements with multiple elements, CCA allocates the transaction price to the individual units of accounting at inception of the arrangement based on their relative selling price. | |||||||||||||||||
Other revenue consists primarily of ancillary revenues associated with operating correctional and detention facilities, such as commissary, phone, and vending sales, and are recorded in the period the goods and services are provided. Revenues generated from prisoner transportation services for governmental agencies are recorded in the period the inmates have been transported to their destination. | |||||||||||||||||
Self-Funded Insurance Reserves | |||||||||||||||||
CCA is significantly self-insured for employee health, workers’ compensation, automobile liability claims, and general liability claims. As such, CCA’s insurance expense is largely dependent on claims experience and CCA’s ability to control its claims experience. CCA has consistently accrued the estimated liability for employee health insurance based on its history of claims experience and time lag between the incident date and the date the cost is paid by CCA. CCA has accrued the estimated liability for workers’ compensation claims based on an actuarially determined liability, discounted to the net present value of the outstanding liabilities, using a combination of actuarial methods used to project ultimate losses, and the Company’s automobile insurance claims based on estimated development factors on claims incurred. The liability for employee health, workers’ compensation, and automobile insurance includes estimates for both claims incurred and for claims incurred but not reported. CCA records litigation reserves related to general liability matters for which it is probable that a loss has been incurred and the range of such loss can be estimated. These estimates could change in the future. | |||||||||||||||||
Income Taxes | |||||||||||||||||
CCA began operating as a REIT for federal income tax purposes effective January 1, 2013. As a REIT, the Company generally is not subject to corporate level federal income tax on taxable income it distributes to its shareholders as long as it meets the organizational and operational requirements under the REIT rules. However, certain subsidiaries have made an election with the Company to be treated as TRSs in conjunction with the Company’s REIT election. The TRS elections permit CCA to engage in certain business activities in which the REIT may not engage directly, so long as these activities are conducted in entities that elect to be treated as TRSs under the Internal Revenue Code. A TRS is subject to federal and state income taxes on the income from these activities and therefore, CCA includes a provision for taxes in its consolidated financial statements. | |||||||||||||||||
Income taxes are accounted for under the provisions of ASC 740, “Income Taxes”. ASC 740 generally requires CCA to record deferred income taxes for the tax effect of differences between book and tax bases of its assets and liabilities. Deferred income taxes reflect the available net operating losses and the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the statement of operations in the period that includes the enactment date. Realization of the future tax benefits related to deferred tax assets is dependent on many factors, including CCA’s past earnings history, expected future earnings, the character and jurisdiction of such earnings, unsettled circumstances that, if unfavorably resolved, would adversely affect utilization of its deferred tax assets, carryback and carryforward periods, and tax strategies that could potentially enhance the likelihood of realization of a deferred tax asset. | |||||||||||||||||
Income tax contingencies are accounted for under the provisions of ASC 740. ASC 740 prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The guidance prescribed in ASC 740 establishes a recognition threshold of more likely than not that a tax position will be sustained upon examination. The measurement attribute requires that a tax position be measured at the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. | |||||||||||||||||
Foreign Currency Transactions | |||||||||||||||||
CCA has extended a working capital loan to Agecroft Prison Management, Ltd. (“APM”), the operator of a correctional facility in Salford, England previously owned by a subsidiary of CCA. The working capital loan is denominated in British pounds; consequently, CCA adjusts these receivables to the current exchange rate at each balance sheet date and recognizes the unrealized currency gain or loss in current period earnings. See Note 6 for further discussion of CCA’s relationship with APM. | |||||||||||||||||
Fair Value of Financial Instruments | |||||||||||||||||
To meet the reporting requirements of ASC 825, “Financial Instruments”, regarding fair value of financial instruments, CCA calculates the estimated fair value of financial instruments using market interest rates, quoted market prices of similar instruments, or discounted cash flow techniques with observable Level 1 inputs for publicly traded debt and Level 2 inputs for all other financial instruments, as defined in ASC 820, “Fair Value Measurement”. At December 31, 2014 and 2013, there were no material differences between the carrying amounts and the estimated fair values of CCA’s financial instruments, other than as follows (in thousands): | |||||||||||||||||
December 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Carrying | Fair Value | Carrying | Fair Value | ||||||||||||||
Amount | Amount | ||||||||||||||||
Investment in direct financing lease | $ | 5,473 | $ | 6,048 | $ | 7,466 | $ | 8,609 | |||||||||
Note receivable from APM | $ | 3,677 | $ | 6,539 | $ | 4,831 | $ | 9,006 | |||||||||
Debt | $ | (1,200,000 | ) | $ | (1,179,625 | ) | $ | (1,205,000 | ) | $ | (1,179,375 | ) | |||||
Use of Estimates in Preparation of Financial Statements | |||||||||||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities, at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates and those differences could be material. | |||||||||||||||||
Concentration of Credit Risks | |||||||||||||||||
CCA’s credit risks relate primarily to cash and cash equivalents, restricted cash, accounts receivable, and an investment in a direct financing lease. Cash and cash equivalents and restricted cash are primarily held in bank accounts and overnight investments. CCA maintains deposits of cash in excess of federally insured limits with certain financial institutions. CCA’s accounts receivable and investment in direct financing lease represent amounts due primarily from governmental agencies. CCA’s financial instruments are subject to the possibility of loss in carrying value as a result of either the failure of other parties to perform according to their contractual obligations or changes in market prices that make the instruments less valuable. | |||||||||||||||||
CCA derives its revenues primarily from amounts earned under federal, state, and local government contracts. For each of the years ended December 31, 2014, 2013, and 2012, federal correctional and detention authorities represented 44% of CCA’s total revenue. Federal correctional and detention authorities consist primarily of the Federal Bureau of Prisons (“BOP”), the United States Marshals Service (“USMS”), and ICE. The BOP accounted for 13%, 13%, and 12% of total revenue for 2014, 2013, and 2012, respectively. The USMS accounted for 17%, 19%, and 20% of total revenue for 2014, 2013, and 2012, respectively. ICE accounted for 13%, 12%, and 12% of total revenue for 2014, 2013, and 2012, respectively. These federal customers have management contracts at facilities CCA owns and at facilities CCA manages but does not own. Additionally, CCA’s management contracts with state correctional authorities represented 48%, 49%, and 49% of total revenue during the years ended December 31, 2014, 2013, and 2012, respectively. The State of California Department of Corrections and Rehabilitation (the “CDCR”) accounted for 14%, 12%, and 12% of total revenue for the years ended December 31, 2014, 2013, and 2012, respectively, including revenue generated under an operating lease that commenced December 1, 2013, at a facility we own in California. No other customer generated more than 10% of total revenue during 2014, 2013, or 2012. Although the revenue generated from each of these agencies is derived from numerous management contracts, the loss of one or more of such contracts could have a material adverse impact on CCA’s financial condition and results of operations. | |||||||||||||||||
Accounting for Stock-Based Compensation | |||||||||||||||||
Restricted Stock | |||||||||||||||||
CCA accounts for restricted stock-based compensation under the recognition and measurement principles of ASC 718, “Compensation-Stock Compensation”. CCA amortizes the fair market value as of the grant date of restricted stock awards over the vesting period using the straight-line method. The fair market value of performance-based restricted stock is amortized over the vesting period as long as CCA expects to meet the performance criteria. If achievement of the performance criteria becomes improbable, an adjustment is made to reverse the expense previously recognized. | |||||||||||||||||
Stock Options | |||||||||||||||||
CCA’s stock option plans are described more fully in Note 13. CCA accounts for those plans under the recognition and measurement principles of ASC 718. All options granted under those plans had an exercise price equal to the market value of the underlying common stock on the date of grant. | |||||||||||||||||
Recent Accounting Pronouncements | |||||||||||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers”, which establishes a single, comprehensive revenue recognition standard for all contracts with customers. For public reporting entities such as CCA, ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2016 and early adoption of the ASU is not permitted. CCA is reviewing the ASU to determine the potential impact it might have on the Company’s results of operations, cash flows, or financial position and its related financial statement disclosures, along with evaluating which transition method will be utilized upon adoption. |
GOODWILL
GOODWILL | 12 Months Ended | |
Dec. 31, 2014 | ||
GOODWILL | 3 | GOODWILL |
ASC 350, “Intangibles-Goodwill and Other”, establishes accounting and reporting requirements for goodwill and other intangible assets. Goodwill was $16.1 million as of December 31, 2014 and 2013. This goodwill was established in connection with the acquisition of Correctional Alternatives Inc. (“CAI”) during the third quarter of 2013, as further described in Note 5, and the acquisitions of two service companies during 2000. | ||
CCA applies the FASB’s ASU 2011-08, which gives companies the option to perform a qualitative assessment that may allow them to skip the annual two-step impairment test. Under the amendments in ASU 2011-08, a company has the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. If, after assessing the totality of events or circumstances, an entity determines it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, then performing the two-step impairment test is unnecessary. If the two-step impairment test is required, CCA determines the fair value of a reporting unit using a collaboration of various common valuation techniques, including market multiples and discounted cash flows. These impairment tests are required to be performed at least annually. CCA performed its impairment tests during the fourth quarter, in connection with CCA’s annual budgeting process, and concluded no impairments had occurred. CCA will perform these impairment tests at least annually and whenever circumstances indicate the carrying value of goodwill may not be recoverable. | ||
During the fourth quarter of 2013, CCA reported an asset impairment of $1.1 million for the write-off of goodwill associated with the Bay Correctional Facility in Florida. In the fourth quarter of 2013, the Florida Department of Management Services (“DMS”) awarded to another operator the contract to manage this facility owned by the state of Florida upon the expiration of CCA’s contract on January 31, 2014. | ||
During the third quarter of 2013, CCA reported an asset impairment of $1.0 million for the write-off of goodwill associated with the Idaho Correctional Center. During the second quarter of 2013, the state of Idaho reported that they expected to solicit bids for the management of the Idaho Correctional Center upon the expiration of CCA’s contract in June 2014. During the third quarter of 2013, CCA decided not to submit a bid for the continued management of this facility. The state assumed management of the facility effective July 1, 2014. | ||
During the second quarter of 2013, CCA received notification that it was not selected for the continued management of the Wilkinson County Correctional Facility at the end of the contract on June 30, 2013. As a result of this managed-only contract termination, during the second quarter of 2013, CCA recorded asset impairments of $2.6 million consisting of a goodwill impairment charge of $0.8 million and $1.8 million for other assets. These charges are reported as discontinued operations in the accompanying statement of operations for the year ended December 31, 2013. |
PROPERTY_AND_EQUIPMENT
PROPERTY AND EQUIPMENT | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
PROPERTY AND EQUIPMENT | 4 | PROPERTY AND EQUIPMENT | |||||||
At December 31, 2014, CCA owned 54 real estate properties, including 52 correctional and detention facilities, three of which CCA leased to other operators, and two corporate office buildings. At December 31, 2014, CCA also managed 12 correctional and detention facilities owned by governmental agencies. | |||||||||
Property and equipment, at cost, consists of the following (in thousands): | |||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Land and improvements | $ | 127,221 | $ | 127,246 | |||||
Buildings and improvements | 3,048,836 | 3,058,748 | |||||||
Equipment and software | 326,603 | 316,696 | |||||||
Office furniture and fixtures | 30,884 | 30,969 | |||||||
Construction in progress | 276,508 | 93,187 | |||||||
3,810,052 | 3,626,846 | ||||||||
Less: Accumulated depreciation | (1,151,424 | ) | (1,080,233 | ) | |||||
$ | 2,658,628 | $ | 2,546,613 | ||||||
Construction in progress primarily consists of correctional facilities under construction or expansion. Interest is capitalized on construction in progress and amounted to $2.5 million, $0.8 million, and $1.1 million in 2014, 2013, and 2012, respectively. | |||||||||
Depreciation expense was $114.0 million, $112.8 million, and $113.2 million for the years ended December 31, 2014, 2013, and 2012, respectively. | |||||||||
Eleven of the facilities owned by CCA are subject to options that allow various governmental agencies to purchase those facilities. Certain of these options to purchase are based on a depreciated book value while others are based on a fair market value calculation. In addition, two facilities, one of which is also subject to a purchase option, are constructed on land that CCA leases from governmental agencies under ground leases. Under the terms of those ground leases, the facilities become the property of the governmental agencies upon expiration of the ground leases in 2015 and 2017. CCA depreciates these properties over the shorter of the term of the applicable ground lease or the estimated useful life of the property. | |||||||||
CCA leases portions of the land and building of the San Diego Correctional Facility under an operating lease that expires December 2015 pursuant to amended lease terms executed between CCA and the County of San Diego in January 2010. CCA also leases land and building at the Elizabeth Detention Center under operating leases that expire in June 2015. During December 2013, CCA elected to terminate the lease of land and building at the North Georgia Detention Center effective during the first quarter of 2014. | |||||||||
CCA leases the South Texas Family Residential Center and the site upon which it is being constructed from a third-party lessor. CCA’s lease agreement with the lessor is over a base period co-terminus with an amended IGSA with ICE, as further described in Note 5, and includes two one-year renewal periods. However, under terms of the lease agreement, if ICE terminates the amended IGSA for convenience, CCA can terminate the agreement, without penalty, by providing the lessor with a 90-day notice. In the event ICE elects to terminate the amended IGSA due to a non-appropriation of funds, CCA must provide a 60-day notice period to the lessor. If ICE terminates the IGSA due to non-appropriation of funds without notice to CCA, CCA may not be able to provide a timely termination notice to the lessor and could, therefore, be subject to a penalty the equivalent of up to two months of payments due to the lessor, which would currently amount to approximately $13.4 million. | |||||||||
In January 2015, a class action lawsuit was filed in federal district court for the District of Columbia against the Secretary of the Department of Homeland Security (“DHS”) and certain ICE officials. The complaint sought to certify a class of plaintiffs, consisting of Central American mothers and children who (i) have been or will be detained in ICE family detention facilities since June 2014, (ii) have been or will be determined to have a credible fear of persecution in their home country under federal asylum laws and (iii) are eligible for release on bond pursuant to certain federal statutes but have been or will be denied such release after being subject to an ICE custody determination that took deterrence of mass migration into account. In February 2015, the court certified the class and granted the plaintiffs’ motion for a preliminary injunction, enjoining DHS from detaining class members for the purpose of deterring future immigration to the United States and from considering deterrence of such immigration as a factor in such custody determinations until a final determination has been reached on the merits of the action. CCA has not received any instruction from ICE on what action they intend to take in response to the court order, or how and whether it will affect CCA’s contract at the South Texas Family Residential Center. Any adverse decision with regard to this contract could materially affect CCA’s financial condition and results of operations. | |||||||||
CCA’s lease agreement with the third-party lessor required CCA to pay $70.0 million in September 2014, which resulted in CCA being deemed the owner of the constructed assets for accounting purposes, in accordance with ASC 840-40-55, formerly Emerging Issues Task Force No. 97-10, “The Effect of Lessee Involvement in Asset Construction”. Accordingly, CCA is recording an asset representing the estimated costs incurred attributable to the building assets being constructed by the third-party lessor and a related financing liability. CCA will depreciate the asset over the four-year term of the lease and will impute interest for the financing liability. Additionally, CCA determined that the lease with the third-party lessor also includes separate units of account for the land and pre-existing cottages as well as food services provided by the third-party lessor. The amount of consideration allocated to each of these separate deliverables was determined based on the relative selling price of the lessor-financing, the land lease, the lease of pre-existing cottages, and the food services. The operating lease term for the land is equivalent to the four-year term of the lease and is recognized on a straight-line basis over the lease term. The operating lease term for the pre-existing cottages is the four-month period in which CCA expects to use the cottages for housing residents. The food services provided by the third-party lessor are recognized proportionally based on the number of beds available to ICE during the construction period until such time as the facility reaches its capacity of 2,400 beds which is expected to be in the second quarter of 2015. In addition to the lease commitments described above, as of December 31, 2014, CCA has contractually committed $57.6 million for tenant improvements, furniture and equipment, and various other services related to the South Texas Family Residential Center even though many of these agreements provide CCA with the ability to terminate if ICE terminates the amended IGSA. | |||||||||
The rental expense incurred for the leases at these four facilities, inclusive of the expenses recognized for the South Texas lease, as described above, was $9.1 million, $5.9 million, and $4.7 million for the years ended December 31, 2014, 2013, and 2012, respectively. Future minimum lease payments as of December 31, 2014 under these operating leases, inclusive of $287.4 million of payments expected to be made under the cancelable lease at the South Texas facility, are as follows (in thousands): | |||||||||
2015 | $ | 83,427 | |||||||
2016 | 79,538 | ||||||||
2017 | 73,412 | ||||||||
2018 | 53,733 | ||||||||
2019 | — | ||||||||
Thereafter | — | ||||||||
In December 2009, CCA entered into an Economic Development Agreement (“EDA”) with the Wheeler County Development Authority (“Wheeler County”) in Wheeler County, Georgia to implement a tax abatement plan related to CCA’s bed expansion project at its Wheeler Correctional Facility. The tax abatement plan provides for 50% abatement of real property taxes for six years. In December 2009, Wheeler County issued bonds in a maximum principal amount of $30.0 million. Also, in December 2009, CCA entered into an EDA with the Douglas-Coffee County Industrial Authority (“Coffee County”) in Coffee County, Georgia to implement a tax abatement plan related to CCA’s bed expansion project at its Coffee Correctional Facility. The tax abatement plan provides for 100% abatement of real property taxes for five years. In December 2009, Coffee County issued bonds in a maximum principal amount of $33.0 million. In June 2013, CCA also entered into an EDA with the Development Authority of Telfair County (“Telfair County”) in Telfair County, Georgia to implement a tax abatement plan related to CCA’s bed expansion project at its McRae Correctional Facility. The tax abatement plan provides for 90% abatement of real property taxes in the first year, decreasing by 10% over the subsequent nine years. In June 2013, Telfair County issued bonds in a maximum principal amount of $15.0 million. | |||||||||
According to each of the EDAs, legal title of CCA’s real property was transferred to the respective county. Pursuant to each EDA, the bonds were issued to CCA, so no cash exchanged hands. In each case, the applicable county authority then leased the real property back to CCA. The lease payments are equal to the amount of the payments on the bonds. At any time, CCA has the option to purchase the real property by paying off the bonds, plus $100. Due to the form of the transactions, CCA has not recorded the bonds or the capital leases associated with sale lease-back transactions. The original cost of CCA’s property and equipment is recorded on the balance sheet and is being depreciated over its estimated useful life. |
REAL_ESTATE_TRANSACTIONS
REAL ESTATE TRANSACTIONS | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
REAL ESTATE TRANSACTIONS | 5 | REAL ESTATE TRANSACTIONS | |||||||||||||||
Acquisitions | |||||||||||||||||
On July 31, 2013, CCA acquired in a business combination all of the stock of CAI, a privately held San Diego, California community corrections company that specializes in residential re-entry, home detention, and work furlough programs for San Diego County, the BOP and United States Pretrial and Probation. CCA acquired CAI as a strategic investment in a complementary business that broadens the scope of solutions it provides, from incarceration through release, and supporting its belief in helping offenders successfully transition to society. The consideration paid for CAI, consisted of approximately $36.5 million in cash, excluding transaction related expenses of $0.8 million. The purchase price was allocated based on fair value for the assets acquired and the liabilities assumed. In allocating the purchase price, CCA recorded $7.0 million of goodwill, $26.9 million of identifiable intangible assets, $7.9 million of intangible liabilities, $17.7 million of net tangible assets, and $7.2 million of deferred tax liabilities. Several factors gave rise to the goodwill recorded in the acquisition, such as the expected benefit from synergies of the combination and the long-term contracts within a complementary business that broadens the scope of solutions CCA provides. The results of operations for CAI have been included in the Company’s consolidated financial statements from the date of acquisition. | |||||||||||||||||
Real Estate Closures and Idle Facilities | |||||||||||||||||
CCA has five idled core facilities that are currently available and being actively marketed to other customers. CCA considers its core facilities to be those that were designed for adult secure correctional purposes. The following table summarizes each of the idled core facilities and their respective carrying values, excluding equipment and other assets that could generally be transferred and used at other facilities CCA owns without significant cost (dollars in thousands): | |||||||||||||||||
Design | Date | Net Carrying Values at December 31, | |||||||||||||||
Facility | Capacity | Idled | 2014 | 2013 | |||||||||||||
Prairie Correctional Facility | 1,600 | 2010 | $ | 18,748 | $ | 19,366 | |||||||||||
Huerfano County Correctional Center | 752 | 2010 | 19,033 | 19,800 | |||||||||||||
Diamondback Correctional Facility | 2,160 | 2010 | 44,480 | 44,223 | |||||||||||||
Otter Creek Correctional Center | 656 | 2012 | 24,089 | 24,805 | |||||||||||||
Marion Adjustment Center | 826 | 2013 | 12,978 | 13,429 | |||||||||||||
5,994 | $ | 119,328 | $ | 121,623 | |||||||||||||
CCA also has three idled non-core facilities with carrying values amounting to $1.3 million and $30.4 million as of December 31, 2014 and 2013, respectively. CCA considers the Shelby Training Center, Queensgate Correctional Facility, and Mineral Wells Pre-Parole Transfer Facility to be non-core facilities because they were designed for uses other than for adult secure correctional purposes. From the date each of the aforementioned eight facilities became idle, CCA incurred approximately $7.9 million, $6.4 million, and $6.0 million in operating expenses for the years ended December 31, 2014, 2013, and 2012, respectively. The operating expenses incurred in 2014 and 2013 exclude the incremental expenses incurred in connection with the activation of the Diamondback facility which began in the third quarter of 2013 and continued until near the end of the second quarter of 2014, when anticipated opportunities to activate the facility were deferred. | |||||||||||||||||
CCA considers the cancellation of a contract as an indicator of impairment and tested each of the aforementioned facilities for impairment when it was notified by the respective customers that they would no longer be utilizing such facility. Upon notification of cancellation by the respective customers, CCA concluded in each case that no impairment had occurred. CCA updates the impairment analyses on an annual basis for each of the idled facilities and evaluates on a quarterly basis market developments for the potential utilization of each of these facilities in order to identify events that may cause CCA to reconsider its most recent assumptions. As a result of CCA’s analyses, CCA determined each of the five core assets to have recoverable values in excess of the corresponding carrying values. | |||||||||||||||||
In the fourth quarter of 2014, CCA made the decision to actively pursue the sale of the Queensgate Correctional Facility, idle since 2009, and the Mineral Wells Pre-Parole Transfer Facility, idle since 2013. CCA reviewed comparable sales data and concluded that either the exit value in the principle market or comparable sales prices for similar properties in the respective geographical areas represented the fair value of these non-core assets. CCA determined the principle market for these non-core assets will be buyers who intend to use the assets for purposes other than as correctional facilities. The aggregate net book value of these facilities prior to the evaluation for impairment was $28.8 million and, as a result of the impairment indicator resulting from the potential sale of the facilities, CCA recorded non-cash impairments totaling $27.8 million during the fourth quarter of 2014 to write down the book values of the Queensgate and Mineral Wells facilities to the estimated fair values using Level 2 inputs for quoted prices of similar assets and assuming asset sales for uses other than correctional facilities. | |||||||||||||||||
Sales | |||||||||||||||||
In the third quarter of 2014, CCA entered into a purchase and sale agreement with a third party to sell its idled Houston Educational Facility in Houston, Texas for $4.5 million. The Houston Educational Facility was another non-core asset that was previously leased to a charter school operator. CCA closed on the sale during the fourth quarter of 2014. The net book value of this facility prior to the evaluation for impairment was $6.4 million and, as a result of the impairment indicator resulting from the potential sale of the facility, CCA recorded a non-cash impairment of $2.2 million during the second quarter of 2014 to write-down the book value of the facility to the estimated fair value using Level 2 inputs. The ultimate sale price was used as a proxy for the fair value of the facility. | |||||||||||||||||
Construction of New Facilities | |||||||||||||||||
In order to retain federal inmate populations CCA currently manages in the 1,154-bed San Diego Correctional Facility, CCA is constructing the 1,492-bed Otay Mesa Detention Center in San Diego. The existing San Diego Correctional Facility is subject to a ground lease with the County of San Diego. Under the provisions of the lease, the facility is divided into different premises whereby, pursuant to an amendment to the ground lease executed in January 2010, ownership of the entire facility reverts to the County upon expiration of the lease on December 31, 2015. As of December 31, 2014, CCA has invested approximately $121.5 million in the new facility. CCA has developed plans to build the Otay Mesa Detention Center within a construction timeline that coincides with the expiration of the ground lease with the County of San Diego. CCA plans to offer this new facility to house the existing federal inmate populations at the San Diego Correctional Facility. | |||||||||||||||||
In November 2013, CCA announced its decision to re-commence construction of a correctional facility in Trousdale County, Tennessee. CCA suspended construction of this facility in 2009 until it had greater clarity around the timing of a new contract. In October 2013, Trousdale County received notice from the Tennessee Department of Corrections of its intent to partner with the County to develop a new correctional facility to house state of Tennessee inmates. In April 2014, CCA entered into an agreement with Trousdale County whereby CCA agreed to finance, design, build and operate a 2,552-bed facility to meet the responsibilities of a separate IGSA between Trousdale County and the state of Tennessee regarding correctional services. In July 2014, CCA received notice that Trousdale County and the state of Tennessee finalized the IGSA. The IGSA with the state of Tennessee includes a minimum monthly payment plus a per diem payment for each inmate housed in the facility in excess of 90% of the design capacity, provided that during a twenty-six week ramp period the minimum payment is based on the greater of the number of inmates actually at the facility or 90% of the beds available pursuant to the ramp schedule. As of December 31, 2014, CCA has invested approximately $60.7 million in the Trousdale Turner Correctional Center and construction is expected to be completed in the fourth quarter of 2015. | |||||||||||||||||
Activations | |||||||||||||||||
In September 2012, CCA announced that it was awarded a new management contract from the Arizona Department of Corrections to house up to 1,000 medium-security inmates at its 1,596-bed Red Rock Correctional Center in Arizona. The new management contract, which commenced in January 2014, contains an initial term of ten years, with two five-year renewal options upon mutual agreement and provides an occupancy guarantee of 90% of the contracted beds, which is expected to be implemented in two phases. The government partner included the occupancy guarantee in its Request For Proposal (“RFP”) in order to guarantee its access to the beds. Additionally, the contract provides the state of Arizona an option to purchase the Red Rock facility at any time during the term of the contract, including extension options, based on an amortization schedule starting with the fair market value and decreasing evenly to zero over the twenty-year term. In order to prepare the Red Rock facility to house Arizona inmates under this contract, CCA capitalized $20.8 million of facility improvements during 2013 and 2014. The total net book value of the facility is being depreciated over the twenty-year term. | |||||||||||||||||
In September 2014, CCA announced that it had agreed under an expansion of an existing IGSA between the City of Eloy, Arizona and ICE to house up to 2,400 individuals at the South Texas Family Residential Center, a facility leased by CCA in Dilley, Texas. Certain new services provided under the amended IGSA commenced in the fourth quarter of 2014, have a term of up to four years, and can be extended by bi-lateral modifications. The agreement provides for a fixed monthly payment in accordance with a graduated schedule. Under terms of the amended IGSA, ICE can terminate the agreement for convenience, without penalty, by providing CCA with at least a 90-day notice. In addition, terms allow for ICE to terminate the agreement with CCA at any time, without penalty, due to a non-appropriation of funds. ICE began housing the first residents at the facility in December 2014, and the site is expected to be ready for full capacity during the second quarter of 2015. | |||||||||||||||||
Under the fixed monthly payment schedule of the amended IGSA, ICE agreed to pay CCA $70.0 million in two $35.0 million installments during the fourth quarter of 2014 and graduated fixed monthly payments over the remaining months of the contract. As described in Note 2, CCA used the multiple-element arrangement guidance prescribed in ASC 605, “Revenue Recognition” in determining the total revenue to be recognized over the term of the amended IGSA. CCA determined that there were five distinct elements related to the amended IGSA with ICE. The lease revenue element, representing the operating lease of the site and constructed assets, was valued based on the estimated selling price of the land and building improvements provided to ICE and is recognized proportionately based on the number of beds available. The correctional services revenue element, representing the correctional management services provided to ICE, was valued based on the estimated selling price of similar services CCA provides and is recognized based on labor efforts expended over the contract. The food services revenue element was valued based on the TPE of the contracted outsourced service and is recognized proportionately based on the number of beds available. The educational services revenue element, representing the grade-level appropriate juvenile educational program prescribed under the IGSA, was based on the TPE of the contracted outsourced service and is recognized on a straight-line basis over the period educational services are required to be performed. The construction management services revenue element, representing CCA’s site development and construction management services, was valued based on the estimated selling price of similar services CCA provides and is recognized on a straight-line basis during the first seven months of the IGSA representing the period over which the construction activity will be ongoing. During 2014, CCA recognized $21.0 million in revenue associated with the amended IGSA with the unrecognized balance of the fixed monthly payments reported in deferred revenue, which is reflected within other liabilities, in the accompanying consolidated balance sheet as of December 31, 2014. | |||||||||||||||||
Other Leasing Transactions | |||||||||||||||||
In October 2013, CCA entered into a lease for its California City Correctional Center with the CDCR. The lease agreement includes a three-year base term that commenced December 1, 2013, with unlimited two-year renewal options upon mutual agreement. Annual base rent during the three-year base term is fixed at $28.5 million. After the three-year base term, the rent will be increased annually by the lesser of CPI (Consumer Price Index) or 2%. CCA is responsible for repairs and maintenance, property taxes and property insurance, while all other aspects and costs of facility operations are the responsibility of the CDCR. CCA also provided $10.0 million of tenant allowances and improvements which is being amortized as a reduction to rental revenue over the expected lease term. | |||||||||||||||||
During December 2013, CCA elected to terminate the lease from the City of Gainesville, Georgia, of the land and building at the North Georgia Detention Center and make replacement beds available at the Stewart Detention Center in Lumpkin, Georgia for the ICE detainees housed at the North Georgia facility. CCA reported an asset impairment of $3.8 million in the fourth quarter of 2013 primarily for renovations CCA made to the North Georgia facility, as well as $1.0 million of expenses associated with the lease termination. All of the detainees were transferred out of the facility and control of the facility was returned to the City of Gainesville near the end of the first quarter of 2014. |
INVESTMENT_IN_AFFILIATE
INVESTMENT IN AFFILIATE | 12 Months Ended | |
Dec. 31, 2014 | ||
INVESTMENT IN AFFILIATE | 6 | INVESTMENT IN AFFILIATE |
CCA has a 50% ownership interest in APM, an entity holding the management contract for a correctional facility, HM Prison Forest Bank, under a 25-year prison management contract with an agency of the United Kingdom government. CCA has determined that its joint venture investment in APM represents a variable interest entity (“VIE”) in accordance with ASC 810, “Consolidation” of which CCA is not the primary beneficiary. The Forest Bank facility, located in Salford, England, was previously constructed and owned by a wholly-owned subsidiary of CCA, which was sold in April 2001. All gains and losses under the joint venture are accounted for using the equity method of accounting. During 2000, CCA extended a working capital loan to APM, which has an outstanding balance of $3.7 million as of December 31, 2014. | ||
For the years ended December 31, 2014, 2013, and 2012, equity in earnings of the joint venture was $720,000, $78,000 and $323,000, respectively, which is included in other (income) expense in the consolidated statements of operations. As of December 31, 2014, CCA’s investment in APM was $0.1 million and is reported in other assets in the accompanying consolidated balance sheets. The outstanding working capital loan of $3.7 million, combined with the $0.1 million investment in APM, represents CCA’s maximum exposure to loss in connection with APM. |
INVESTMENT_IN_DIRECT_FINANCING
INVESTMENT IN DIRECT FINANCING LEASE | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
INVESTMENT IN DIRECT FINANCING LEASE | 7 | INVESTMENT IN DIRECT FINANCING LEASE | |||
At December 31, 2014, CCA’s investment in a direct financing lease represents net receivables under a building and equipment lease between CCA and the District of Columbia for the D.C. Correctional Treatment Facility. | |||||
A schedule of minimum rentals to be received under the direct financing lease in future years is as follows (in thousands): | |||||
2015 | $ | 2,793 | |||
2016 | 2,793 | ||||
2017 | 694 | ||||
2018 | — | ||||
2019 | — | ||||
Total minimum obligation | 6,280 | ||||
Less unearned interest income | (807 | ) | |||
Less current portion of direct financing lease | (2,250 | ) | |||
Investment in direct financing lease | $ | 3,223 | |||
During the years ended December 31, 2014, 2013, and 2012, CCA recorded interest income of $0.8 million, $1.0 million, and $1.2 million, respectively, under this direct financing lease. |
OTHER_ASSETS
OTHER ASSETS | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
OTHER ASSETS | 8 | OTHER ASSETS | |||||||
Other assets consist of the following (in thousands): | |||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Debt issuance costs, less accumulated amortization of $5,413 and $2,311, respectively | $ | 14,305 | $ | 17,336 | |||||
Intangible lease value | 24,289 | 25,567 | |||||||
Deferred leasing costs | 8,338 | 9,305 | |||||||
Notes receivable, net | 8,285 | 6,987 | |||||||
Cash equivalents and cash surrender value of life insurance held in Rabbi trust | 17,918 | 15,811 | |||||||
Deposits | 1,982 | 2,037 | |||||||
Straight-line rent receivable | 1,729 | 133 | |||||||
Other | 1,240 | 652 | |||||||
$ | 78,086 | $ | 77,828 | ||||||
ACCOUNTS_PAYABLE_ACCRUED_EXPEN
ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LONG-TERM LIABILITIES | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LONG-TERM LIABILITIES | 9 | ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LONG-TERM LIABILITIES | |||||||
Accounts payable and accrued expenses consist of the following (in thousands): | |||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Trade accounts payable | $ | 49,825 | $ | 49,826 | |||||
Accrued salaries and wages | 58,173 | 58,810 | |||||||
Accrued dividends | 61,129 | 56,306 | |||||||
Accrued workers’ compensation and auto liability | 7,727 | 8,409 | |||||||
Accrued litigation | 4,323 | 6,170 | |||||||
Accrued employee medical insurance | 8,530 | 9,658 | |||||||
Accrued property taxes | 24,522 | 24,721 | |||||||
Accrued interest | 6,435 | 6,331 | |||||||
Deferred revenue | 5,725 | 375 | |||||||
Construction payable | 64,995 | 8,374 | |||||||
Other | 26,182 | 23,297 | |||||||
$ | 317,566 | $ | 252,277 | ||||||
The total liability for workers’ compensation and auto liability was $23.5 million and $24.1 million as of December 31, 2014 and 2013, respectively, with the long-term portion included in other long-term liabilities in the accompanying consolidated balance sheets. These liabilities were discounted to the net present value of the outstanding liabilities using a 3.0% rate in 2014 and 2013. These liabilities amounted to $26.4 million and $27.1 million on an undiscounted basis as of December 31, 2014 and 2013, respectively. | |||||||||
Other long-term liabilities consist of the following (in thousands): | |||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Deferred revenue | $ | 87,227 | $ | 1,070 | |||||
Intangible lease liability | 7,352 | 7,739 | |||||||
Accrued workers’ compensation | 15,732 | 15,707 | |||||||
Accrued deferred compensation | 13,036 | 15,013 | |||||||
Other | 3,356 | 5,983 | |||||||
$ | 126,703 | $ | 45,512 | ||||||
DEBT
DEBT | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
DEBT | 10 | DEBT | |||||||
Debt outstanding consists of the following (in thousands): | |||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Revolving Credit Facility, principal due at maturity in December 2017; interest payable periodically at variable interest rates. The weighted average rate at December 31, 2014 and 2013 was 1.9% and 1.7%, respectively. | $ | 525,000 | $ | 530,000 | |||||
4.625% Senior Notes, principal due at maturity in May 2023; interest payable semi-annually in May and November at 4.625%. | 350,000 | 350,000 | |||||||
4.125% Senior Notes, principal due at maturity in April 2020; interest payable semi-annually in April and October at 4.125%. | 325,000 | 325,000 | |||||||
$ | 1,200,000 | $ | 1,205,000 | ||||||
Revolving Credit Facility. During March 2013, CCA entered into an amended and restated $900.0 million senior secured revolving credit facility (the “$900.0 Million Revolving Credit Facility”). In addition to replacing the previous $785.0 million revolving credit facility, the amendment extended the maturity by one year to December 2017, and provided covenant flexibility to operate as a REIT. CCA capitalized $2.7 million of costs associated with the amendment. | |||||||||
The $900.0 Million Revolving Credit Facility has an aggregate principal capacity of $900.0 million and has an “accordion” feature that provides for uncommitted incremental extensions of credit in the form of increases in the revolving commitments or incremental term loans in an aggregate principal amount up to an additional $100.0 million as requested by CCA, subject to bank approval. At CCA’s option, interest on outstanding borrowings under the $900.0 Million Revolving Credit Facility is based on either a base rate plus a margin ranging from 0.25% to 1.0% or a London Interbank Offered Rate (“LIBOR”) plus a margin ranging from 1.25% to 2.0% based on CCA’s leverage ratio. The $900.0 Million Revolving Credit Facility includes a $30.0 million sublimit for swing line loans that enables CCA to borrow at the base rate from the Administrative Agent without advance notice. | |||||||||
Based on CCA’s current leverage ratio, loans under the $900.0 Million Revolving Credit Facility currently bear interest at the base rate plus a margin of 0.75% or at LIBOR plus a margin of 1.75%, and a commitment fee equal to 0.35% of the unfunded balance. The $900.0 Million Revolving Credit Facility also has a $50.0 million sublimit for the issuance of standby letters of credit. As of December 31, 2014, CCA had $525.0 million in borrowings under the $900.0 Million Revolving Credit Facility as well as $16.3 million in letters of credit outstanding resulting in $358.7 million available under the $900.0 Million Revolving Credit Facility. | |||||||||
The $900.0 Million Revolving Credit Facility is secured by a pledge of all of the capital stock of CCA’s domestic subsidiaries, 65% of the capital stock of CCA’s foreign subsidiaries, all of CCA’s accounts receivable, and all of CCA’s deposit accounts. The $900.0 Million Revolving Credit Facility requires CCA to meet certain financial covenants, including, without limitation, a maximum total leverage ratio, a maximum secured leverage ratio, and a minimum fixed charge coverage ratio. As of December 31, 2014, CCA was in compliance with all such covenants. In addition, the $900.0 Million Revolving Credit Facility contains certain covenants that, among other things, limit the incurrence of additional indebtedness, acquisitions and other investments, payment of dividends and other customary restricted payments, transactions with affiliates, asset sales, mergers and consolidations, liquidations, prepayments and modifications of other indebtedness, liens and other encumbrances and other matters customarily restricted in such agreements. In addition, the $900.0 Million Revolving Credit Facility is subject to certain cross-default provisions with terms of CCA’s other indebtedness, and is subject to acceleration upon the occurrence of a change of control. | |||||||||
Senior Notes. Interest on the $325.0 million aggregate principal amount of CCA’s 4.125% senior notes issued in April 2013 (the “4.125% Senior Notes”) accrues at the stated rate and is payable in April and October of each year. The 4.125% Senior Notes are scheduled to mature on April 1, 2020. Interest on the $350.0 million aggregate principal amount of CCA’s 4.625% senior notes issued in April 2013 (the “4.625% Senior Notes”) accrues at the stated rate and is payable in May and November of each year. The 4.625% Senior Notes are scheduled to mature on May 1, 2023. The 4.125% Senior Notes and the 4.625% Senior Notes, collectively referred to herein as the “Senior Notes”, are senior unsecured obligations of the Company and are guaranteed by all of the Company’s subsidiaries that guarantee the $900.0 Million Revolving Credit Facility. CCA may redeem all or part of the Senior Notes at any time prior to three months before their respective maturity date at a “make-whole” redemption price, plus accrued and unpaid interest thereon to, but not including, the redemption date. Thereafter, the Senior Notes are redeemable at CCA’s option, in whole or in part, at a redemption price equal to 100% of the aggregate principal amount of the notes to be redeemed plus accrued and unpaid interest thereon to, but not including, the redemption date. | |||||||||
Guarantees and Covenants. All of the domestic subsidiaries of CCA (as the parent corporation) have provided full and unconditional guarantees of the Senior Notes. Each of CCA’s subsidiaries guaranteeing the Senior Notes are 100% owned subsidiaries of CCA; the subsidiary guarantees are full and unconditional and are joint and several obligations of the guarantors; and all non-guarantor subsidiaries are minor (as defined in Rule 3-10(h)(6) of Regulation S-X). | |||||||||
As of December 31, 2014, neither CCA nor any of its subsidiary guarantors had any material or significant restrictions on CCA’s ability to obtain funds from its subsidiaries by dividend or loan or to transfer assets from such subsidiaries. | |||||||||
The indentures governing the Senior Notes contain certain customary covenants that, subject to certain exceptions and qualifications, restrict CCA’s ability to, among other things, make restricted payments; incur additional debt or issue certain types of preferred stock; create or permit to exist certain liens; consolidate, merge or transfer all or substantially all of CCA’s assets; and enter into transactions with affiliates. In addition, if CCA sells certain assets (and generally does not use the proceeds of such sales for certain specified purposes) or experiences specific kinds of changes in control, CCA must offer to repurchase all or a portion of the Senior Notes. The offer price for the Senior Notes in connection with an asset sale would be equal to 100% of the aggregate principal amount of the notes repurchased plus accrued and unpaid interest and liquidated damages, if any, on the notes repurchased to the date of purchase. The offer price for the Senior Notes in connection with a change in control would be 101% of the aggregate principal amount of the notes repurchased plus accrued and unpaid interest and liquidated damages, if any, on the notes repurchased to the date of purchase. The Senior Notes are also subject to certain cross-default provisions with the terms of CCA’s $900.0 Million Revolving Credit Facility, as more fully described hereafter. | |||||||||
Other Debt Transactions | |||||||||
Letters of Credit. At December 31, 2014 and 2013, CCA had $16.3 million and $25.0 million, respectively, in outstanding letters of credit. The letters of credit were issued to secure CCA’s workers’ compensation and general liability insurance policies, performance bonds, and utility deposits. The letters of credit outstanding at December 31, 2014 and 2013 were provided by a sub-facility under the $900.0 Million Revolving Credit Facility. | |||||||||
Debt Maturities | |||||||||
Scheduled principal payments as of December 31, 2014 for the next five years and thereafter were as follows (in thousands): | |||||||||
2015 | $ | — | |||||||
2016 | — | ||||||||
2017 | 525,000 | ||||||||
2018 | — | ||||||||
2019 | — | ||||||||
Thereafter | 675,000 | ||||||||
Total debt | $ | 1,200,000 | |||||||
Cross-Default Provisions | |||||||||
The provisions of CCA’s debt agreements relating to the $900.0 Million Revolving Credit Facility and the Senior Notes contain certain cross-default provisions. Any events of default under the $900.0 Million Revolving Credit Facility that results in the lenders’ actual acceleration of amounts outstanding thereunder also result in an event of default under the Senior Notes. Additionally, any events of default under the Senior Notes that give rise to the ability of the holders of such indebtedness to exercise their acceleration rights also result in an event of default under the $900.0 Million Revolving Credit Facility. | |||||||||
If CCA were to be in default under the $900.0 Million Revolving Credit Facility, and if the lenders under the $900.0 Million Revolving Credit Facility elected to exercise their rights to accelerate CCA’s obligations under the $900.0 Million Revolving Credit Facility, such events could result in the acceleration of all or a portion of CCA’s Senior Notes, which would have a material adverse effect on CCA’s liquidity and financial position. CCA does not have sufficient working capital to satisfy its debt obligations in the event of an acceleration of all or a substantial portion of CCA’s outstanding indebtedness. |
INCOME_TAXES
INCOME TAXES | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
INCOME TAXES | 11 | INCOME TAXES | |||||||||||
As discussed in Note 1, the Company began operating in compliance with REIT requirements for federal income tax purposes effective January 1, 2013. As a REIT, the Company must distribute at least 90 percent of its taxable income (including dividends paid to it by its TRSs) and will not pay federal income taxes on the amount distributed to its shareholders. Therefore, the Company should not be subject to federal income taxes if it distributes 100 percent of its taxable income. In addition, the Company must meet a number of other organizational and operational requirements. It is management’s intention to adhere to these requirements and maintain the Company’s REIT status. Most states where CCA holds investments in real estate conform to the federal rules recognizing REITs. Certain subsidiaries have made an election with the Company to be treated as TRSs in conjunction with the Company’s REIT election; the TRS elections permit CCA to engage in certain business activities in which the REIT may not engage directly. A TRS is subject to federal and state income taxes on the income from these activities and therefore, CCA includes a provision for taxes in its consolidated financial statements. | |||||||||||||
Income tax expense (benefit) is comprised of the following components (in thousands): | |||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Current income tax expense (benefit) | |||||||||||||
Federal | $ | 9,326 | $ | 13,674 | $ | 75,867 | |||||||
State | 828 | 2,368 | 5,885 | ||||||||||
10,154 | 16,042 | 81,752 | |||||||||||
Deferred income tax expense (benefit) | |||||||||||||
Federal | (2,280 | ) | (144,771 | ) | 8,576 | ||||||||
State | (931 | ) | (6,266 | ) | (2,815 | ) | |||||||
(3,211 | ) | (151,037 | ) | 5,761 | |||||||||
Income tax expense (benefit) | $ | 6,943 | $ | (134,995 | ) | $ | 87,513 | ||||||
Significant components of CCA’s deferred tax assets and liabilities as of December 31, 2014 and 2013, are as follows (in thousands): | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Current deferred tax assets: | |||||||||||||
Asset reserves and liabilities not yet deductible for tax | $ | 15,969 | $ | 11,284 | |||||||||
Net current deferred tax assets | 15,969 | 11,284 | |||||||||||
Current deferred tax liabilities: | |||||||||||||
Other | (2,740 | ) | (2,043 | ) | |||||||||
Net total current deferred tax assets | $ | 13,229 | $ | 9,241 | |||||||||
Noncurrent deferred tax assets: | |||||||||||||
Asset reserves and liabilities not yet deductible for tax | $ | 15,665 | $ | 17,372 | |||||||||
Tax over book basis of certain assets | 924 | 897 | |||||||||||
Net operating loss and tax credit carryforwards | 5,008 | 4,575 | |||||||||||
Intangible contract value | 2,877 | 3,024 | |||||||||||
Other | 579 | 705 | |||||||||||
Total noncurrent deferred tax assets | 25,053 | 26,573 | |||||||||||
Less valuation allowance | (4,065 | ) | (4,497 | ) | |||||||||
Net noncurrent deferred tax assets | 20,988 | 22,076 | |||||||||||
Noncurrent deferred tax liabilities: | |||||||||||||
Book over tax basis of certain assets | (9,028 | ) | (9,067 | ) | |||||||||
Intangible lease value | (9,431 | ) | (9,894 | ) | |||||||||
Other | (228 | ) | (37 | ) | |||||||||
Total noncurrent deferred tax liabilities | (18,687 | ) | (18,998 | ) | |||||||||
Net total noncurrent deferred tax assets | $ | 2,301 | $ | 3,078 | |||||||||
The tax benefits associated with equity-based compensation reduced income taxes payable by $0.7 million, $0.4 million, and $2.6 million during 2014, 2013, and 2012, respectively. Such benefits were recorded as increases to stockholders’ equity. | |||||||||||||
A reconciliation of the income tax provision at the statutory income tax rate and the effective tax rate as a percentage of income from continuing operations before income taxes for the years ended December 31, 2014, 2013, and 2012 is as follows: | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Statutory federal rate | 35 | % | 35 | % | 35 | % | |||||||
Dividends paid deduction | (31.1 | ) | (30.7 | ) | — | ||||||||
State taxes, net of federal tax benefit | 0.8 | 1.1 | 1 | ||||||||||
Permanent differences | 0.1 | 3 | 0.7 | ||||||||||
Impact of REIT election | — | (87.0 | ) | — | |||||||||
Other items, net | (1.4 | ) | (1.0 | ) | (0.9 | ) | |||||||
3.4 | % | (79.6 | )% | 35.8 | % | ||||||||
CCA’s effective tax rate was 3.4%, (79.6)%, and 35.8% during 2014, 2013, and 2012, respectively. CCA’s effective tax rate is significantly different in 2014 and 2013 as a result of its election to be taxed as a REIT effective January 1, 2013. As a result of CCA’s election to be taxed as a REIT effective January 1, 2013, CCA recorded during the first quarter of 2013 a net tax benefit of $137.7 million for the revaluation of certain deferred tax assets and liabilities and other income taxes associated with the REIT conversion based on the revised tax structure. As a REIT, CCA is entitled to a deduction for dividends paid, resulting in a substantial reduction in the amount of federal income tax expense it recognizes. Substantially all of CCA’s income tax expense is incurred based on the earnings generated by its TRSs. CCA’s overall effective tax rate is estimated based on its current projection of taxable income primarily generated in its TRSs. The Company’s consolidated effective tax rate could fluctuate in the future based on changes in estimates of taxable income, the relative amounts of taxable income generated by the TRSs and the REIT, the implementation of additional tax planning strategies, changes in federal or state tax rates or laws affecting tax credits available to the Company, changes in other tax laws, changes in estimates related to uncertain tax positions, or changes in state apportionment factors, as well as changes in the valuation allowance applied to the Company’s deferred tax assets that are based primarily on the amount of state net operating losses and tax credits that could expire unused. | |||||||||||||
CCA had no liabilities for uncertain tax positions as of December 31, 2014 and 2013. CCA recognizes interest and penalties related to unrecognized tax positions in income tax expense. CCA does not currently anticipate that the total amount of unrecognized tax positions will significantly change in the next twelve months. | |||||||||||||
CCA’s U.S. federal income tax returns for tax years 2011 through 2013 remain subject to examination by the Internal Revenue Service (“IRS”). All states in which CCA files income tax returns follow the same statute of limitations as federal, with the exception of the following states whose open tax years include 2010 through 2013: Arizona, California, Colorado, Kentucky, Michigan, Minnesota, New Jersey, Texas, and Wisconsin. |
DISCONTINUED_OPERATIONS
DISCONTINUED OPERATIONS | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
DISCONTINUED OPERATIONS | 12 | DISCONTINUED OPERATIONS | |||||||
In April 2014, the FASB issued ASU 2014-08, “Presentation of Financial Statements (Topic 205) and Property, Plant, and Equipment (Topic 360): Reporting Discontinued Operations and Disclosures of Disposals of Components of an Entity”, which changed the criteria for reporting a discontinued operation. Specifically, ASU 2014-08 changed the current definition of “discontinued operations” so that only disposals of components that represent a strategic shift that has (or will have) a major effect on an entity’s operations and financial results qualify for discontinued operations reporting. ASU 2014-08 also expanded the disclosure requirements for discontinued operations and requires new disclosures related to a disposal of an individually significant component of an entity that does not qualify for discontinued operations reporting. ASU 2014-08 is effective for interim and annual periods beginning after December 15, 2014, requires prospective application, and permits early adoption beginning in the first quarter of 2014. | |||||||||
CCA elected to early adopt ASU 2014-08 in the first quarter of 2014. Accordingly, under the guidelines of the new ASU 2014-08, the operations of the Bay Correctional Facility, Graceville Correctional Facility, and the Moore Haven Correctional Facility in Florida were not reported as discontinued operations upon expiration of the contracts effective January 31, 2014. In addition, the operation of the Idaho Correctional Center was not reported as a discontinued operation upon expiration of the contract effective July 1, 2014, as CCA concluded that the four facilities do not meet the new definition of a discontinued operation and that they were not individually significant components of an entity. However, operations of terminated contracts that previously qualified as discontinued operations before January 1, 2014 will continue to be reported as such in the respective prior periods. | |||||||||
In November 2011, CCA announced its joint decision with the state of Mississippi to cease operations at the state-owned 1,172-bed Delta Correctional Facility in Greenwood, Mississippi. In December 2011, CCA began the process of transferring the population of approximately 900 inmates from the facility, which was completed in January 2012. | |||||||||
During the second quarter of 2013, CCA announced that the Texas Department of Criminal Justice elected not to renew its contract for the 2,216-bed managed-only Dawson State Jail in Dallas, Texas due to a legislative budget reduction. As a result, upon expiration of the contract in August 2013, CCA ceased operations of the Dawson State Jail. During the second quarter of 2013, CCA also received notification that it was not selected for the continued management of the 1,000-bed managed-only Wilkinson County Correctional Facility in Woodville, Mississippi at the end of the contract on June 30, 2013. | |||||||||
There were no results of operations during 2014 at these three facilities. The following table summarizes the results of operations for these three facilities for the years ended December 31, 2013 and 2012 (in thousands): | |||||||||
For the Years Ended December 31, | |||||||||
2013 | 2012 | ||||||||
REVENUE: | |||||||||
Managed-only | $ | 19,984 | $ | 36,421 | |||||
19,984 | 36,421 | ||||||||
EXPENSES: | |||||||||
Managed-only | 22,529 | 35,994 | |||||||
Depreciation and amortization | 799 | 870 | |||||||
Asset impairments | 2,637 | — | |||||||
25,965 | 36,864 | ||||||||
OPERATING LOSS | (5,981 | ) | (443 | ) | |||||
Other (expense) income | (17 | ) | 96 | ||||||
LOSS BEFORE INCOME TAXES | (5,998 | ) | (347 | ) | |||||
Income tax benefit | 2,241 | 142 | |||||||
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAXES | $ | (3,757 | ) | $ | (205 | ) | |||
There were no assets and $0.1 million of accounts payable and accrued expenses associated with discontinued operations as of December 31, 2014. There were $15,000 of current assets and $0.9 million of accounts payable and accrued expenses associated with discontinued operations as of December 31, 2013. |
STOCKHOLDERS_EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
STOCKHOLDERS' EQUITY | 13 | STOCKHOLDERS’ EQUITY | |||||||||||||||
Dividends on Common Stock | |||||||||||||||||
The tax characterization of dividends per share on common shares as reported to shareholders was as follows for the years ended December 31, 2014, 2013, and 2012: | |||||||||||||||||
Declaration Date | Record Date | Payable Date | Ordinary | Return of | Total | ||||||||||||
Income | Capital | Per Share | |||||||||||||||
May 11, 2012 | June 8, 2012 | June 22, 2012 | 0.2 | (1) | — | $0.20 | |||||||||||
August 20, 2012 | September 14, 2012 | September 28, 2012 | 0.2 | (1) | — | $0.20 | |||||||||||
November 6, 2012 | November 30, 2012 | 14-Dec-12 | 0.2 | (1) | — | $0.20 | |||||||||||
February 22, 2013 | 3-Apr-13 | 15-Apr-13 | 0.346119 | 0.183881 | $0.53 | ||||||||||||
May 16, 2013 | 3-Jul-13 | 15-Jul-13 | 0.313466 | 0.166534 | $0.48 | ||||||||||||
August 16, 2013 | 2-Oct-13 | 15-Oct-13 | 0.313466 | 0.166534 | $0.48 | ||||||||||||
December 12, 2013 | 2-Jan-14 | 15-Jan-14 | 0.48 | (2) | — | $0.48 | |||||||||||
February 20, 2014 | 2-Apr-14 | 15-Apr-14 | 0.51 | (3) | — | $0.51 | |||||||||||
May 15, 2014 | 2-Jul-14 | 15-Jul-14 | 0.51 | (3) | — | $0.51 | |||||||||||
August 14, 2014 | 2-Oct-14 | 15-Oct-14 | 0.51 | (3) | — | $0.51 | |||||||||||
December 11, 2014 | 2-Jan-15 | 15-Jan-15 | — | (4) | — | (4) | $0.51 | ||||||||||
-1 | The amount constitutes a “Qualified Dividend”, as defined by the IRS. | ||||||||||||||||
-2 | $0.072069 of this amount constitutes a “Qualified Dividend”, as defined by the IRS. | ||||||||||||||||
-3 | $0.076573 of this amount constitutes a “Qualified Dividend”, as defined by the IRS. | ||||||||||||||||
-4 | Taxable in 2015. | ||||||||||||||||
In addition, on April 8, 2013, CCA’s Board of Directors declared a special dividend to shareholders of $675.0 million, or approximately $6.66 per share of common stock, in connection with CCA’s previously announced plan to qualify and convert to a REIT for federal income tax purposes effective as of January 1, 2013. The special dividend was paid in satisfaction of requirements that CCA distribute its accumulated earnings and profits attributable to tax periods ending prior to January 1, 2013. CCA paid the special dividend on May 20, 2013 to shareholders of record as of April 19, 2013. The special dividend constituted a qualified dividend of which $6.647357 was taxable as ordinary income to shareholders in 2013, and $0.012643 constituted a return of capital. | |||||||||||||||||
Each CCA shareholder could elect to receive payment of the special dividend either in all cash, all shares of CCA common stock or a combination of cash and CCA common stock, with the total amount of cash payable to shareholders limited to a maximum of 20% of the total value of the special dividend, or $135.0 million. The total amount of cash elected by shareholders exceeded 20% of the total value of the special dividend. As a result, the cash payment was prorated among those shareholders who elected to receive cash, and the remaining portion of the special dividend was paid in shares of CCA common stock. The total number of shares of CCA common stock distributed pursuant to the special dividend was 13.9 million and was determined based on shareholder elections and the average closing price per share of CCA common stock on the New York Stock Exchange for the three trading days after May 9, 2013, or $38.90 per share. | |||||||||||||||||
Future dividends will depend on CCA’s distribution requirements as a REIT, future earnings, capital requirements, financial condition, opportunities for alternative uses of capital, and on such other factors as the Board of Directors of CCA may consider relevant. | |||||||||||||||||
Common Stock | |||||||||||||||||
Restricted shares. During 2014, CCA issued approximately 548,000 shares of restricted common stock units (“RSUs”) to certain of CCA’s employees and non-employee directors, with an aggregate value of $17.8 million, including 478,000 RSUs to employees and non-employee directors whose compensation is charged to general and administrative expense and 70,000 RSUs to employees whose compensation is charged to operating expense. During 2013, CCA issued approximately 423,000 shares of restricted common stock and RSUs to certain of its employees and non-employee directors, with an aggregate value of $15.6 million, including 378,000 restricted shares or RSUs to employees and non-employee directors whose compensation is charged to general and administrative expense and 45,000 restricted shares to employees whose compensation is charged to operating expense. | |||||||||||||||||
CCA established performance-based vesting conditions on the shares of restricted common stock and RSUs awarded to its officers and executive officers in 2014 and in years prior to 2013. Unless earlier vested under the terms of the agreements, shares or RSUs issued to officers and executive officers in these years are subject to vesting over a three-year period based upon the satisfaction of certain performance criteria. No more than one-third of such shares or RSUs may vest in the first performance period; however, the performance criteria are cumulative for the three-year period. With respect to the RSUs issued in 2013 to officers and executive officers, unless earlier vested under the terms of the RSU agreement, the RSUs issued vest evenly over a three-year period and are not subject to performance-based criteria. Unless earlier vested under the terms of the agreements, shares of restricted stock and RSUs issued to other employees “cliff” vest on the third anniversary of the award, while RSUs issued to non-employee directors vest approximately one year from the date of award. | |||||||||||||||||
Nonvested restricted common stock transactions as of December 31, 2014 and for the year then ended are summarized below (in thousands, except per share amounts). | |||||||||||||||||
Shares of restricted | Weighted average | ||||||||||||||||
common stock and RSUs | grant date fair value | ||||||||||||||||
Nonvested at December 31, 2013 | 812 | $ | 32.81 | ||||||||||||||
Granted | 548 | $ | 32.4 | ||||||||||||||
Cancelled | (31 | ) | $ | 32.31 | |||||||||||||
Vested | (309 | ) | $ | 31.73 | |||||||||||||
Nonvested at December 31, 2014 | 1,020 | $ | 32.93 | ||||||||||||||
During 2014, 2013, and 2012, CCA expensed $12.1 million ($1.4 million of which was recorded in operating expenses and $10.7 million of which was recorded in general and administrative expenses), $9.8 million ($1.2 million of which was recorded in operating expenses and $8.6 million of which was recorded in general and administrative expenses), and $7.6 million ($1.2 million of which was recorded in operating expenses and $6.4 million of which was recorded in general and administrative expenses), net of forfeitures, relating to the restricted common stock and RSUs, respectively. As of December 31, 2014, CCA had $16.6 million of total unrecognized compensation cost related to restricted common stock and RSUs that is expected to be recognized over a remaining weighted-average period of 1.8 years. The total fair value of restricted common stock and RSUs that vested during 2014, 2013, and 2012 was $9.8 million, $10.5 million, and $5.4 million, respectively. | |||||||||||||||||
Preferred Stock | |||||||||||||||||
CCA has the authority to issue 50.0 million shares of $0.01 par value per share preferred stock (the “Preferred Stock”). The Preferred Stock may be issued from time to time upon authorization by the Board of Directors, in such series and with such preferences, conversion or other rights, voting powers, restrictions, limitations as to dividends, qualifications or other provisions as may be fixed by CCA’s Board of Directors. | |||||||||||||||||
Stock Option Plans | |||||||||||||||||
CCA has equity incentive plans under which, among other things, incentive and non-qualified stock options are granted to certain employees and non-employee directors of CCA by the compensation committee of CCA’s Board of Directors. The options are granted with exercise prices equal to the fair market value on the date of grant. Vesting periods for options granted to employees generally range from three to four years. Options granted to non-employee directors vest on a date approximately following the first anniversary of the grant date. The term of such options is ten years from the date of grant. | |||||||||||||||||
In 2014 and 2013, CCA elected not to issue stock options to its non-employee directors, officers, and executive officers as it had in the past and instead elected to issue all of its equity compensation in the form of restricted common stock and RSUs as previously described herein. During 2014, 2013, and 2012, CCA expensed $1.9 million, $3.1 million, and $4.7 million, respectively, net of estimated forfeitures relating to its outstanding stock options, all of which was charged to general and administrative expenses. | |||||||||||||||||
Stock option transactions relating to CCA’s non-qualified stock option plans are summarized below (in thousands, except exercise prices): | |||||||||||||||||
No. of | Weighted- | Weighted- | Aggregate | ||||||||||||||
options | Average | Average | Intrinsic | ||||||||||||||
Exercise Price | Remaining | Value | |||||||||||||||
of options | Contractual | ||||||||||||||||
Term | |||||||||||||||||
Outstanding at December 31, 2013 | 2,602 | $ | 19.31 | ||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (712 | ) | 17.47 | ||||||||||||||
Cancelled | (6 | ) | 22.34 | ||||||||||||||
Outstanding at December 31, 2014 | 1,884 | $ | 20 | 5 | $ | 30,792 | |||||||||||
Exercisable at December 31, 2014 | 1,602 | $ | 19.58 | 4.6 | $ | 26,841 | |||||||||||
The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value (the difference between CCA’s stock price as of December 31, 2014 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on December 31, 2014. This amount changes based on the fair market value of CCA’s stock. The total intrinsic value of options exercised during the years ended December 31, 2014, 2013, and 2012 was $12.3 million, $36.9 million, and $5.5 million, respectively. | |||||||||||||||||
The weighted average fair value of options granted during 2012 was $7.50 per option based on the estimated fair value using the Black-Scholes option-pricing model. The fair value of the 2012 option grant was estimated on the date of the grant using the Black-Scholes option-pricing model with the following weighted average assumptions: | |||||||||||||||||
2012 | |||||||||||||||||
Expected dividend yield | 3 | % | |||||||||||||||
Expected stock price volatility | 42.2 | % | |||||||||||||||
Risk-free interest rate | 1 | % | |||||||||||||||
Expected life of options | 5 years | ||||||||||||||||
CCA estimates expected stock price volatility based on actual historical changes in the market value of CCA’s stock. The risk-free interest rate is based on the U.S. Treasury yield with a term that is consistent with the expected life of the stock options. The expected life of stock options is based on CCA’s historical experience and is calculated separately for groups of employees that have similar historical exercise behavior. | |||||||||||||||||
Nonvested stock option transactions relating to CCA’s non-qualified stock option plans as of December 31, 2014 and changes during the year ended December 31, 2014 are summarized below (in thousands, except grant date fair values): | |||||||||||||||||
Number of | Weighted | ||||||||||||||||
options | average grant | ||||||||||||||||
date fair value | |||||||||||||||||
Nonvested at December 31, 2013 | 679 | $ | 6.88 | ||||||||||||||
Granted | — | $ | — | ||||||||||||||
Cancelled | — | $ | — | ||||||||||||||
Vested | (397 | ) | $ | 7.04 | |||||||||||||
Nonvested at December 31, 2014 | 282 | $ | 6.66 | ||||||||||||||
As of December 31, 2014, CCA had $0.8 million of total unrecognized compensation cost related to stock options that is expected to be recognized over a remaining weighted-average period of 0.9 years. | |||||||||||||||||
At CCA’s 2011 annual meeting of stockholders held in May 2011, CCA’s stockholders approved an amendment to the 2008 Stock Incentive Plan that increased the authorized limit on issuance of new awards to an aggregate of up to 18.0 million shares. In addition, during the 2003 annual meeting the stockholders approved the adoption of CCA’s Non-Employee Directors’ Compensation Plan, authorizing CCA to issue up to 225,000 shares of common stock pursuant to the plan. As of December 31, 2014, CCA had 11.2 million shares available for issuance under the Amended and Restated 2008 Stock Incentive Plan and 0.2 million shares available for issuance under the Non-Employee Directors’ Compensation Plan. |
EARNINGS_PER_SHARE
EARNINGS PER SHARE | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
EARNINGS PER SHARE | 14 | EARNINGS PER SHARE | |||||||||||
Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during the year. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. For CCA, diluted earnings per share is computed by dividing net income by the weighted average number of common shares after considering the additional dilution related to restricted share grants and stock options. | |||||||||||||
A reconciliation of the numerator and denominator of the basic earnings per share computation to the numerator and denominator of the diluted earnings per share computation is as follows (in thousands, except per share data): | |||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
NUMERATOR | |||||||||||||
Basic: | |||||||||||||
Income from continuing operations | $ | 195,022 | $ | 304,592 | $ | 156,966 | |||||||
Loss from discontinued operations, net of taxes | — | (3,757 | ) | (205 | ) | ||||||||
Net income | $ | 195,022 | $ | 300,835 | $ | 156,761 | |||||||
Diluted: | |||||||||||||
Income from continuing operations | $ | 195,022 | $ | 304,592 | $ | 156,966 | |||||||
Loss from discontinued operations, net of taxes | — | (3,757 | ) | (205 | ) | ||||||||
Diluted net income | $ | 195,022 | $ | 300,835 | $ | 156,761 | |||||||
DENOMINATOR | |||||||||||||
Basic: | |||||||||||||
Weighted average common shares outstanding | 116,109 | 109,617 | 99,545 | ||||||||||
Diluted: | |||||||||||||
Weighted average common shares outstanding | 116,109 | 109,617 | 99,545 | ||||||||||
Effect of dilutive securities: | |||||||||||||
Stock options | 895 | 1,279 | 864 | ||||||||||
Restricted stock-based compensation | 308 | 354 | 214 | ||||||||||
Weighted average shares and assumed conversions | 117,312 | 111,250 | 100,623 | ||||||||||
BASIC EARNINGS PER SHARE: | |||||||||||||
Income from continuing operations | $ | 1.68 | $ | 2.77 | $ | 1.58 | |||||||
Loss from discontinued operations, net of taxes | — | (0.03 | ) | — | |||||||||
Net income | $ | 1.68 | $ | 2.74 | $ | 1.58 | |||||||
DILUTED EARNINGS PER SHARE: | |||||||||||||
Income from continuing operations | $ | 1.66 | $ | 2.73 | $ | 1.56 | |||||||
Loss from discontinued operations, net of taxes | — | (0.03 | ) | — | |||||||||
Net income | $ | 1.66 | $ | 2.7 | $ | 1.56 | |||||||
As discussed in Note 13, on May 20, 2013, CCA paid a special dividend in connection with its conversion to a REIT. The shareholders were allowed to elect to receive their payment of the special dividend either in all cash, all shares of CCA common stock, or a combination of cash and CCA common stock, except that CCA placed a limit on the aggregate amount of cash payable to the shareholders. Under ASC 505, “Equity” and ASU 2010-01, “Accounting for Distributions to Shareholders with Components of Stock and Cash, a consensus of the FASB Emerging Issues Task Force”, a distribution that allows shareholders to elect to receive cash or stock with a potential limitation on the total amount of cash that all shareholders can elect to receive in the aggregate is considered a share issuance that is reflected in earnings per share prospectively. As such, the stock portion of the special dividend, totaling 13.9 million shares, is presented prospectively in basic and diluted earnings per share as presented above and was not presented retroactively for all periods presented. | |||||||||||||
Approximately 12,000, 15,000, and 0.7 million stock options were excluded from the computations of diluted earnings per share for the years ended December 31, 2014, 2013, and 2012, respectively, because they were anti-dilutive. |
COMMITMENTS_AND_CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 12 Months Ended | |
Dec. 31, 2014 | ||
COMMITMENTS AND CONTINGENCIES | 15 | COMMITMENTS AND CONTINGENCIES |
Legal Proceedings | ||
General. The nature of CCA’s business results in claims and litigation alleging that it is liable for damages arising from the conduct of its employees, offenders or others. The nature of such claims includes, but is not limited to, claims arising from employee or offender misconduct, medical malpractice, employment matters, property loss, contractual claims, including claims regarding compliance with contract performance requirements, and personal injury or other damages resulting from contact with CCA’s facilities, personnel or offenders, including damages arising from an offender’s escape or from a disturbance at a facility. In February 2014, CCA reached an agreement to pay $1.0 million in compensation to the state of Idaho regarding contractual disputes related to staffing at the Idaho Correctional Center. In addition, CCA was notified that an investigation by the FBI was being undertaken and CCA received additional inquiries from other government partners concerning matters related to the Idaho Correctional Center. CCA maintains insurance to cover many of these claims, which may mitigate the risk that any single claim would have a material effect on CCA’s consolidated financial position, results of operations, or cash flows, provided the claim is one for which coverage is available. The combination of self-insured retentions and deductible amounts means that, in the aggregate, CCA is subject to substantial self-insurance risk. | ||
CCA records litigation reserves related to certain matters for which it is probable that a loss has been incurred and the range of such loss can be estimated. Based upon management’s review of the potential claims and outstanding litigation and based upon management’s experience and history of estimating losses, and taking into consideration CCA’s self-insured retention amounts, management believes a loss in excess of amounts already recognized would not be material to CCA’s financial statements. In the opinion of management, there are no pending legal proceedings that would have a material effect on CCA’s consolidated financial position, results of operations, or cash flows. Any receivable for insurance recoveries is recorded separately from the corresponding litigation reserve, and only if recovery is determined to be probable. Adversarial proceedings and litigation are, however, subject to inherent uncertainties, and unfavorable decisions and rulings resulting from legal proceedings or from the investigation or inquiries described above, could occur which could have a material adverse impact on CCA’s consolidated financial position, results of operations, or cash flows for the period in which such decisions or rulings occur, or future periods. Expenses associated with legal proceedings may also fluctuate from quarter to quarter based on changes in CCA’s assumptions, new developments, or by the effectiveness of CCA’s litigation and settlement strategies. | ||
Insurance Contingencies | ||
Each of CCA’s management contracts and the statutes of certain states require the maintenance of insurance. CCA maintains various insurance policies including employee health, workers’ compensation, automobile liability, and general liability insurance. These policies are fixed premium policies with various deductible amounts that are self-funded by CCA. Reserves are provided for estimated incurred claims for which it is probable that a loss has been incurred and the range of such loss can be estimated. | ||
Guarantees | ||
Hardeman County Correctional Facilities Corporation (“HCCFC”) is a nonprofit, mutual benefit corporation organized under the Tennessee Nonprofit Corporation Act to purchase, construct, improve, equip, finance, own and manage a detention facility located in Hardeman County, Tennessee. HCCFC was created as an instrumentality of Hardeman County to implement the County’s incarceration agreement with the state of Tennessee to house certain inmates. | ||
During 1997, HCCFC issued $72.7 million of revenue bonds, which were primarily used for the construction of a 2,016-bed medium security correctional facility. In addition, HCCFC entered into a construction and management agreement with CCA in order to assure the timely and coordinated acquisition, construction, development, marketing and operation of the correctional facility. | ||
HCCFC leases the correctional facility to Hardeman County in exchange for all revenue from the operation of the facility. HCCFC has, in turn, entered into a management agreement with CCA for the correctional facility. | ||
In connection with the issuance of the revenue bonds, CCA is obligated, under a debt service deficit agreement, to pay the trustee of the bond’s trust indenture (the “Trustee”) amounts necessary to pay any debt service deficits consisting of principal and interest requirements (outstanding principal balance of $18.6 million at December 31, 2014 plus future interest payments). In the event the state of Tennessee, which is currently utilizing the facility to house certain inmates, exercises its option to purchase the correctional facility, CCA is also obligated to pay the difference between principal and interest owed on the bonds on the date set for the redemption of the bonds and amounts paid by the state of Tennessee for the facility plus all other funds on deposit with the Trustee and available for redemption of the bonds. Ownership of the facility reverts to the state of Tennessee in 2017 at no cost. Therefore, CCA does not currently believe the state of Tennessee will exercise its option to purchase the facility. At December 31, 2014, the outstanding principal balance of the bonds exceeded the purchase price option by $7.3 million. | ||
Retirement Plan | ||
All employees of CCA are eligible to participate in the Corrections Corporation of America 401(k) Savings and Retirement Plan (the “Plan”) upon reaching age 18 and completing one year of qualified service. Eligible employees may contribute up to 90% of their eligible compensation, subject to IRS limitations. For the years ended December 31, 2014, 2013, and 2012, CCA provided a discretionary matching contribution equal to 100% of the employee’s contributions up to 5% of the employee’s eligible compensation to employees with at least one thousand hours of employment in the plan year. Prior to January 1, 2012, employer contributions were made to those who were employed by CCA on the last day of the plan year, and investment earnings or losses thereon become vested 20% after two years of service, 40% after three years of service, 80% after four years of service, and 100% after five or more years of service. Effective January 1, 2012, the Plan adopted a safe harbor provision that provides, among other changes, future employer matching contributions to be paid into the Plan each pay period and vest immediately. | ||
During the years ended December 31, 2014, 2013, and 2012, CCA’s discretionary contributions to the Plan, net of forfeitures, were $11.1 million, $11.8 million, and $11.1 million, respectively. | ||
Deferred Compensation Plans | ||
During 2002, the compensation committee of the board of directors approved CCA’s adoption of two non-qualified deferred compensation plans (the “Deferred Compensation Plans”) for non-employee directors and for certain senior executives. The Deferred Compensation Plans are unfunded plans maintained for the purpose of providing CCA’s directors and certain of its senior executives the opportunity to defer a portion of their compensation. Under the terms of the Deferred Compensation Plans, certain senior executives may elect to contribute on a pre-tax basis up to 50% of their base salary and up to 100% of their cash bonus, and non-employee directors may elect to contribute on a pre-tax basis up to 100% of their director retainer and meeting fees. During the years ended December 31, 2014, 2013, and 2012, CCA matched 100% of employee contributions up to 5% of total cash compensation. CCA also contributes a fixed rate of return on balances in the Deferred Compensation Plans, determined at the beginning of each plan year. Vesting provisions for matching contributions and investment earnings thereon conform to the vesting provisions of CCA’s 401(k) Plan. However, CCA did not change the vesting provisions to conform with the 401(k) Plan effective January 1, 2012. Distributions are generally payable no earlier than five years subsequent to the date an individual becomes a participant in the Plan, or upon termination of employment (or the date a director ceases to serve as a director of CCA), at the election of the participant. Distributions to senior executives must commence on or before the later of 60 days after the participant’s separation from service or the fifteenth day of the month following the month the individual attains age 65. | ||
During 2014, 2013, and 2012, CCA provided a fixed return of 5.6%, 5.6%, and 5.9% to participants in the Deferred Compensation Plans, respectively. CCA has purchased life insurance policies on the lives of certain employees of CCA, which are intended to fund distributions from the Deferred Compensation Plans. CCA is the sole beneficiary of such policies. At the inception of the Deferred Compensation Plans, CCA established an irrevocable Rabbi Trust to secure the plans’ obligations. However, assets in the Deferred Compensation Plans are subject to creditor claims in the event of bankruptcy. During 2014, 2013, and 2012, CCA recorded $0.2 million, $0.2 million, and $0.5 million, respectively, of matching contributions as general and administrative expense associated with the Deferred Compensation Plans. Assets in the Rabbi Trust were $17.9 million and $15.8 million as of December 31, 2014 and 2013, respectively. As of December 31, 2014 and 2013, CCA’s liability related to the Deferred Compensation Plans was $15.7 million and $16.4 million, respectively, which was reflected in accounts payable and accrued expenses and other liabilities in the accompanying balance sheets. | ||
Employment and Severance Agreements | ||
CCA currently has employment agreements with several of its executive officers, which provide for the payment of certain severance amounts upon termination of employment under certain circumstances or a change of control, as defined in the agreements. |
SEGMENT_REPORTING
SEGMENT REPORTING | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
SEGMENT REPORTING | 16 | SEGMENT REPORTING | |||||||||||
As of December 31, 2014, CCA owned and managed 49 correctional and detention facilities, and managed 12 correctional and detention facilities it did not own. In addition, CCA owned three facilities that it leased to third-party operators. Management views CCA’s operating results in one operating segment. However, the Company has chosen to report financial performance segregated for (1) owned and managed correctional and detention facilities and (2) managed-only correctional and detention facilities as the Company believes this information is useful to users of the financial statements. Owned and managed facilities include the operating results of those facilities placed into service that were owned or controlled via a long-term lease and managed by CCA. Managed-only facilities include the operating results of those facilities owned by a third party and managed by CCA. The operating performance of the owned and managed and the managed-only correctional and detention facilities can be measured based on their net operating income. CCA defines facility net operating income as a facility’s operating income or loss from operations before interest, taxes, asset impairments, depreciation, and amortization. | |||||||||||||
The revenue and net operating income for the owned and managed and the managed-only facilities and a reconciliation to CCA’s operating income is as follows for the three years ended December 31, 2014, 2013, and 2012 (in thousands): | |||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Revenue: | |||||||||||||
Owned and managed | $ | 1,379,986 | $ | 1,386,355 | $ | 1,418,783 | |||||||
Managed-only | 232,685 | 301,454 | 299,599 | ||||||||||
Total management revenue | 1,612,671 | 1,687,809 | 1,718,382 | ||||||||||
Operating expenses: | |||||||||||||
Owned and managed | 928,857 | 941,638 | 935,680 | ||||||||||
Managed-only | 207,355 | 261,903 | 263,678 | ||||||||||
Total operating expenses | 1,136,212 | 1,203,541 | 1,199,358 | ||||||||||
Facility net operating income | |||||||||||||
Owned and managed | 451,129 | 444,717 | 483,103 | ||||||||||
Managed-only | 25,330 | 39,551 | 35,921 | ||||||||||
Total facility net operating income | 476,459 | 484,268 | 519,024 | ||||||||||
Other revenue (expense): | |||||||||||||
Rental and other revenue | 34,196 | 6,488 | 5,275 | ||||||||||
Other operating expense | (19,923 | ) | (16,810 | ) | (17,693 | ) | |||||||
General and administrative expense | (106,429 | ) | (103,590 | ) | (88,935 | ) | |||||||
Depreciation and amortization | (113,925 | ) | (112,692 | ) | (113,063 | ) | |||||||
Asset impairments | (30,082 | ) | (6,513 | ) | — | ||||||||
Operating income | $ | 240,296 | $ | 251,151 | $ | 304,608 | |||||||
The following table summarizes capital expenditures for the years ended December 31, 2014, 2013, and 2012 (in thousands): | |||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Capital expenditures: | |||||||||||||
Owned and managed | $ | 246,333 | $ | 96,975 | $ | 55,222 | |||||||
Managed-only | 3,171 | 3,719 | 3,507 | ||||||||||
Corporate and other | 13,056 | 10,852 | 17,685 | ||||||||||
Discontinued operations | — | 72 | 532 | ||||||||||
Total capital expenditures | $ | 262,560 | $ | 111,618 | $ | 76,946 | |||||||
The total assets are as follows (in thousands): | |||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Assets: | |||||||||||||
Owned and managed | $ | 2,745,905 | $ | 2,715,719 | |||||||||
Managed-only | 68,146 | 81,551 | |||||||||||
Corporate and other | 313,140 | 210,140 | |||||||||||
Discontinued operations | — | 15 | |||||||||||
Total assets | $ | 3,127,191 | $ | 3,007,425 | |||||||||
SUBSEQUENT_EVENTS
SUBSEQUENT EVENTS | 12 Months Ended | |
Dec. 31, 2014 | ||
SUBSEQUENT EVENTS | 17 | SUBSEQUENT EVENTS |
During February 2015, CCA issued approximately 0.4 million RSUs to certain of CCA’s employees and non-employee directors, with an aggregate value of $16.9 million. Unless earlier vested under the terms of the RSU agreement, approximately 0.3 million RSUs were issued to officers and executive officers and are subject to vesting over a three-year period based upon satisfaction of certain annual performance criteria for the fiscal years ending December 31, 2015, 2016, and 2017. Approximately 0.1 million RSUs issued to other employees “cliff” vest on the third anniversary of the award. Shares of RSUs issued to non-employee directors vest on the first anniversary of the award. Any RSUs that become vested will be settled in shares of CCA’s common stock. | ||
On February 20, 2015, the Company’s Board of Directors declared a quarterly dividend of $0.54 per common share payable April 15, 2015 to shareholders of record on April 2, 2015. |
CONDENSED_CONSOLIDATING_FINANC
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF CCA AND SUBSIDIARIES | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF CCA AND SUBSIDIARIES | 18 | CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF CCA AND SUBSIDIARIES | |||||||||||||||
The following condensed consolidating financial statements of CCA and subsidiaries have been prepared pursuant to Rule 3-10 of Regulation S-X. These condensed consolidating financial statements have been prepared from the Company’s financial information on the same basis of accounting as the consolidated financial statements. | |||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
As of December 31, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||
ASSETS | Parent | Combined | Consolidating | Total | |||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
Cash and cash equivalents | $ | 12,337 | $ | 62,056 | $ | — | $ | 74,393 | |||||||||
Accounts receivable, net of allowance | 167,626 | 178,911 | (97,949 | ) | 248,588 | ||||||||||||
Current deferred tax assets | — | 13,241 | (12 | ) | 13,229 | ||||||||||||
Prepaid expenses and other current assets | 17,060 | 34,705 | (21,990 | ) | 29,775 | ||||||||||||
Total current assets | 197,023 | 288,913 | (119,951 | ) | 365,985 | ||||||||||||
Property and equipment, net | 2,459,053 | 199,575 | — | 2,658,628 | |||||||||||||
Restricted cash | 1,267 | 1,591 | — | 2,858 | |||||||||||||
Investment in direct financing lease | 3,223 | — | — | 3,223 | |||||||||||||
Goodwill | — | 16,110 | — | 16,110 | |||||||||||||
Non-current deferred tax assets | — | 2,778 | (477 | ) | 2,301 | ||||||||||||
Other assets | 241,690 | 47,046 | (210,650 | ) | 78,086 | ||||||||||||
Total assets | $ | 2,902,256 | $ | 556,013 | $ | (331,078 | ) | $ | 3,127,191 | ||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||
Accounts payable and accrued expenses | $ | 218,403 | $ | 205,213 | $ | (106,050 | ) | $ | 317,566 | ||||||||
Income taxes payable | 195 | 1,173 | — | 1,368 | |||||||||||||
Current deferred tax liabilities | 13 | — | (13 | ) | — | ||||||||||||
Note payable to an affiliate | — | 13,854 | (13,854 | ) | — | ||||||||||||
Current liabilities of discontinued operations | — | 54 | — | 54 | |||||||||||||
Total current liabilities | 218,611 | 220,294 | (119,917 | ) | 318,988 | ||||||||||||
Long-term debt | 1,200,000 | 115,000 | (115,000 | ) | 1,200,000 | ||||||||||||
Non-current deferred tax liabilities | 477 | — | (477 | ) | — | ||||||||||||
Other liabilities | 1,668 | 125,035 | — | 126,703 | |||||||||||||
Total liabilities | 1,420,756 | 460,329 | (235,394 | ) | 1,645,691 | ||||||||||||
Total stockholders’ equity | 1,481,500 | 95,684 | (95,684 | ) | 1,481,500 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 2,902,256 | $ | 556,013 | $ | (331,078 | ) | $ | 3,127,191 | ||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
As of December 31, 2013 | |||||||||||||||||
(in thousands) | |||||||||||||||||
ASSETS | Parent | Combined | Consolidating | Total | |||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
Cash and cash equivalents | $ | 31,647 | $ | 46,262 | $ | — | $ | 77,909 | |||||||||
Accounts receivable, net of allowance | 203,018 | 178,894 | (136,955 | ) | 244,957 | ||||||||||||
Current deferred tax assets | 2 | 9,239 | — | 9,241 | |||||||||||||
Prepaid expenses and other current assets | 7,580 | 22,856 | (9,824 | ) | 20,612 | ||||||||||||
Current assets of discontinued operations | — | 15 | — | 15 | |||||||||||||
Total current assets | 242,247 | 257,266 | (146,779 | ) | 352,734 | ||||||||||||
Property and equipment, net | 2,450,028 | 96,585 | — | 2,546,613 | |||||||||||||
Restricted cash | 1,016 | 4,573 | — | 5,589 | |||||||||||||
Investment in direct financing lease | 5,473 | — | — | 5,473 | |||||||||||||
Goodwill | — | 16,110 | — | 16,110 | |||||||||||||
Non-current deferred tax assets | — | 3,633 | (555 | ) | 3,078 | ||||||||||||
Other assets | 245,028 | 45,149 | (212,349 | ) | 77,828 | ||||||||||||
Total assets | $ | 2,943,792 | $ | 423,316 | $ | (359,683 | ) | $ | 3,007,425 | ||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||
Accounts payable and accrued expenses | $ | 234,277 | $ | 164,745 | $ | (146,745 | ) | $ | 252,277 | ||||||||
Income taxes payable | — | 1,243 | — | 1,243 | |||||||||||||
Current liabilities of discontinued operations | — | 886 | — | 886 | |||||||||||||
Total current liabilities | 234,277 | 166,874 | (146,745 | ) | 254,406 | ||||||||||||
Long-term debt | 1,205,000 | 115,000 | (115,000 | ) | 1,205,000 | ||||||||||||
Non-current deferred tax liabilities | 555 | — | (555 | ) | — | ||||||||||||
Other liabilities | 1,453 | 44,059 | — | 45,512 | |||||||||||||
Total liabilities | 1,441,285 | 325,933 | (262,300 | ) | 1,504,918 | ||||||||||||
Total stockholders’ equity | 1,502,507 | 97,383 | (97,383 | ) | 1,502,507 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 2,943,792 | $ | 423,316 | $ | (359,683 | ) | $ | 3,007,425 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
For the year ended December 31, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
REVENUES | $ | 1,250,199 | $ | 1,268,654 | $ | (871,986 | ) | $ | 1,646,867 | ||||||||
EXPENSES: | |||||||||||||||||
Operating | 896,470 | 1,131,651 | (871,986 | ) | 1,156,135 | ||||||||||||
General and administrative | 33,508 | 72,921 | — | 106,429 | |||||||||||||
Depreciation and amortization | 80,820 | 33,105 | — | 113,925 | |||||||||||||
Asset impairments | 29,915 | 167 | — | 30,082 | |||||||||||||
1,040,713 | 1,237,844 | (871,986 | ) | 1,406,571 | |||||||||||||
OPERATING INCOME | 209,486 | 30,810 | — | 240,296 | |||||||||||||
OTHER (INCOME) EXPENSE: | |||||||||||||||||
Interest expense, net | 35,138 | 4,397 | — | 39,535 | |||||||||||||
Other (income) expense | 302 | (786 | ) | (720 | ) | (1,204 | ) | ||||||||||
35,440 | 3,611 | (720 | ) | 38,331 | |||||||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 174,046 | 27,199 | 720 | 201,965 | |||||||||||||
Income tax expense | (552 | ) | (6,391 | ) | — | (6,943 | ) | ||||||||||
INCOME FROM CONTINUING OPERATIONS | 173,494 | 20,808 | 720 | 195,022 | |||||||||||||
Income from equity in subsidiaries | 21,528 | — | (21,528 | ) | — | ||||||||||||
NET INCOME | $ | 195,022 | $ | 20,808 | $ | (20,808 | ) | $ | 195,022 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
For the year ended December 31, 2013 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
REVENUES | $ | 1,268,763 | $ | 1,351,695 | $ | (926,161 | ) | $ | 1,694,297 | ||||||||
EXPENSES: | |||||||||||||||||
Operating | 945,750 | 1,200,762 | (926,161 | ) | 1,220,351 | ||||||||||||
General and administrative | 31,290 | 72,300 | — | 103,590 | |||||||||||||
Depreciation and amortization | 76,112 | 36,580 | — | 112,692 | |||||||||||||
Asset impairments | — | 6,513 | — | 6,513 | |||||||||||||
1,053,152 | 1,316,155 | (926,161 | ) | 1,443,146 | |||||||||||||
OPERATING INCOME | 215,611 | 35,540 | — | 251,151 | |||||||||||||
OTHER (INCOME) EXPENSE: | |||||||||||||||||
Interest expense, net | 38,319 | 6,807 | — | 45,126 | |||||||||||||
Expenses associated with debt refinancing transactions | 28,563 | 7,965 | — | 36,528 | |||||||||||||
Other (income) expense | (45 | ) | 23 | (78 | ) | (100 | ) | ||||||||||
66,837 | 14,795 | (78 | ) | 81,554 | |||||||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 148,774 | 20,745 | 78 | 169,597 | |||||||||||||
Income tax benefit (expense) | 143,590 | (8,595 | ) | — | 134,995 | ||||||||||||
INCOME FROM CONTINUING OPERATIONS | 292,364 | 12,150 | 78 | 304,592 | |||||||||||||
Income from equity in subsidiaries | 8,471 | — | (8,471 | ) | — | ||||||||||||
Loss from discontinued operations, net of taxes | — | (3,757 | ) | — | (3,757 | ) | |||||||||||
NET INCOME | $ | 300,835 | $ | 8,393 | $ | (8,393 | ) | $ | 300,835 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
For the year ended December 31, 2012 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
REVENUES | $ | 1,411,277 | $ | 329,971 | $ | (17,591 | ) | $ | 1,723,657 | ||||||||
EXPENSES: | |||||||||||||||||
Operating | 943,803 | 290,839 | (17,591 | ) | 1,217,051 | ||||||||||||
General and administrative | 70,792 | 18,143 | — | 88,935 | |||||||||||||
Depreciation and amortization | 74,452 | 38,611 | — | 113,063 | |||||||||||||
1,089,047 | 347,593 | (17,591 | ) | 1,419,049 | |||||||||||||
OPERATING INCOME (LOSS) | 322,230 | (17,622 | ) | — | 304,608 | ||||||||||||
OTHER (INCOME) EXPENSE: | |||||||||||||||||
Interest expense, net | 57,174 | 1,189 | — | 58,363 | |||||||||||||
Expenses associated with debt refinancing transactions | 2,099 | — | — | 2,099 | |||||||||||||
Other (income) expense | 16 | (26 | ) | (323 | ) | (333 | ) | ||||||||||
59,289 | 1,163 | (323 | ) | 60,129 | |||||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 262,941 | (18,785 | ) | 323 | 244,479 | ||||||||||||
Income tax benefit (expense) | (93,870 | ) | 6,357 | — | (87,513 | ) | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS | 169,071 | (12,428 | ) | 323 | 156,966 | ||||||||||||
Loss from equity in subsidiaries | (12,310 | ) | — | 12,310 | — | ||||||||||||
Loss from discontinued operations, net of taxes | — | (205 | ) | — | (205 | ) | |||||||||||
NET INCOME (LOSS) | $ | 156,761 | $ | (12,633 | ) | $ | 12,633 | $ | 156,761 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
For the year ended December 31, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | And Other | Amounts | |||||||||||||||
Net cash provided by operating activities | $ | 296,087 | $ | 127,494 | $ | — | $ | 423,581 | |||||||||
Net cash used in investing activities | (73,404 | ) | (102,337 | ) | (21,146 | ) | (196,887 | ) | |||||||||
Net cash used in financing activities | (241,993 | ) | (9,373 | ) | 21,146 | (230,220 | ) | ||||||||||
Net (decrease) increase in cash and cash equivalents | (19,310 | ) | 15,784 | — | (3,526 | ) | |||||||||||
CASH AND CASH EQUIVALENTS, beginning of year | 31,647 | 46,272 | — | 77,919 | |||||||||||||
CASH AND CASH EQUIVALENTS, end of year | $ | 12,337 | $ | 62,056 | $ | — | $ | 74,393 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
For the year ended December 31, 2013 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | And Other | Amounts | |||||||||||||||
Net cash provided by operating activities | $ | 211,247 | $ | 158,257 | $ | — | $ | 369,504 | |||||||||
Net cash used in investing activities | (83,895 | ) | (56,617 | ) | 15,000 | (125,512 | ) | ||||||||||
Net cash used in financing activities | (95,705 | ) | (118,265 | ) | (15,000 | ) | (228,970 | ) | |||||||||
Net increase (decrease) in cash and cash equivalents | 31,647 | (16,625 | ) | — | 15,022 | ||||||||||||
CASH AND CASH EQUIVALENTS, beginning of year | — | 62,897 | — | 62,897 | |||||||||||||
CASH AND CASH EQUIVALENTS, end of year | $ | 31,647 | $ | 46,272 | $ | — | $ | 77,919 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
For the year ended December 31, 2012 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | And Other | Amounts | |||||||||||||||
Net cash provided by operating activities | $ | 260,602 | $ | 22,654 | $ | — | $ | 283,256 | |||||||||
Net cash used in investing activities | (42,378 | ) | (37,542 | ) | — | (79,920 | ) | ||||||||||
Net cash used in financing activities | (218,224 | ) | 21,953 | — | (196,271 | ) | |||||||||||
Net increase in cash and cash equivalents | — | 7,065 | — | 7,065 | |||||||||||||
CASH AND CASH EQUIVALENTS, beginning of year | — | 55,832 | — | 55,832 | |||||||||||||
CASH AND CASH EQUIVALENTS, end of year | $ | — | $ | 62,897 | $ | — | $ | 62,897 | |||||||||
SELECTED_QUARTERLY_FINANCIAL_I
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | 19 | SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) | |||||||||||||||
Selected quarterly financial information for each of the quarters in the years ended December 31, 2014 and 2013 is as follows (in thousands, except per share data): | |||||||||||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
2014 | 2014 | 2014 | 2014 | ||||||||||||||
Revenue | $ | 404,222 | $ | 410,694 | $ | 408,474 | $ | 423,477 | |||||||||
Operating income | 63,066 | 65,535 | 69,850 | 41,845 | (1) | ||||||||||||
Net income | 51,738 | 55,732 | 57,546 | 30,006 | (1) | ||||||||||||
Basic earnings per share: | |||||||||||||||||
Net income | $ | 0.45 | $ | 0.48 | $ | 0.5 | $ | 0.26 | (1) | ||||||||
Diluted earnings per share: | |||||||||||||||||
Net income | $ | 0.44 | $ | 0.48 | $ | 0.49 | $ | 0.25 | (1) | ||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
2013 | 2013 | 2013 | 2013 | ||||||||||||||
Revenue | $ | 416,723 | $ | 425,005 | $ | 421,466 | $ | 431,103 | |||||||||
Operating income | 59,892 | 67,969 | 67,271 | 56,019 | |||||||||||||
Loss from discontinued operations, net of taxes | (355 | ) | (2,739 | ) | (663 | ) | — | ||||||||||
Net income | 181,092 | (2) | 20,429 | (3) | 51,843 | 47,471 | |||||||||||
Basic earnings per share: | |||||||||||||||||
Net income | $ | 1.81 | (2) | $ | 0.19 | (3) | $ | 0.45 | $ | 0.41 | |||||||
Diluted earnings per share: | |||||||||||||||||
Net income | $ | 1.78 | (2) | $ | 0.19 | (3) | $ | 0.44 | $ | 0.41 | |||||||
(1) | The earnings amounts in the fourth quarter of 2014 were unfavorably impacted by $27.8 million of non-cash impairments recorded to write down the book values of two of CCA’s non-core facilities to the estimated fair values, as discussed in Note 5. | ||||||||||||||||
(2) | The earnings amounts in the first quarter of 2013 were favorably impacted by the net tax benefit resulting from the revaluation of certain deferred tax assets and liabilities associated with the REIT conversion effective January 1, 2013. | ||||||||||||||||
(3) | The earnings amounts in the second quarter of 2013 were negatively impacted by $36.3 million of expenses associated with debt refinancing transactions. |
SCHEDULE_III_REAL_ESTATE_ASSET
SCHEDULE III REAL ESTATE ASSETS AND ACCUMULATED DEPRECIATION | 12 Months Ended | ||||||||||||||||||||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||||||||||||||||||||
SCHEDULE III REAL ESTATE ASSETS AND ACCUMULATED DEPRECIATION | CORRECTIONS CORPORATION OF AMERICA AND SUBSIDIARIES | ||||||||||||||||||||||||||||||||||
SCHEDULE III – REAL ESTATE ASSETS AND ACCUMULATED DEPRECIATION | |||||||||||||||||||||||||||||||||||
31-Dec-14 | |||||||||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||||||||
Description | Location | Initial Cost to Company | Cost | Gross Amount at Which Carried at Close of Period | Accumulated | Date | |||||||||||||||||||||||||||||
Capitalized | Depreciation (A) | Constructed/ | |||||||||||||||||||||||||||||||||
Subsequent to | Acquired | ||||||||||||||||||||||||||||||||||
Land | Buildings and | Acquisition | Land and Land | Buildings and | Total | ||||||||||||||||||||||||||||||
Improvements | Improvements | Leasehold | |||||||||||||||||||||||||||||||||
Improvements | |||||||||||||||||||||||||||||||||||
Adams County Correctional Center | Adams County, | $ | 874 | $ | 119,565 | $ | 2,783 | $ | 1,075 | $ | 122,147 | $ | 123,222 | $ | (15,038 | ) | 2008 | ||||||||||||||||||
Mississippi | |||||||||||||||||||||||||||||||||||
Bent County Correctional Facility | Las Animas, | 550 | 13,115 | 66,495 | 1,212 | 78,948 | 80,160 | (18,267 | ) | 1992 | |||||||||||||||||||||||||
Colorado | |||||||||||||||||||||||||||||||||||
Bridgeport Pre-Parole Transfer Facility | Bridgeport, | 70 | 291 | 588 | 209 | 740 | 949 | (473 | ) | 1995 | |||||||||||||||||||||||||
Texas | |||||||||||||||||||||||||||||||||||
CAI – Boston Avenue | San Diego, | 800 | 11,440 | 25 | 830 | 11,435 | 12,265 | (548 | ) | 2013 | |||||||||||||||||||||||||
California | |||||||||||||||||||||||||||||||||||
California City Correctional Center | California City, | 1,785 | 125,337 | 4,357 | 2,484 | 128,995 | 131,479 | (39,548 | ) | 1999 | |||||||||||||||||||||||||
California | |||||||||||||||||||||||||||||||||||
Central Arizona Detention Center | Florence, | 1,298 | 57,857 | 30,571 | 2,767 | 86,959 | 89,726 | (28,569 | ) | 1994 | |||||||||||||||||||||||||
Arizona | |||||||||||||||||||||||||||||||||||
Cibola County Corrections Center | Milan, New | 444 | 16,215 | 29,130 | 1,319 | 44,470 | 45,789 | (14,953 | ) | 1994 | |||||||||||||||||||||||||
Mexico | |||||||||||||||||||||||||||||||||||
Cimarron Correctional Facility | Cushing, | 250 | 71,303 | 42,349 | 570 | 113,332 | 113,902 | (28,887 | ) | 1997 | |||||||||||||||||||||||||
Oklahoma | |||||||||||||||||||||||||||||||||||
Coffee Correctional Facility | Nicholls, | 194 | 28,361 | 44,911 | 853 | 72,613 | 73,466 | (17,302 | ) | 1998 | |||||||||||||||||||||||||
Georgia | |||||||||||||||||||||||||||||||||||
Crossroads Correctional Center | Shelby, | 413 | 33,196 | 6,700 | 867 | 39,442 | 40,309 | (27,785 | ) | 1999 | |||||||||||||||||||||||||
Montana | |||||||||||||||||||||||||||||||||||
Crowley County Correctional Facility | Olney Springs, | 211 | 46,845 | 27,133 | 1,890 | 72,299 | 74,189 | (17,856 | ) | 2003 | |||||||||||||||||||||||||
Colorado | |||||||||||||||||||||||||||||||||||
Davis Correctional Facility | Holdenville, | 250 | 66,701 | 40,096 | 872 | 106,175 | 107,047 | (27,380 | ) | 1996 | |||||||||||||||||||||||||
Oklahoma | |||||||||||||||||||||||||||||||||||
D.C. Correctional Treatment Facility | Washington, | — | — | 5,998 | 71 | 5,927 | 5,998 | (3,777 | ) | 1997 | |||||||||||||||||||||||||
D.C. | |||||||||||||||||||||||||||||||||||
Diamondback Correctional Facility | Watonga, | 208 | 41,677 | 22,544 | 567 | 63,862 | 64,429 | (19,949 | ) | 1998 | |||||||||||||||||||||||||
Oklahoma | |||||||||||||||||||||||||||||||||||
Eden Detention Facility | Eden, Texas | 925 | 27,645 | 33,050 | 5,279 | 56,341 | 61,620 | (17,707 | ) | 1995 | |||||||||||||||||||||||||
Eloy Detention Center | Eloy, Arizona | 498 | 33,308 | 14,047 | 1,851 | 46,002 | 47,853 | (14,703 | ) | 1995 | |||||||||||||||||||||||||
Florence County Detention Center | Florence, | — | 75,674 | 9,022 | 719 | 83,977 | 84,696 | (25,169 | ) | 1999 | |||||||||||||||||||||||||
Arizona | |||||||||||||||||||||||||||||||||||
Houston Processing Center | Houston, Texas | 2,250 | 53,373 | 36,625 | 3,143 | 89,105 | 92,248 | (26,921 | ) | 1984 | |||||||||||||||||||||||||
Huerfano County Correctional Center | Walsenburg, | 124 | 26,358 | 4,095 | 984 | 29,593 | 30,577 | (11,544 | ) | 1997 | |||||||||||||||||||||||||
Colorado | |||||||||||||||||||||||||||||||||||
Jenkins County Correctional Center | Millen, | 208 | 48,158 | 37 | 237 | 48,166 | 48,403 | (2,738 | ) | 2012 | |||||||||||||||||||||||||
Georgia | |||||||||||||||||||||||||||||||||||
Kit Carson Correctional Center | Burlington, | 432 | 35,980 | 42,563 | 863 | 78,112 | 78,975 | (17,602 | ) | 1998 | |||||||||||||||||||||||||
Colorado | |||||||||||||||||||||||||||||||||||
Lake Erie Correctional Institution | Conneaut, | 2,871 | 69,779 | 2,166 | 3,669 | 71,147 | 74,816 | (4,370 | ) | 2011 | |||||||||||||||||||||||||
Ohio | |||||||||||||||||||||||||||||||||||
La Palma Correctional Center | Eloy, | 283 | 183,155 | 11,974 | 470 | 194,942 | 195,412 | (26,757 | ) | 2008 | |||||||||||||||||||||||||
Arizona | |||||||||||||||||||||||||||||||||||
Laredo Processing Center | Laredo, Texas | 788 | 26,737 | 1,968 | 929 | 28,564 | 29,493 | (9,647 | ) | 1985 | |||||||||||||||||||||||||
Leavenworth U.S.M. Detention Center | Leavenworth, | 130 | 44,970 | 42,167 | 464 | 86,803 | 87,267 | (23,115 | ) | 1992 | |||||||||||||||||||||||||
Kansas | |||||||||||||||||||||||||||||||||||
Lee Adjustment Center | Beattyville, | 500 | 515 | 16,087 | 1,214 | 15,888 | 17,102 | (5,736 | ) | 1998 | |||||||||||||||||||||||||
Kentucky | |||||||||||||||||||||||||||||||||||
Leo Chesney Correctional Center | Live Oak, | 250 | 4,774 | 1,577 | 250 | 6,351 | 6,601 | (2,418 | ) | 1989 | |||||||||||||||||||||||||
California | |||||||||||||||||||||||||||||||||||
Marion Adjustment Center | St. Mary, | 250 | 9,994 | 8,277 | 915 | 17,606 | 18,521 | (5,543 | ) | 1998 | |||||||||||||||||||||||||
Kentucky | |||||||||||||||||||||||||||||||||||
McRae County Georgia Prison | McRae, | 462 | 60,396 | 17,295 | 954 | 77,199 | 78,153 | (15,956 | ) | 2000 | |||||||||||||||||||||||||
Georgia | |||||||||||||||||||||||||||||||||||
Mineral Wells Pre-Parole Transfer Facility | Mineral | 176 | 22,589 | 4,877 | 100 | — | 100 | (B) | — | 1995 | |||||||||||||||||||||||||
Wells, Texas | |||||||||||||||||||||||||||||||||||
Nevada Southern Detention Center | Pahrump, | 7,548 | 64,362 | 9,238 | 8,330 | 72,818 | 81,148 | (7,485 | ) | 2010 | |||||||||||||||||||||||||
Nevada | |||||||||||||||||||||||||||||||||||
New Mexico Women’s Correctional Facility | Grants, New | 142 | 15,888 | 13,770 | 807 | 28,993 | 29,800 | (10,638 | ) | 1989 | |||||||||||||||||||||||||
Mexico | |||||||||||||||||||||||||||||||||||
North Fork Correctional Facility | Sayre, | — | 42,166 | 58,453 | 291 | 100,328 | 100,619 | (24,076 | ) | 1998 | |||||||||||||||||||||||||
Oklahoma | |||||||||||||||||||||||||||||||||||
Northeast Ohio Correctional Center | Youngstown, | 750 | 39,583 | 7,803 | 1,675 | 46,461 | 48,136 | (15,613 | ) | 1997 | |||||||||||||||||||||||||
Ohio | |||||||||||||||||||||||||||||||||||
Otter Creek Adjustment Center | Wheelwright, | 500 | 24,487 | 11,319 | 1,447 | 34,859 | 36,306 | (12,217 | ) | 1998 | |||||||||||||||||||||||||
Kentucky | |||||||||||||||||||||||||||||||||||
Prairie Correctional Facility | Appleton, | 100 | 22,306 | 8,307 | 1,065 | 29,648 | 30,713 | (11,966 | ) | 1991 | |||||||||||||||||||||||||
Minnesota | |||||||||||||||||||||||||||||||||||
Queensgate Correctional Facility | Cincinnati, | 750 | 15,221 | 1,586 | 340 | 498 | 838 | (B) | — | 1998 | |||||||||||||||||||||||||
Ohio | |||||||||||||||||||||||||||||||||||
Red Rock Correctional Center | Eloy, | 10 | 78,456 | 20,106 | 255 | 98,317 | 98,572 | (16,447 | ) | 2006 | |||||||||||||||||||||||||
Arizona | |||||||||||||||||||||||||||||||||||
Saguaro Correctional Center | Eloy, | 193 | 98,903 | 316 | 385 | 99,027 | 99,412 | (15,174 | ) | 2007 | |||||||||||||||||||||||||
Arizona | |||||||||||||||||||||||||||||||||||
San Diego Correctional Facility | San Diego, | 28,845 | 92,458 | 10,325 | 37,148 | 94,480 | 131,628 | (89,758 | ) | 1999 | |||||||||||||||||||||||||
California | |||||||||||||||||||||||||||||||||||
Shelby Training Center | Memphis, | 150 | 6,393 | 3,076 | 275 | 9,344 | 9,619 | (9,263 | ) | 1986 | |||||||||||||||||||||||||
Tennessee | |||||||||||||||||||||||||||||||||||
Stewart Detention Center | Lumpkin, | 143 | 70,560 | 9,192 | 716 | 79,179 | 79,895 | (15,177 | ) | 2004 | |||||||||||||||||||||||||
Georgia | |||||||||||||||||||||||||||||||||||
Tallahatchie County Correctional Facility | Tutwiler, | — | 44,638 | 94,046 | 1,536 | 137,148 | 138,684 | (34,949 | ) | 2000 | |||||||||||||||||||||||||
Mississippi | |||||||||||||||||||||||||||||||||||
T. Don Hutto Correctional Center | Taylor, | 183 | 13,418 | 4,018 | 591 | 17,028 | 17,619 | (6,118 | ) | 1997 | |||||||||||||||||||||||||
Texas | |||||||||||||||||||||||||||||||||||
Torrance County Detention Facility | Estancia, | 511 | 52,599 | 7,392 | 1,704 | 58,798 | 60,502 | (19,667 | ) | 1990 | |||||||||||||||||||||||||
New Mexico | |||||||||||||||||||||||||||||||||||
Webb County Detention Center | Laredo, | 498 | 20,160 | 5,792 | 2,101 | 24,349 | 26,450 | (8,570 | ) | 1998 | |||||||||||||||||||||||||
Texas | |||||||||||||||||||||||||||||||||||
West Tennessee Detention Facility | Mason, | 538 | 31,931 | 5,605 | 2,008 | 36,066 | 38,074 | (13,405 | ) | 1990 | |||||||||||||||||||||||||
Tennessee | |||||||||||||||||||||||||||||||||||
Wheeler Correctional Facility | Alamo, | 117 | 30,781 | 41,426 | 423 | 71,901 | 72,324 | (17,155 | ) | 1998 | |||||||||||||||||||||||||
Georgia | |||||||||||||||||||||||||||||||||||
Whiteville Correctional Facility | Whiteville, | 303 | 51,694 | 3,991 | 1,571 | 54,417 | 55,988 | (18,044 | ) | 1998 | |||||||||||||||||||||||||
Tennessee | |||||||||||||||||||||||||||||||||||
Totals | $ | 58,775 | $ | 2,171,312 | $ | 885,268 | $ | 100,295 | $ | 2,970,799 | $ | 3,071,094 | $ | (815,980 | ) | ||||||||||||||||||||
NOTES TO SCHEDULE III—REAL ESTATE AND ACCUMULATED DEPRECIATION | |||||||||||||||||||||||||||||||||||
(A) | Depreciation is calculated using estimated useful lives of depreciable assets up to 50 years for prison facilities. | ||||||||||||||||||||||||||||||||||
(B) | CCA recorded non-cash impairments during the fourth quarter of 2014 to write down the book values of the Queensgate and Mineral Wells facilities to the estimated fair values assuming asset sales for uses other than correctional facilities. | ||||||||||||||||||||||||||||||||||
CORRECTIONS CORPORATION OF AMERICA AND SUBSIDIARIES | |||||||||||||||||||||||||||||||||||
SCHEDULE III – REAL ESTATE ASSETS AND ACCUMULATED DEPRECIATION | |||||||||||||||||||||||||||||||||||
FOR THE YEARS ENDED DECEMBER 31, 2014, 2013, AND 2012 | |||||||||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||||||||
For the Years Ended December 31, | |||||||||||||||||||||||||||||||||||
2014 | 2013 | 2012 | |||||||||||||||||||||||||||||||||
Investment in Real Estate: | |||||||||||||||||||||||||||||||||||
Balance at beginning of period | $ | 3,078,902 | $ | 3,049,672 | $ | 2,972,528 | |||||||||||||||||||||||||||||
Additions through capital expenditures | 45,929 | 30,376 | 77,233 | ||||||||||||||||||||||||||||||||
Sale of real estate for cash | (4,368 | ) | (554 | ) | (81 | ) | |||||||||||||||||||||||||||||
Asset impairments | (49,247 | ) | — | — | |||||||||||||||||||||||||||||||
Reclassifications and other | (122 | ) | (592 | ) | (8 | ) | |||||||||||||||||||||||||||||
Balance at end of period | $ | 3,071,094 | $ | 3,078,902 | $ | 3,049,672 | |||||||||||||||||||||||||||||
Accumulated Depreciation: | |||||||||||||||||||||||||||||||||||
Balance at beginning of period | $ | (755,761 | ) | $ | (680,965 | ) | $ | (607,771 | ) | ||||||||||||||||||||||||||
Depreciation | (79,745 | ) | (75,069 | ) | (73,260 | ) | |||||||||||||||||||||||||||||
Disposals | 118 | 273 | 66 | ||||||||||||||||||||||||||||||||
Asset impairments | 19,408 | — | — | ||||||||||||||||||||||||||||||||
Balance at end of period | $ | (815,980 | ) | $ | (755,761 | ) | $ | (680,965 | ) |
SUMMARY_OF_SIGNIFICANT_ACCOUNT1
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Basis of Presentation | Basis of Presentation | ||||||||||||||||
The consolidated financial statements are prepared in accordance with U.S. generally accepted accounting principles and include the accounts of CCA on a consolidated basis with its wholly-owned subsidiaries. All intercompany balances and transactions have been eliminated. | |||||||||||||||||
Cash and Cash Equivalents | Cash and Cash Equivalents | ||||||||||||||||
CCA considers all liquid debt instruments with a maturity of three months or less at the time of purchase to be cash equivalents. | |||||||||||||||||
Restricted Cash | Restricted Cash | ||||||||||||||||
Restricted cash at December 31, 2014 and 2013 of $2.9 million and $5.6 million, respectively, is restricted for a capital improvements, replacements, and repairs reserve fund required by one of CCA’s contracts, and for the payment of dividends on unvested restricted stock. | |||||||||||||||||
Accounts Receivable and Allowance for Doubtful Accounts | Accounts Receivable and Allowance for Doubtful Accounts | ||||||||||||||||
At December 31, 2014 and 2013, accounts receivable of $248.6 million and $245.0 million were net of allowances for doubtful accounts totaling $0.7 million and $1.3 million, respectively. Accounts receivable consist primarily of amounts due from federal, state, and local government agencies for the utilization of CCA’s correctional and detention facilities, as well as for operating and managing prisons and other correctional facilities and providing offender residential and prisoner transportation services to such government agencies. | |||||||||||||||||
Accounts receivable are stated at estimated net realizable value. CCA recognizes allowances for doubtful accounts to ensure receivables are not overstated due to uncollectibility. Bad debt reserves are maintained for customers in the aggregate based on a variety of factors, including the length of time receivables are past due, significant one-time events, and historical experience. If circumstances related to customers change, estimates of the recoverability of receivables would be further adjusted. | |||||||||||||||||
Property and Equipment | Property and Equipment | ||||||||||||||||
Property and equipment are carried at cost. Assets acquired by CCA in conjunction with acquisitions are recorded at estimated fair market value at the time of purchase. Betterments, renewals and significant repairs that extend the life of an asset are capitalized; other repair and maintenance costs are expensed. Interest is capitalized to the asset to which it relates in connection with the construction or expansion of facilities. Construction costs directly associated with the development of a correctional facility are capitalized as part of the cost of the development project. Such costs are written-off to general and administrative expense whenever a project is abandoned. The cost and accumulated depreciation applicable to assets retired are removed from the accounts and the gain or loss on disposition is recognized in income. Depreciation is computed over the estimated useful lives of depreciable assets using the straight-line method. Useful lives for property and equipment are as follows: | |||||||||||||||||
Land improvements | 5 – 20 years | ||||||||||||||||
Buildings and improvements | 5 – 50 years | ||||||||||||||||
Equipment and software | 3 – 5 years | ||||||||||||||||
Office furniture and fixtures | 5 years | ||||||||||||||||
Accounting for the Impairment of Long-Lived Assets Other Than Goodwill | Accounting for the Impairment of Long-Lived Assets Other Than Goodwill | ||||||||||||||||
Long-lived assets other than goodwill are reviewed for impairment when circumstances indicate the carrying value of an asset may not be recoverable. When circumstances indicate an asset may not be recoverable, impairment is recognized when the estimated undiscounted cash flows associated with the asset or group of assets is less than their carrying value. If impairment exists, an adjustment is made to write the asset down to its fair value, and a loss is recorded as the difference between the carrying value and fair value. Fair values are determined based on quoted market values, comparable sales data, discounted cash flows or internal and external appraisals, as applicable. | |||||||||||||||||
Goodwill | Goodwill | ||||||||||||||||
Goodwill represents the cost in excess of the net assets of businesses acquired. As further discussed in Note 3, goodwill is tested for impairment at least annually using a fair-value based approach. | |||||||||||||||||
Investment in Direct Financing Lease | Investment in Direct Financing Lease | ||||||||||||||||
Investment in direct financing lease represents the portion of CCA’s management contract with a governmental agency that represents lease payments on buildings and equipment. The lease is accounted for using the financing method and, accordingly, the minimum lease payments to be received over the term of the lease less unearned income are capitalized as CCA’s investment in the lease. Unearned income is recognized as income over the term of the lease using the interest method. | |||||||||||||||||
Investment in Affiliates | Investment in Affiliates | ||||||||||||||||
Investments in affiliates that are equal to or less than 50%-owned over which CCA can exercise significant influence are accounted for using the equity method of accounting. Investments under the equity method are recorded at cost and subsequently adjusted for contributions, distributions, and net income attributable to the Company’s ownership based on the governing agreement. | |||||||||||||||||
Debt Issuance Costs | Debt Issuance Costs | ||||||||||||||||
Generally, debt issuance costs, which are included in other assets in the consolidated balance sheets, are capitalized and amortized into interest expense using the interest method, or on a straight-line basis over the term of the related debt, if not materially different than the interest method. However, certain debt issuance costs incurred in connection with debt refinancings are charged to expense in accordance with Accounting Standards Codification (“ASC”) 470-50, “Modifications and Extinguishments.” | |||||||||||||||||
Revenue Recognition | Revenue Recognition | ||||||||||||||||
CCA maintains contracts with certain governmental entities to manage their facilities for fixed per diem rates. CCA also maintains contracts with various federal, state, and local governmental entities for the housing of offenders in company-owned facilities at fixed per diem rates or monthly fixed rates. These contracts usually contain expiration dates with renewal options ranging from annual to multi-year renewals. Most of these contracts have current terms that require renewal every two to five years. Additionally, most facility management contracts contain clauses that allow the government agency to terminate a contract without cause, and are generally subject to legislative appropriations. CCA generally expects to renew these contracts for periods consistent with the remaining renewal options allowed by the contracts or other reasonable extensions; however, no assurance can be given that such renewals will be obtained. Fixed monthly rate revenue is recorded in the month earned and fixed per diem revenue, including revenue under those contracts that include guaranteed minimum populations, is recorded based on the per diem rate multiplied by the number of offenders housed or guaranteed during the respective period. | |||||||||||||||||
CCA recognizes any additional management service revenues upon completion of services provided to the customer. Certain of the government agencies also have the authority to audit and investigate CCA’s contracts with them. If the agency determines that CCA has improperly allocated costs to a specific contract or otherwise was unable to perform certain contractual services, CCA may not be reimbursed for those costs and could be required to refund the amount of any such costs that have been reimbursed. | |||||||||||||||||
Rental revenue is recognized in accordance with ASC 840, “Leases”. In accordance with ASC 840, minimum rental revenue is recognized on a straight-line basis over the term of the related lease. Leasehold incentives are recognized as a reduction to rental revenue on a straight-line basis over the term of the related lease. Rental revenue associated with expense reimbursements from tenants are recognized in the period that the related expenses are incurred based upon the tenant lease provision. | |||||||||||||||||
In September 2014, CCA agreed under an expansion of an existing inter-governmental service agreement (“IGSA”) between the city of Eloy, Arizona and the U.S. Immigration and Customs Enforcement (“ICE”) to provide residential space and services at the newly activated South Texas Family Residential Center. The amended IGSA qualifies as a multiple-element arrangement under the guidance in ASC 605, “Revenue Recognition”. CCA evaluates each deliverable in an arrangement to determine whether it represents a separate unit of accounting. A deliverable constitutes a separate unit of accounting when it has standalone value to the customer. ASC 605 requires revenue to be allocated to each unit of accounting based on a selling price hierarchy. The selling price for a deliverable is based on its vendor specific objective evidence (“VSOE”) of selling price, if available, third party evidence (“TPE”) if VSOE of selling price is not available, or estimated selling price (“ESP”) if neither VSOE of selling price nor TPE is available. CCA establishes VSOE of selling price using the price charged for a deliverable when sold separately. CCA establishes TPE of selling price by evaluating similar products or services in standalone sales to similarly situated customers. CCA establishes ESP based on management judgment considering internal factors such as margin objectives, pricing practices and controls, and market conditions. In arrangements with multiple elements, CCA allocates the transaction price to the individual units of accounting at inception of the arrangement based on their relative selling price. | |||||||||||||||||
Other revenue consists primarily of ancillary revenues associated with operating correctional and detention facilities, such as commissary, phone, and vending sales, and are recorded in the period the goods and services are provided. Revenues generated from prisoner transportation services for governmental agencies are recorded in the period the inmates have been transported to their destination. | |||||||||||||||||
Self-Funded Insurance Reserves | Self-Funded Insurance Reserves | ||||||||||||||||
CCA is significantly self-insured for employee health, workers’ compensation, automobile liability claims, and general liability claims. As such, CCA’s insurance expense is largely dependent on claims experience and CCA’s ability to control its claims experience. CCA has consistently accrued the estimated liability for employee health insurance based on its history of claims experience and time lag between the incident date and the date the cost is paid by CCA. CCA has accrued the estimated liability for workers’ compensation claims based on an actuarially determined liability, discounted to the net present value of the outstanding liabilities, using a combination of actuarial methods used to project ultimate losses, and the Company’s automobile insurance claims based on estimated development factors on claims incurred. The liability for employee health, workers’ compensation, and automobile insurance includes estimates for both claims incurred and for claims incurred but not reported. CCA records litigation reserves related to general liability matters for which it is probable that a loss has been incurred and the range of such loss can be estimated. These estimates could change in the future. | |||||||||||||||||
Income Taxes | Income Taxes | ||||||||||||||||
CCA began operating as a REIT for federal income tax purposes effective January 1, 2013. As a REIT, the Company generally is not subject to corporate level federal income tax on taxable income it distributes to its shareholders as long as it meets the organizational and operational requirements under the REIT rules. However, certain subsidiaries have made an election with the Company to be treated as TRSs in conjunction with the Company’s REIT election. The TRS elections permit CCA to engage in certain business activities in which the REIT may not engage directly, so long as these activities are conducted in entities that elect to be treated as TRSs under the Internal Revenue Code. A TRS is subject to federal and state income taxes on the income from these activities and therefore, CCA includes a provision for taxes in its consolidated financial statements. | |||||||||||||||||
Income taxes are accounted for under the provisions of ASC 740, “Income Taxes”. ASC 740 generally requires CCA to record deferred income taxes for the tax effect of differences between book and tax bases of its assets and liabilities. Deferred income taxes reflect the available net operating losses and the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for income tax purposes using enacted tax rates in effect for the year in which the differences are expected to reverse. The effect of a change in tax rates on deferred tax assets and liabilities is recognized in the statement of operations in the period that includes the enactment date. Realization of the future tax benefits related to deferred tax assets is dependent on many factors, including CCA’s past earnings history, expected future earnings, the character and jurisdiction of such earnings, unsettled circumstances that, if unfavorably resolved, would adversely affect utilization of its deferred tax assets, carryback and carryforward periods, and tax strategies that could potentially enhance the likelihood of realization of a deferred tax asset. | |||||||||||||||||
Income tax contingencies are accounted for under the provisions of ASC 740. ASC 740 prescribes a recognition threshold and measurement attribute for the financial statement recognition and measurement of a tax position taken or expected to be taken in a tax return. The guidance prescribed in ASC 740 establishes a recognition threshold of more likely than not that a tax position will be sustained upon examination. The measurement attribute requires that a tax position be measured at the largest amount of benefit that is greater than 50% likely of being realized upon ultimate settlement. | |||||||||||||||||
Foreign Currency Transactions | Foreign Currency Transactions | ||||||||||||||||
CCA has extended a working capital loan to Agecroft Prison Management, Ltd. (“APM”), the operator of a correctional facility in Salford, England previously owned by a subsidiary of CCA. The working capital loan is denominated in British pounds; consequently, CCA adjusts these receivables to the current exchange rate at each balance sheet date and recognizes the unrealized currency gain or loss in current period earnings. See Note 6 for further discussion of CCA’s relationship with APM. | |||||||||||||||||
Fair Value of Financial Instruments | Fair Value of Financial Instruments | ||||||||||||||||
To meet the reporting requirements of ASC 825, “Financial Instruments”, regarding fair value of financial instruments, CCA calculates the estimated fair value of financial instruments using market interest rates, quoted market prices of similar instruments, or discounted cash flow techniques with observable Level 1 inputs for publicly traded debt and Level 2 inputs for all other financial instruments, as defined in ASC 820, “Fair Value Measurement”. At December 31, 2014 and 2013, there were no material differences between the carrying amounts and the estimated fair values of CCA’s financial instruments, other than as follows (in thousands): | |||||||||||||||||
December 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Carrying | Fair Value | Carrying | Fair Value | ||||||||||||||
Amount | Amount | ||||||||||||||||
Investment in direct financing lease | $ | 5,473 | $ | 6,048 | $ | 7,466 | $ | 8,609 | |||||||||
Note receivable from APM | $ | 3,677 | $ | 6,539 | $ | 4,831 | $ | 9,006 | |||||||||
Debt | $ | (1,200,000 | ) | $ | (1,179,625 | ) | $ | (1,205,000 | ) | $ | (1,179,375 | ) | |||||
Use of Estimates in Preparation of Financial Statements | Use of Estimates in Preparation of Financial Statements | ||||||||||||||||
The preparation of financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities, at the date of the financial statements and the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates and those differences could be material. | |||||||||||||||||
Concentration of Credit Risks | Concentration of Credit Risks | ||||||||||||||||
CCA’s credit risks relate primarily to cash and cash equivalents, restricted cash, accounts receivable, and an investment in a direct financing lease. Cash and cash equivalents and restricted cash are primarily held in bank accounts and overnight investments. CCA maintains deposits of cash in excess of federally insured limits with certain financial institutions. CCA’s accounts receivable and investment in direct financing lease represent amounts due primarily from governmental agencies. CCA’s financial instruments are subject to the possibility of loss in carrying value as a result of either the failure of other parties to perform according to their contractual obligations or changes in market prices that make the instruments less valuable. | |||||||||||||||||
CCA derives its revenues primarily from amounts earned under federal, state, and local government contracts. For each of the years ended December 31, 2014, 2013, and 2012, federal correctional and detention authorities represented 44% of CCA’s total revenue. Federal correctional and detention authorities consist primarily of the Federal Bureau of Prisons (“BOP”), the United States Marshals Service (“USMS”), and ICE. The BOP accounted for 13%, 13%, and 12% of total revenue for 2014, 2013, and 2012, respectively. The USMS accounted for 17%, 19%, and 20% of total revenue for 2014, 2013, and 2012, respectively. ICE accounted for 13%, 12%, and 12% of total revenue for 2014, 2013, and 2012, respectively. These federal customers have management contracts at facilities CCA owns and at facilities CCA manages but does not own. Additionally, CCA’s management contracts with state correctional authorities represented 48%, 49%, and 49% of total revenue during the years ended December 31, 2014, 2013, and 2012, respectively. The State of California Department of Corrections and Rehabilitation (the “CDCR”) accounted for 14%, 12%, and 12% of total revenue for the years ended December 31, 2014, 2013, and 2012, respectively, including revenue generated under an operating lease that commenced December 1, 2013, at a facility we own in California. No other customer generated more than 10% of total revenue during 2014, 2013, or 2012. Although the revenue generated from each of these agencies is derived from numerous management contracts, the loss of one or more of such contracts could have a material adverse impact on CCA’s financial condition and results of operations. | |||||||||||||||||
Accounting for Stock-Based Compensation | Accounting for Stock-Based Compensation | ||||||||||||||||
Restricted Stock | |||||||||||||||||
CCA accounts for restricted stock-based compensation under the recognition and measurement principles of ASC 718, “Compensation-Stock Compensation”. CCA amortizes the fair market value as of the grant date of restricted stock awards over the vesting period using the straight-line method. The fair market value of performance-based restricted stock is amortized over the vesting period as long as CCA expects to meet the performance criteria. If achievement of the performance criteria becomes improbable, an adjustment is made to reverse the expense previously recognized. | |||||||||||||||||
Stock Options | |||||||||||||||||
CCA’s stock option plans are described more fully in Note 13. CCA accounts for those plans under the recognition and measurement principles of ASC 718. All options granted under those plans had an exercise price equal to the market value of the underlying common stock on the date of grant. | |||||||||||||||||
Recent Accounting Pronouncements | Recent Accounting Pronouncements | ||||||||||||||||
In May 2014, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers”, which establishes a single, comprehensive revenue recognition standard for all contracts with customers. For public reporting entities such as CCA, ASU 2014-09 is effective for interim and annual periods beginning after December 15, 2016 and early adoption of the ASU is not permitted. CCA is reviewing the ASU to determine the potential impact it might have on the Company’s results of operations, cash flows, or financial position and its related financial statement disclosures, along with evaluating which transition method will be utilized upon adoption. |
SUMMARY_OF_SIGNIFICANT_ACCOUNT2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Schedule of Useful Life of Property and Equipment | Useful lives for property and equipment are as follows: | ||||||||||||||||
Land improvements | 5 – 20 years | ||||||||||||||||
Buildings and improvements | 5 – 50 years | ||||||||||||||||
Equipment and software | 3 – 5 years | ||||||||||||||||
Office furniture and fixtures | 5 years | ||||||||||||||||
Schedule of Financial Instruments Having Difference Between Carrying Amount and Fair Value | At December 31, 2014 and 2013, there were no material differences between the carrying amounts and the estimated fair values of CCA’s financial instruments, other than as follows (in thousands): | ||||||||||||||||
December 31, | |||||||||||||||||
2014 | 2013 | ||||||||||||||||
Carrying | Fair Value | Carrying | Fair Value | ||||||||||||||
Amount | Amount | ||||||||||||||||
Investment in direct financing lease | $ | 5,473 | $ | 6,048 | $ | 7,466 | $ | 8,609 | |||||||||
Note receivable from APM | $ | 3,677 | $ | 6,539 | $ | 4,831 | $ | 9,006 | |||||||||
Debt | $ | (1,200,000 | ) | $ | (1,179,625 | ) | $ | (1,205,000 | ) | $ | (1,179,375 | ) |
PROPERTY_AND_EQUIPMENT_Tables
PROPERTY AND EQUIPMENT (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Property and Equipment | Property and equipment, at cost, consists of the following (in thousands): | ||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Land and improvements | $ | 127,221 | $ | 127,246 | |||||
Buildings and improvements | 3,048,836 | 3,058,748 | |||||||
Equipment and software | 326,603 | 316,696 | |||||||
Office furniture and fixtures | 30,884 | 30,969 | |||||||
Construction in progress | 276,508 | 93,187 | |||||||
3,810,052 | 3,626,846 | ||||||||
Less: Accumulated depreciation | (1,151,424 | ) | (1,080,233 | ) | |||||
$ | 2,658,628 | $ | 2,546,613 | ||||||
Schedule of Future Minimum Lease Payments | Future minimum lease payments as of December 31, 2014 under these operating leases, inclusive of $287.4 million of payments expected to be made under the cancelable lease at the South Texas facility, are as follows (in thousands): | ||||||||
2015 | $ | 83,427 | |||||||
2016 | 79,538 | ||||||||
2017 | 73,412 | ||||||||
2018 | 53,733 | ||||||||
2019 | — | ||||||||
Thereafter | — |
REAL_ESTATE_TRANSACTIONS_Table
REAL ESTATE TRANSACTIONS (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Summary of Idled Facilities and Respective Carrying Values | The following table summarizes each of the idled core facilities and their respective carrying values, excluding equipment and other assets that could generally be transferred and used at other facilities CCA owns without significant cost (dollars in thousands): | ||||||||||||||||
Design | Date | Net Carrying Values at December 31, | |||||||||||||||
Facility | Capacity | Idled | 2014 | 2013 | |||||||||||||
Prairie Correctional Facility | 1,600 | 2010 | $ | 18,748 | $ | 19,366 | |||||||||||
Huerfano County Correctional Center | 752 | 2010 | 19,033 | 19,800 | |||||||||||||
Diamondback Correctional Facility | 2,160 | 2010 | 44,480 | 44,223 | |||||||||||||
Otter Creek Correctional Center | 656 | 2012 | 24,089 | 24,805 | |||||||||||||
Marion Adjustment Center | 826 | 2013 | 12,978 | 13,429 | |||||||||||||
5,994 | $ | 119,328 | $ | 121,623 | |||||||||||||
INVESTMENT_IN_DIRECT_FINANCING1
INVESTMENT IN DIRECT FINANCING LEASE (Tables) | 12 Months Ended | ||||
Dec. 31, 2014 | |||||
Schedule of Minimum Rentals to be Received Under the Direct Financing Lease in Future Years | A schedule of minimum rentals to be received under the direct financing lease in future years is as follows (in thousands): | ||||
2015 | $ | 2,793 | |||
2016 | 2,793 | ||||
2017 | 694 | ||||
2018 | — | ||||
2019 | — | ||||
Total minimum obligation | 6,280 | ||||
Less unearned interest income | (807 | ) | |||
Less current portion of direct financing lease | (2,250 | ) | |||
Investment in direct financing lease | $ | 3,223 | |||
OTHER_ASSETS_Tables
OTHER ASSETS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Schedule of Other Assets | Other assets consist of the following (in thousands): | ||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Debt issuance costs, less accumulated amortization of $5,413 and $2,311, respectively | $ | 14,305 | $ | 17,336 | |||||
Intangible lease value | 24,289 | 25,567 | |||||||
Deferred leasing costs | 8,338 | 9,305 | |||||||
Notes receivable, net | 8,285 | 6,987 | |||||||
Cash equivalents and cash surrender value of life insurance held in Rabbi trust | 17,918 | 15,811 | |||||||
Deposits | 1,982 | 2,037 | |||||||
Straight-line rent receivable | 1,729 | 133 | |||||||
Other | 1,240 | 652 | |||||||
$ | 78,086 | $ | 77,828 | ||||||
ACCOUNTS_PAYABLE_ACCRUED_EXPEN1
ACCOUNTS PAYABLE, ACCRUED EXPENSES AND OTHER LONG-TERM LIABILITIES (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Schedule of Accounts Payable and Accrued Expenses | Accounts payable and accrued expenses consist of the following (in thousands): | ||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Trade accounts payable | $ | 49,825 | $ | 49,826 | |||||
Accrued salaries and wages | 58,173 | 58,810 | |||||||
Accrued dividends | 61,129 | 56,306 | |||||||
Accrued workers’ compensation and auto liability | 7,727 | 8,409 | |||||||
Accrued litigation | 4,323 | 6,170 | |||||||
Accrued employee medical insurance | 8,530 | 9,658 | |||||||
Accrued property taxes | 24,522 | 24,721 | |||||||
Accrued interest | 6,435 | 6,331 | |||||||
Deferred revenue | 5,725 | 375 | |||||||
Construction payable | 64,995 | 8,374 | |||||||
Other | 26,182 | 23,297 | |||||||
$ | 317,566 | $ | 252,277 | ||||||
Other Long Term Liabilitites | Other long-term liabilities consist of the following (in thousands): | ||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Deferred revenue | $ | 87,227 | $ | 1,070 | |||||
Intangible lease liability | 7,352 | 7,739 | |||||||
Accrued workers’ compensation | 15,732 | 15,707 | |||||||
Accrued deferred compensation | 13,036 | 15,013 | |||||||
Other | 3,356 | 5,983 | |||||||
$ | 126,703 | $ | 45,512 | ||||||
DEBT_Tables
DEBT (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Schedule Of Debt Outstanding | Debt outstanding consists of the following (in thousands): | ||||||||
December 31, | |||||||||
2014 | 2013 | ||||||||
Revolving Credit Facility, principal due at maturity in December 2017; interest payable periodically at variable interest rates. The weighted average rate at December 31, 2014 and 2013 was 1.9% and 1.7%, respectively. | $ | 525,000 | $ | 530,000 | |||||
4.625% Senior Notes, principal due at maturity in May 2023; interest payable semi-annually in May and November at 4.625%. | 350,000 | 350,000 | |||||||
4.125% Senior Notes, principal due at maturity in April 2020; interest payable semi-annually in April and October at 4.125%. | 325,000 | 325,000 | |||||||
$ | 1,200,000 | $ | 1,205,000 | ||||||
Schedule of Principal Payments | Scheduled principal payments as of December 31, 2014 for the next five years and thereafter were as follows (in thousands): | ||||||||
2015 | $ | — | |||||||
2016 | — | ||||||||
2017 | 525,000 | ||||||||
2018 | — | ||||||||
2019 | — | ||||||||
Thereafter | 675,000 | ||||||||
Total debt | $ | 1,200,000 | |||||||
INCOME_TAXES_Tables
INCOME TAXES (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Components Of Income Tax Expense | Income tax expense (benefit) is comprised of the following components (in thousands): | ||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Current income tax expense (benefit) | |||||||||||||
Federal | $ | 9,326 | $ | 13,674 | $ | 75,867 | |||||||
State | 828 | 2,368 | 5,885 | ||||||||||
10,154 | 16,042 | 81,752 | |||||||||||
Deferred income tax expense (benefit) | |||||||||||||
Federal | (2,280 | ) | (144,771 | ) | 8,576 | ||||||||
State | (931 | ) | (6,266 | ) | (2,815 | ) | |||||||
(3,211 | ) | (151,037 | ) | 5,761 | |||||||||
Income tax expense (benefit) | $ | 6,943 | $ | (134,995 | ) | $ | 87,513 | ||||||
Components of Deferred Tax Assets and Liabilities | Significant components of CCA’s deferred tax assets and liabilities as of December 31, 2014 and 2013, are as follows (in thousands): | ||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Current deferred tax assets: | |||||||||||||
Asset reserves and liabilities not yet deductible for tax | $ | 15,969 | $ | 11,284 | |||||||||
Net current deferred tax assets | 15,969 | 11,284 | |||||||||||
Current deferred tax liabilities: | |||||||||||||
Other | (2,740 | ) | (2,043 | ) | |||||||||
Net total current deferred tax assets | $ | 13,229 | $ | 9,241 | |||||||||
Noncurrent deferred tax assets: | |||||||||||||
Asset reserves and liabilities not yet deductible for tax | $ | 15,665 | $ | 17,372 | |||||||||
Tax over book basis of certain assets | 924 | 897 | |||||||||||
Net operating loss and tax credit carryforwards | 5,008 | 4,575 | |||||||||||
Intangible contract value | 2,877 | 3,024 | |||||||||||
Other | 579 | 705 | |||||||||||
Total noncurrent deferred tax assets | 25,053 | 26,573 | |||||||||||
Less valuation allowance | (4,065 | ) | (4,497 | ) | |||||||||
Net noncurrent deferred tax assets | 20,988 | 22,076 | |||||||||||
Noncurrent deferred tax liabilities: | |||||||||||||
Book over tax basis of certain assets | (9,028 | ) | (9,067 | ) | |||||||||
Intangible lease value | (9,431 | ) | (9,894 | ) | |||||||||
Other | (228 | ) | (37 | ) | |||||||||
Total noncurrent deferred tax liabilities | (18,687 | ) | (18,998 | ) | |||||||||
Net total noncurrent deferred tax assets | $ | 2,301 | $ | 3,078 | |||||||||
Reconciliation of Income Tax Provision at Statutory Income Tax Rate and Effective Tax Rate | A reconciliation of the income tax provision at the statutory income tax rate and the effective tax rate as a percentage of income from continuing operations before income taxes for the years ended December 31, 2014, 2013, and 2012 is as follows: | ||||||||||||
2014 | 2013 | 2012 | |||||||||||
Statutory federal rate | 35 | % | 35 | % | 35 | % | |||||||
Dividends paid deduction | (31.1 | ) | (30.7 | ) | — | ||||||||
State taxes, net of federal tax benefit | 0.8 | 1.1 | 1 | ||||||||||
Permanent differences | 0.1 | 3 | 0.7 | ||||||||||
Impact of REIT election | — | (87.0 | ) | — | |||||||||
Other items, net | (1.4 | ) | (1.0 | ) | (0.9 | ) | |||||||
3.4 | % | (79.6 | )% | 35.8 | % | ||||||||
DISCONTINUED_OPERATIONS_Tables
DISCONTINUED OPERATIONS (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2014 | |||||||||
Summarized Results of Operations for Discontinued Facilities | The following table summarizes the results of operations for these three facilities for the years ended December 31, 2013 and 2012 (in thousands): | ||||||||
For the Years Ended December 31, | |||||||||
2013 | 2012 | ||||||||
REVENUE: | |||||||||
Managed-only | $ | 19,984 | $ | 36,421 | |||||
19,984 | 36,421 | ||||||||
EXPENSES: | |||||||||
Managed-only | 22,529 | 35,994 | |||||||
Depreciation and amortization | 799 | 870 | |||||||
Asset impairments | 2,637 | — | |||||||
25,965 | 36,864 | ||||||||
OPERATING LOSS | (5,981 | ) | (443 | ) | |||||
Other (expense) income | (17 | ) | 96 | ||||||
LOSS BEFORE INCOME TAXES | (5,998 | ) | (347 | ) | |||||
Income tax benefit | 2,241 | 142 | |||||||
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAXES | $ | (3,757 | ) | $ | (205 | ) | |||
STOCKHOLDERS_EQUITY_Tables
STOCKHOLDERS' EQUITY (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Tax Characterization of Dividends per Share on Common Shares | Dividends on Common Stock | ||||||||||||||||
The tax characterization of dividends per share on common shares as reported to shareholders was as follows for the years ended December 31, 2014, 2013, and 2012: | |||||||||||||||||
Declaration Date | Record Date | Payable Date | Ordinary | Return of | Total | ||||||||||||
Income | Capital | Per Share | |||||||||||||||
May 11, 2012 | June 8, 2012 | June 22, 2012 | 0.2 | (1) | — | $0.20 | |||||||||||
August 20, 2012 | September 14, 2012 | September 28, 2012 | 0.2 | (1) | — | $0.20 | |||||||||||
November 6, 2012 | November 30, 2012 | 14-Dec-12 | 0.2 | (1) | — | $0.20 | |||||||||||
February 22, 2013 | 3-Apr-13 | 15-Apr-13 | 0.346119 | 0.183881 | $0.53 | ||||||||||||
May 16, 2013 | 3-Jul-13 | 15-Jul-13 | 0.313466 | 0.166534 | $0.48 | ||||||||||||
August 16, 2013 | 2-Oct-13 | 15-Oct-13 | 0.313466 | 0.166534 | $0.48 | ||||||||||||
December 12, 2013 | 2-Jan-14 | 15-Jan-14 | 0.48 | (2) | — | $0.48 | |||||||||||
February 20, 2014 | 2-Apr-14 | 15-Apr-14 | 0.51 | (3) | — | $0.51 | |||||||||||
May 15, 2014 | 2-Jul-14 | 15-Jul-14 | 0.51 | (3) | — | $0.51 | |||||||||||
August 14, 2014 | 2-Oct-14 | 15-Oct-14 | 0.51 | (3) | — | $0.51 | |||||||||||
December 11, 2014 | 2-Jan-15 | 15-Jan-15 | — | (4) | — | (4) | $0.51 | ||||||||||
-1 | The amount constitutes a “Qualified Dividend”, as defined by the IRS. | ||||||||||||||||
-2 | $0.072069 of this amount constitutes a “Qualified Dividend”, as defined by the IRS. | ||||||||||||||||
-3 | $0.076573 of this amount constitutes a “Qualified Dividend”, as defined by the IRS. | ||||||||||||||||
-4 | Taxable in 2015. | ||||||||||||||||
Summary of Nonvested Restricted Common Stock Transactions | Nonvested restricted common stock transactions as of December 31, 2014 and for the year then ended are summarized below (in thousands, except per share amounts). | ||||||||||||||||
Shares of restricted | Weighted average | ||||||||||||||||
common stock and RSUs | grant date fair value | ||||||||||||||||
Nonvested at December 31, 2013 | 812 | $ | 32.81 | ||||||||||||||
Granted | 548 | $ | 32.4 | ||||||||||||||
Cancelled | (31 | ) | $ | 32.31 | |||||||||||||
Vested | (309 | ) | $ | 31.73 | |||||||||||||
Nonvested at December 31, 2014 | 1,020 | $ | 32.93 | ||||||||||||||
Summary of Stock Option Transactions Relating to Non-Qualified Stock Option Plans | Stock option transactions relating to CCA’s non-qualified stock option plans are summarized below (in thousands, except exercise prices): | ||||||||||||||||
No. of | Weighted- | Weighted- | Aggregate | ||||||||||||||
options | Average | Average | Intrinsic | ||||||||||||||
Exercise Price | Remaining | Value | |||||||||||||||
of options | Contractual | ||||||||||||||||
Term | |||||||||||||||||
Outstanding at December 31, 2013 | 2,602 | $ | 19.31 | ||||||||||||||
Granted | — | — | |||||||||||||||
Exercised | (712 | ) | 17.47 | ||||||||||||||
Cancelled | (6 | ) | 22.34 | ||||||||||||||
Outstanding at December 31, 2014 | 1,884 | $ | 20 | 5 | $ | 30,792 | |||||||||||
Exercisable at December 31, 2014 | 1,602 | $ | 19.58 | 4.6 | $ | 26,841 | |||||||||||
Schedule of Estimated Fair Value of Option Grant Using Black-Scholes Option Pricing Model | The fair value of the 2012 option grant was estimated on the date of the grant using the Black-Scholes option-pricing model with the following weighted average assumptions: | ||||||||||||||||
2012 | |||||||||||||||||
Expected dividend yield | 3 | % | |||||||||||||||
Expected stock price volatility | 42.2 | % | |||||||||||||||
Risk-free interest rate | 1 | % | |||||||||||||||
Expected life of options | 5 years | ||||||||||||||||
Summary of Nonvested Stock Option Transactions Relating to Non-Qualified Stock Option Plans | Nonvested stock option transactions relating to CCA’s non-qualified stock option plans as of December 31, 2014 and changes during the year ended December 31, 2014 are summarized below (in thousands, except grant date fair values): | ||||||||||||||||
Number of | Weighted | ||||||||||||||||
options | average grant | ||||||||||||||||
date fair value | |||||||||||||||||
Nonvested at December 31, 2013 | 679 | $ | 6.88 | ||||||||||||||
Granted | — | $ | — | ||||||||||||||
Cancelled | — | $ | — | ||||||||||||||
Vested | (397 | ) | $ | 7.04 | |||||||||||||
Nonvested at December 31, 2014 | 282 | $ | 6.66 | ||||||||||||||
EARNINGS_PER_SHARE_Tables
EARNINGS PER SHARE (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Schedule of Calculation of Numerator and Denominator in Earnings Per Share | A reconciliation of the numerator and denominator of the basic earnings per share computation to the numerator and denominator of the diluted earnings per share computation is as follows (in thousands, except per share data): | ||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
NUMERATOR | |||||||||||||
Basic: | |||||||||||||
Income from continuing operations | $ | 195,022 | $ | 304,592 | $ | 156,966 | |||||||
Loss from discontinued operations, net of taxes | — | (3,757 | ) | (205 | ) | ||||||||
Net income | $ | 195,022 | $ | 300,835 | $ | 156,761 | |||||||
Diluted: | |||||||||||||
Income from continuing operations | $ | 195,022 | $ | 304,592 | $ | 156,966 | |||||||
Loss from discontinued operations, net of taxes | — | (3,757 | ) | (205 | ) | ||||||||
Diluted net income | $ | 195,022 | $ | 300,835 | $ | 156,761 | |||||||
DENOMINATOR | |||||||||||||
Basic: | |||||||||||||
Weighted average common shares outstanding | 116,109 | 109,617 | 99,545 | ||||||||||
Diluted: | |||||||||||||
Weighted average common shares outstanding | 116,109 | 109,617 | 99,545 | ||||||||||
Effect of dilutive securities: | |||||||||||||
Stock options | 895 | 1,279 | 864 | ||||||||||
Restricted stock-based compensation | 308 | 354 | 214 | ||||||||||
Weighted average shares and assumed conversions | 117,312 | 111,250 | 100,623 | ||||||||||
BASIC EARNINGS PER SHARE: | |||||||||||||
Income from continuing operations | $ | 1.68 | $ | 2.77 | $ | 1.58 | |||||||
Loss from discontinued operations, net of taxes | — | (0.03 | ) | — | |||||||||
Net income | $ | 1.68 | $ | 2.74 | $ | 1.58 | |||||||
DILUTED EARNINGS PER SHARE: | |||||||||||||
Income from continuing operations | $ | 1.66 | $ | 2.73 | $ | 1.56 | |||||||
Loss from discontinued operations, net of taxes | — | (0.03 | ) | — | |||||||||
Net income | $ | 1.66 | $ | 2.7 | $ | 1.56 | |||||||
SEGMENT_REPORTING_Tables
SEGMENT REPORTING (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2014 | |||||||||||||
Schedule of Revenue and Net Operating Income of Owned and Managed and the Managed-Only Facilities and Reconciliation to CCA's Operating Income | The revenue and net operating income for the owned and managed and the managed-only facilities and a reconciliation to CCA’s operating income is as follows for the three years ended December 31, 2014, 2013, and 2012 (in thousands): | ||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Revenue: | |||||||||||||
Owned and managed | $ | 1,379,986 | $ | 1,386,355 | $ | 1,418,783 | |||||||
Managed-only | 232,685 | 301,454 | 299,599 | ||||||||||
Total management revenue | 1,612,671 | 1,687,809 | 1,718,382 | ||||||||||
Operating expenses: | |||||||||||||
Owned and managed | 928,857 | 941,638 | 935,680 | ||||||||||
Managed-only | 207,355 | 261,903 | 263,678 | ||||||||||
Total operating expenses | 1,136,212 | 1,203,541 | 1,199,358 | ||||||||||
Facility net operating income | |||||||||||||
Owned and managed | 451,129 | 444,717 | 483,103 | ||||||||||
Managed-only | 25,330 | 39,551 | 35,921 | ||||||||||
Total facility net operating income | 476,459 | 484,268 | 519,024 | ||||||||||
Other revenue (expense): | |||||||||||||
Rental and other revenue | 34,196 | 6,488 | 5,275 | ||||||||||
Other operating expense | (19,923 | ) | (16,810 | ) | (17,693 | ) | |||||||
General and administrative expense | (106,429 | ) | (103,590 | ) | (88,935 | ) | |||||||
Depreciation and amortization | (113,925 | ) | (112,692 | ) | (113,063 | ) | |||||||
Asset impairments | (30,082 | ) | (6,513 | ) | — | ||||||||
Operating income | $ | 240,296 | $ | 251,151 | $ | 304,608 | |||||||
Summary of Capital Expenditures | The following table summarizes capital expenditures for the years ended December 31, 2014, 2013, and 2012 (in thousands): | ||||||||||||
For the Years Ended December 31, | |||||||||||||
2014 | 2013 | 2012 | |||||||||||
Capital expenditures: | |||||||||||||
Owned and managed | $ | 246,333 | $ | 96,975 | $ | 55,222 | |||||||
Managed-only | 3,171 | 3,719 | 3,507 | ||||||||||
Corporate and other | 13,056 | 10,852 | 17,685 | ||||||||||
Discontinued operations | — | 72 | 532 | ||||||||||
Total capital expenditures | $ | 262,560 | $ | 111,618 | $ | 76,946 | |||||||
Schedule of Total Assets | The total assets are as follows (in thousands): | ||||||||||||
December 31, | |||||||||||||
2014 | 2013 | ||||||||||||
Assets: | |||||||||||||
Owned and managed | $ | 2,745,905 | $ | 2,715,719 | |||||||||
Managed-only | 68,146 | 81,551 | |||||||||||
Corporate and other | 313,140 | 210,140 | |||||||||||
Discontinued operations | — | 15 | |||||||||||
Total assets | $ | 3,127,191 | $ | 3,007,425 | |||||||||
CONDENSED_CONSOLIDATING_FINANC1
CONDENSED CONSOLIDATING FINANCIAL STATEMENTS OF CCA AND SUBSIDIARIES (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | CONDENSED CONSOLIDATING BALANCE SHEET | ||||||||||||||||
As of December 31, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||
ASSETS | Parent | Combined | Consolidating | Total | |||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
Cash and cash equivalents | $ | 12,337 | $ | 62,056 | $ | — | $ | 74,393 | |||||||||
Accounts receivable, net of allowance | 167,626 | 178,911 | (97,949 | ) | 248,588 | ||||||||||||
Current deferred tax assets | — | 13,241 | (12 | ) | 13,229 | ||||||||||||
Prepaid expenses and other current assets | 17,060 | 34,705 | (21,990 | ) | 29,775 | ||||||||||||
Total current assets | 197,023 | 288,913 | (119,951 | ) | 365,985 | ||||||||||||
Property and equipment, net | 2,459,053 | 199,575 | — | 2,658,628 | |||||||||||||
Restricted cash | 1,267 | 1,591 | — | 2,858 | |||||||||||||
Investment in direct financing lease | 3,223 | — | — | 3,223 | |||||||||||||
Goodwill | — | 16,110 | — | 16,110 | |||||||||||||
Non-current deferred tax assets | — | 2,778 | (477 | ) | 2,301 | ||||||||||||
Other assets | 241,690 | 47,046 | (210,650 | ) | 78,086 | ||||||||||||
Total assets | $ | 2,902,256 | $ | 556,013 | $ | (331,078 | ) | $ | 3,127,191 | ||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||
Accounts payable and accrued expenses | $ | 218,403 | $ | 205,213 | $ | (106,050 | ) | $ | 317,566 | ||||||||
Income taxes payable | 195 | 1,173 | — | 1,368 | |||||||||||||
Current deferred tax liabilities | 13 | — | (13 | ) | — | ||||||||||||
Note payable to an affiliate | — | 13,854 | (13,854 | ) | — | ||||||||||||
Current liabilities of discontinued operations | — | 54 | — | 54 | |||||||||||||
Total current liabilities | 218,611 | 220,294 | (119,917 | ) | 318,988 | ||||||||||||
Long-term debt | 1,200,000 | 115,000 | (115,000 | ) | 1,200,000 | ||||||||||||
Non-current deferred tax liabilities | 477 | — | (477 | ) | — | ||||||||||||
Other liabilities | 1,668 | 125,035 | — | 126,703 | |||||||||||||
Total liabilities | 1,420,756 | 460,329 | (235,394 | ) | 1,645,691 | ||||||||||||
Total stockholders’ equity | 1,481,500 | 95,684 | (95,684 | ) | 1,481,500 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 2,902,256 | $ | 556,013 | $ | (331,078 | ) | $ | 3,127,191 | ||||||||
CONDENSED CONSOLIDATING BALANCE SHEET | |||||||||||||||||
As of December 31, 2013 | |||||||||||||||||
(in thousands) | |||||||||||||||||
ASSETS | Parent | Combined | Consolidating | Total | |||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
Cash and cash equivalents | $ | 31,647 | $ | 46,262 | $ | — | $ | 77,909 | |||||||||
Accounts receivable, net of allowance | 203,018 | 178,894 | (136,955 | ) | 244,957 | ||||||||||||
Current deferred tax assets | 2 | 9,239 | — | 9,241 | |||||||||||||
Prepaid expenses and other current assets | 7,580 | 22,856 | (9,824 | ) | 20,612 | ||||||||||||
Current assets of discontinued operations | — | 15 | — | 15 | |||||||||||||
Total current assets | 242,247 | 257,266 | (146,779 | ) | 352,734 | ||||||||||||
Property and equipment, net | 2,450,028 | 96,585 | — | 2,546,613 | |||||||||||||
Restricted cash | 1,016 | 4,573 | — | 5,589 | |||||||||||||
Investment in direct financing lease | 5,473 | — | — | 5,473 | |||||||||||||
Goodwill | — | 16,110 | — | 16,110 | |||||||||||||
Non-current deferred tax assets | — | 3,633 | (555 | ) | 3,078 | ||||||||||||
Other assets | 245,028 | 45,149 | (212,349 | ) | 77,828 | ||||||||||||
Total assets | $ | 2,943,792 | $ | 423,316 | $ | (359,683 | ) | $ | 3,007,425 | ||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | |||||||||||||||||
Accounts payable and accrued expenses | $ | 234,277 | $ | 164,745 | $ | (146,745 | ) | $ | 252,277 | ||||||||
Income taxes payable | — | 1,243 | — | 1,243 | |||||||||||||
Current liabilities of discontinued operations | — | 886 | — | 886 | |||||||||||||
Total current liabilities | 234,277 | 166,874 | (146,745 | ) | 254,406 | ||||||||||||
Long-term debt | 1,205,000 | 115,000 | (115,000 | ) | 1,205,000 | ||||||||||||
Non-current deferred tax liabilities | 555 | — | (555 | ) | — | ||||||||||||
Other liabilities | 1,453 | 44,059 | — | 45,512 | |||||||||||||
Total liabilities | 1,441,285 | 325,933 | (262,300 | ) | 1,504,918 | ||||||||||||
Total stockholders’ equity | 1,502,507 | 97,383 | (97,383 | ) | 1,502,507 | ||||||||||||
Total liabilities and stockholders’ equity | $ | 2,943,792 | $ | 423,316 | $ | (359,683 | ) | $ | 3,007,425 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | ||||||||||||||||
For the year ended December 31, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
REVENUES | $ | 1,250,199 | $ | 1,268,654 | $ | (871,986 | ) | $ | 1,646,867 | ||||||||
EXPENSES: | |||||||||||||||||
Operating | 896,470 | 1,131,651 | (871,986 | ) | 1,156,135 | ||||||||||||
General and administrative | 33,508 | 72,921 | — | 106,429 | |||||||||||||
Depreciation and amortization | 80,820 | 33,105 | — | 113,925 | |||||||||||||
Asset impairments | 29,915 | 167 | — | 30,082 | |||||||||||||
1,040,713 | 1,237,844 | (871,986 | ) | 1,406,571 | |||||||||||||
OPERATING INCOME | 209,486 | 30,810 | — | 240,296 | |||||||||||||
OTHER (INCOME) EXPENSE: | |||||||||||||||||
Interest expense, net | 35,138 | 4,397 | — | 39,535 | |||||||||||||
Other (income) expense | 302 | (786 | ) | (720 | ) | (1,204 | ) | ||||||||||
35,440 | 3,611 | (720 | ) | 38,331 | |||||||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 174,046 | 27,199 | 720 | 201,965 | |||||||||||||
Income tax expense | (552 | ) | (6,391 | ) | — | (6,943 | ) | ||||||||||
INCOME FROM CONTINUING OPERATIONS | 173,494 | 20,808 | 720 | 195,022 | |||||||||||||
Income from equity in subsidiaries | 21,528 | — | (21,528 | ) | — | ||||||||||||
NET INCOME | $ | 195,022 | $ | 20,808 | $ | (20,808 | ) | $ | 195,022 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
For the year ended December 31, 2013 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
REVENUES | $ | 1,268,763 | $ | 1,351,695 | $ | (926,161 | ) | $ | 1,694,297 | ||||||||
EXPENSES: | |||||||||||||||||
Operating | 945,750 | 1,200,762 | (926,161 | ) | 1,220,351 | ||||||||||||
General and administrative | 31,290 | 72,300 | — | 103,590 | |||||||||||||
Depreciation and amortization | 76,112 | 36,580 | — | 112,692 | |||||||||||||
Asset impairments | — | 6,513 | — | 6,513 | |||||||||||||
1,053,152 | 1,316,155 | (926,161 | ) | 1,443,146 | |||||||||||||
OPERATING INCOME | 215,611 | 35,540 | — | 251,151 | |||||||||||||
OTHER (INCOME) EXPENSE: | |||||||||||||||||
Interest expense, net | 38,319 | 6,807 | — | 45,126 | |||||||||||||
Expenses associated with debt refinancing transactions | 28,563 | 7,965 | — | 36,528 | |||||||||||||
Other (income) expense | (45 | ) | 23 | (78 | ) | (100 | ) | ||||||||||
66,837 | 14,795 | (78 | ) | 81,554 | |||||||||||||
INCOME FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 148,774 | 20,745 | 78 | 169,597 | |||||||||||||
Income tax benefit (expense) | 143,590 | (8,595 | ) | — | 134,995 | ||||||||||||
INCOME FROM CONTINUING OPERATIONS | 292,364 | 12,150 | 78 | 304,592 | |||||||||||||
Income from equity in subsidiaries | 8,471 | — | (8,471 | ) | — | ||||||||||||
Loss from discontinued operations, net of taxes | — | (3,757 | ) | — | (3,757 | ) | |||||||||||
NET INCOME | $ | 300,835 | $ | 8,393 | $ | (8,393 | ) | $ | 300,835 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF OPERATIONS | |||||||||||||||||
For the year ended December 31, 2012 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | and Other | Amounts | |||||||||||||||
REVENUES | $ | 1,411,277 | $ | 329,971 | $ | (17,591 | ) | $ | 1,723,657 | ||||||||
EXPENSES: | |||||||||||||||||
Operating | 943,803 | 290,839 | (17,591 | ) | 1,217,051 | ||||||||||||
General and administrative | 70,792 | 18,143 | — | 88,935 | |||||||||||||
Depreciation and amortization | 74,452 | 38,611 | — | 113,063 | |||||||||||||
1,089,047 | 347,593 | (17,591 | ) | 1,419,049 | |||||||||||||
OPERATING INCOME (LOSS) | 322,230 | (17,622 | ) | — | 304,608 | ||||||||||||
OTHER (INCOME) EXPENSE: | |||||||||||||||||
Interest expense, net | 57,174 | 1,189 | — | 58,363 | |||||||||||||
Expenses associated with debt refinancing transactions | 2,099 | — | — | 2,099 | |||||||||||||
Other (income) expense | 16 | (26 | ) | (323 | ) | (333 | ) | ||||||||||
59,289 | 1,163 | (323 | ) | 60,129 | |||||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 262,941 | (18,785 | ) | 323 | 244,479 | ||||||||||||
Income tax benefit (expense) | (93,870 | ) | 6,357 | — | (87,513 | ) | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS | 169,071 | (12,428 | ) | 323 | 156,966 | ||||||||||||
Loss from equity in subsidiaries | (12,310 | ) | — | 12,310 | — | ||||||||||||
Loss from discontinued operations, net of taxes | — | (205 | ) | — | (205 | ) | |||||||||||
NET INCOME (LOSS) | $ | 156,761 | $ | (12,633 | ) | $ | 12,633 | $ | 156,761 | ||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | ||||||||||||||||
For the year ended December 31, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | And Other | Amounts | |||||||||||||||
Net cash provided by operating activities | $ | 296,087 | $ | 127,494 | $ | — | $ | 423,581 | |||||||||
Net cash used in investing activities | (73,404 | ) | (102,337 | ) | (21,146 | ) | (196,887 | ) | |||||||||
Net cash used in financing activities | (241,993 | ) | (9,373 | ) | 21,146 | (230,220 | ) | ||||||||||
Net (decrease) increase in cash and cash equivalents | (19,310 | ) | 15,784 | — | (3,526 | ) | |||||||||||
CASH AND CASH EQUIVALENTS, beginning of year | 31,647 | 46,272 | — | 77,919 | |||||||||||||
CASH AND CASH EQUIVALENTS, end of year | $ | 12,337 | $ | 62,056 | $ | — | $ | 74,393 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
For the year ended December 31, 2013 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | And Other | Amounts | |||||||||||||||
Net cash provided by operating activities | $ | 211,247 | $ | 158,257 | $ | — | $ | 369,504 | |||||||||
Net cash used in investing activities | (83,895 | ) | (56,617 | ) | 15,000 | (125,512 | ) | ||||||||||
Net cash used in financing activities | (95,705 | ) | (118,265 | ) | (15,000 | ) | (228,970 | ) | |||||||||
Net increase (decrease) in cash and cash equivalents | 31,647 | (16,625 | ) | — | 15,022 | ||||||||||||
CASH AND CASH EQUIVALENTS, beginning of year | — | 62,897 | — | 62,897 | |||||||||||||
CASH AND CASH EQUIVALENTS, end of year | $ | 31,647 | $ | 46,272 | $ | — | $ | 77,919 | |||||||||
CONDENSED CONSOLIDATING STATEMENT OF CASH FLOWS | |||||||||||||||||
For the year ended December 31, 2012 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Parent | Combined | Consolidating | Total | ||||||||||||||
Subsidiary | Adjustments | Consolidated | |||||||||||||||
Guarantors | And Other | Amounts | |||||||||||||||
Net cash provided by operating activities | $ | 260,602 | $ | 22,654 | $ | — | $ | 283,256 | |||||||||
Net cash used in investing activities | (42,378 | ) | (37,542 | ) | — | (79,920 | ) | ||||||||||
Net cash used in financing activities | (218,224 | ) | 21,953 | — | (196,271 | ) | |||||||||||
Net increase in cash and cash equivalents | — | 7,065 | — | 7,065 | |||||||||||||
CASH AND CASH EQUIVALENTS, beginning of year | — | 55,832 | — | 55,832 | |||||||||||||
CASH AND CASH EQUIVALENTS, end of year | $ | — | $ | 62,897 | $ | — | $ | 62,897 | |||||||||
SELECTED_QUARTERLY_FINANCIAL_I1
SELECTED QUARTERLY FINANCIAL INFORMATION (UNAUDITED) (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2014 | |||||||||||||||||
Schedule of Selected Quarterly Financial Information | Selected quarterly financial information for each of the quarters in the years ended December 31, 2014 and 2013 is as follows (in thousands, except per share data): | ||||||||||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
2014 | 2014 | 2014 | 2014 | ||||||||||||||
Revenue | $ | 404,222 | $ | 410,694 | $ | 408,474 | $ | 423,477 | |||||||||
Operating income | 63,066 | 65,535 | 69,850 | 41,845 | (1) | ||||||||||||
Net income | 51,738 | 55,732 | 57,546 | 30,006 | (1) | ||||||||||||
Basic earnings per share: | |||||||||||||||||
Net income | $ | 0.45 | $ | 0.48 | $ | 0.5 | $ | 0.26 | (1) | ||||||||
Diluted earnings per share: | |||||||||||||||||
Net income | $ | 0.44 | $ | 0.48 | $ | 0.49 | $ | 0.25 | (1) | ||||||||
March 31, | June 30, | September 30, | December 31, | ||||||||||||||
2013 | 2013 | 2013 | 2013 | ||||||||||||||
Revenue | $ | 416,723 | $ | 425,005 | $ | 421,466 | $ | 431,103 | |||||||||
Operating income | 59,892 | 67,969 | 67,271 | 56,019 | |||||||||||||
Loss from discontinued operations, net of taxes | (355 | ) | (2,739 | ) | (663 | ) | — | ||||||||||
Net income | 181,092 | (2) | 20,429 | (3) | 51,843 | 47,471 | |||||||||||
Basic earnings per share: | |||||||||||||||||
Net income | $ | 1.81 | (2) | $ | 0.19 | (3) | $ | 0.45 | $ | 0.41 | |||||||
Diluted earnings per share: | |||||||||||||||||
Net income | $ | 1.78 | (2) | $ | 0.19 | (3) | $ | 0.44 | $ | 0.41 | |||||||
(1) | The earnings amounts in the fourth quarter of 2014 were unfavorably impacted by $27.8 million of non-cash impairments recorded to write down the book values of two of CCA’s non-core facilities to the estimated fair values, as discussed in Note 5. | ||||||||||||||||
(2) | The earnings amounts in the first quarter of 2013 were favorably impacted by the net tax benefit resulting from the revaluation of certain deferred tax assets and liabilities associated with the REIT conversion effective January 1, 2013. | ||||||||||||||||
(3) | The earnings amounts in the second quarter of 2013 were negatively impacted by $36.3 million of expenses associated with debt refinancing transactions. |
Organization_and_Operations_Ad
Organization and Operations - Additional Information (Detail) | Dec. 31, 2014 |
State | |
Bed | |
Facility | |
Organization Consolidation And Presentation Of Financial Statements [Line Items] | |
Number of facilities owned by government partners, managed | 12 |
Number of facilities owned or controlled by company | 52 |
Number of beds at the facility | 84,500 |
Number of states in which company facilities are located | 19 |
Recovered_Sheet1
Summary of Significant Accounting Policies - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Organization And Operations [Line Items] | |||
Restricted cash | 2,900,000 | 5,600,000 | |
Accounts receivable, net of allowances for doubtful accounts | 248,588,000 | 244,957,000 | |
Accounts receivable, allowances for doubtful accounts | 748,000 | 1,265,000 | |
Percentage of ownership required for exercise significant influence in affiliates | 50.00% | ||
Percentage of tax position benefit maximum than being realized upon ultimate settlement | 50.00% | ||
Government Contracts Concentration Risk | Sales Revenue, Net | Federal Correctional And Detention Authorities | |||
Organization And Operations [Line Items] | |||
Percentage of revenues generated from government management contracts | 44.00% | 44.00% | 44.00% |
Government Contracts Concentration Risk | Sales Revenue, Net | Federal Bureau Of Prisons | |||
Organization And Operations [Line Items] | |||
Percentage of revenues generated from government management contracts | 13.00% | 13.00% | 12.00% |
Government Contracts Concentration Risk | Sales Revenue, Net | United States Marshals Service | |||
Organization And Operations [Line Items] | |||
Percentage of revenues generated from government management contracts | 17.00% | 19.00% | 20.00% |
Government Contracts Concentration Risk | Sales Revenue, Net | United States Immigration And Customs Enforcement | |||
Organization And Operations [Line Items] | |||
Percentage of revenues generated from government management contracts | 13.00% | 12.00% | 12.00% |
Government Contracts Concentration Risk | Sales Revenue, Net | State Correctional Authorities | |||
Organization And Operations [Line Items] | |||
Percentage of revenues generated from government management contracts | 48.00% | 49.00% | 49.00% |
Government Contracts Concentration Risk | Sales Revenue, Net | State of California Department of Corrections and Rehabilitation | |||
Organization And Operations [Line Items] | |||
Percentage of revenues generated from government management contracts | 14.00% | 12.00% | 12.00% |
Minimum | |||
Organization And Operations [Line Items] | |||
Renewal of contract terms | 2 years | ||
Maximum | |||
Organization And Operations [Line Items] | |||
Renewal of contract terms | 5 years |
Schedule_of_Useful_Life_of_Pro
Schedule of Useful Life of Property and Equipment (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Land Improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Average number of useful life in years | 5 years |
Land Improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Average number of useful life in years | 20 years |
Building and Improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Average number of useful life in years | 5 years |
Building and Improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Average number of useful life in years | 50 years |
Equipment And Software | Minimum | |
Property, Plant and Equipment [Line Items] | |
Average number of useful life in years | 3 years |
Equipment And Software | Maximum | |
Property, Plant and Equipment [Line Items] | |
Average number of useful life in years | 5 years |
Office Furniture and Fixtures | |
Property, Plant and Equipment [Line Items] | |
Average number of useful life in years | 5 years |
Schedule_of_Financial_Instrume
Schedule of Financial Instruments Having Difference Between Carrying Amount and Fair Value (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Basis Of Presentation And Summary Of Significant Accounting Policies [Line Items] | ||
Investment in direct financing lease, Carrying Amount | $5,473 | $7,466 |
Note receivable from APM, Carrying Amount | 3,677 | 4,831 |
Debt, Carrying Amount | -1,200,000 | -1,205,000 |
Investment in direct financing lease, Fair Value | 6,048 | 8,609 |
Note receivable from APM, Fair Value | 6,539 | 9,006 |
Debt, Fair Value | ($1,179,625) | ($1,179,375) |
Goodwill_Additional_Informatio
Goodwill - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 3 Months Ended | |||
Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Dec. 31, 2013 | |
Goodwill and Intangible Assets Disclosure [Line Items] | ||||||
Establishment of goodwill | This goodwill was established in connection with the acquisition of Correctional Alternatives Inc. ("CAI") during the third quarter of 2013, as further described in Note 5, and the acquisitions of two service companies during 2000. | |||||
Goodwill | $16,110,000 | $16,110,000 | $16,110,000 | $16,110,000 | ||
Asset impairment charges | 27,800,000 | 30,082,000 | 6,513,000 | |||
Idaho Correctional Center | ||||||
Goodwill and Intangible Assets Disclosure [Line Items] | ||||||
Goodwill impairment charges | 1,000,000 | |||||
Wilkinson County Correctional Facility | ||||||
Goodwill and Intangible Assets Disclosure [Line Items] | ||||||
Goodwill impairment charges | 800,000 | |||||
Asset impairment charges | 2,600,000 | |||||
Other assets impairment charges | 1,800,000 | |||||
Bay Correctional Facility in Florida | ||||||
Goodwill and Intangible Assets Disclosure [Line Items] | ||||||
Goodwill impairment charges | $1,100,000 |
Property_and_Equipment_Additio
Property and Equipment - Additional Information (Detail) (USD $) | 12 Months Ended | 1 Months Ended | ||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2009 | Sep. 30, 2014 | Jun. 30, 2013 | |
Facility | Y | |||||
Building | ||||||
Property | ||||||
Bed | ||||||
Number of real estate properties owned | 54 | |||||
Number of correctional and detention facilities | 52 | |||||
Number of real estate properties leased | 3 | |||||
Number of corporate office buildings | 2 | |||||
Number of correctional and detention facilities owned by government agencies | 12 | |||||
Interest capitalization cost on construction in progress | $2,500,000 | $800,000 | $1,100,000 | |||
Depreciation expense | 114,000,000 | 112,800,000 | 113,200,000 | |||
Number of facilities subject to options | 11 | |||||
Number of facilities subject to options that are constructed on land which is leased from governmental agencies | 2 | |||||
Number of facilities also subject to purchase option | 1 | |||||
Number of beds at the facility | 84,500 | |||||
Rental expenses incurred on lease property | 9,100,000 | 5,900,000 | 4,700,000 | |||
Purchase price paid for real property in addition to bonds value | 100 | |||||
Third Party Lessor | ||||||
Agreement notice period for termination | 90 days | |||||
Payment amount | 70,000,000 | |||||
Average number of useful life in years | 4 years | |||||
Third Party Lessor | Preexisting Cottages | ||||||
Operating lease term | 4 months | |||||
Third Party Lessor | Minimum | ||||||
Operating leases agreement renewal term | 1 year | |||||
South Texas Family Residential Center | ||||||
Contractually committed for various other services | 57,600,000 | |||||
Payments expected to be made under the cancelable lease | 287,400,000 | |||||
South Texas Family Residential Center | Minimum | ||||||
Agreement notice period for termination | 90 days | |||||
South Texas Family Residential Center | Maximum | ||||||
Number of beds at the facility | 2,400 | 2,400 | ||||
Non-appropriation of fund | Third Party Lessor | ||||||
Agreement notice period for termination | 60 days | |||||
Lease termination penalty | 13,400,000 | |||||
Facility one | ||||||
Ground Lease expiration year | 2015 | |||||
Facility two | ||||||
Ground Lease expiration year | 2017 | |||||
Elizabeth Detention Center | ||||||
Operating lease, expire date | Jun-15 | |||||
San Diego Correctional Facility | ||||||
Operating lease, expire date | Dec-15 | |||||
Wheeler County Development Authority | ||||||
Percentage of property tax abatement | 50.00% | |||||
Principal amount of bond issued | 30,000,000 | |||||
Number of years of tax abatement | 6 | |||||
Douglas-Coffee County Industrial Authority | ||||||
Percentage of property tax abatement | 100.00% | |||||
Principal amount of bond issued | 33,000,000 | |||||
Number of years of tax abatement | 5 | |||||
Development Authority Of Telfair County | ||||||
Percentage of property tax abatement | 90.00% | |||||
Principal amount of bond issued | $15,000,000 | |||||
Number of years of tax abatement | 9 | |||||
Percentage of property tax abatement, decrease in percentage | 10.00% |
Property_and_Equipment_Detail
Property and Equipment (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Property, Plant and Equipment [Line Items] | ||
Land and improvements | $127,221 | $127,246 |
Buildings and improvements | 3,048,836 | 3,058,748 |
Equipment and software | 326,603 | 316,696 |
Office furniture and fixtures | 30,884 | 30,969 |
Construction in progress | 276,508 | 93,187 |
Property and equipment, gross | 3,810,052 | 3,626,846 |
Less: Accumulated depreciation | -1,151,424 | -1,080,233 |
Property, and Equipment, total | $2,658,628 | $2,546,613 |
Schedule_of_Future_Minimum_Lea
Schedule of Future Minimum Lease Payments (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Leases Future Minimum Payments [Line Items] | |
2015 | $83,427 |
2016 | 79,538 |
2017 | 73,412 |
2018 | 53,733 |
2019 | 0 |
Thereafter | $0 |
Real_Estate_Transactions_Addit
Real Estate Transactions - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | 0 Months Ended | 3 Months Ended | 1 Months Ended | ||||||||
Dec. 31, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Jul. 31, 2013 | Sep. 30, 2014 | Jun. 30, 2014 | Dec. 31, 2013 | Oct. 31, 2013 | Sep. 30, 2012 | Sep. 30, 2014 | Mar. 31, 2014 | Nov. 30, 2013 | |
Bed | Bed | Person | Facility | Facility | |||||||||
RenewalOptions | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Purchase price, goodwill | $16,110,000 | $16,110,000 | $16,110,000 | $16,110,000 | |||||||||
Operating Expense | 1,156,135,000 | 1,220,351,000 | 1,217,051,000 | ||||||||||
Asset impairments | 27,800,000 | 30,082,000 | 6,513,000 | ||||||||||
Number of beds at the facility | 84,500 | 84,500 | |||||||||||
Amount invested to acquire property | 276,508,000 | 276,508,000 | 93,187,000 | 93,187,000 | |||||||||
Capital improvements for certain physical plant modifications | 45,929,000 | 30,376,000 | 77,233,000 | ||||||||||
Payment amount | 87,227,000 | 87,227,000 | 1,070,000 | 1,070,000 | |||||||||
Correctional Alternatives, Inc. | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Consideration paid | 36,500,000 | ||||||||||||
Business acquisition transaction related expenses | 800,000 | ||||||||||||
Purchase price, goodwill | 7,000,000 | ||||||||||||
Purchase price, identifiable intangible assets | 26,900,000 | ||||||||||||
Purchase price, intangible liabilities | 7,900,000 | ||||||||||||
Purchase price, net tangible assets | 17,700,000 | ||||||||||||
Purchase price, deferred tax liabilities | 7,200,000 | ||||||||||||
Queensgate Correctional And Mineral Wells Pre Parole Transfer Facility | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Carrying value of idle facilities | 28,800,000 | 28,800,000 | |||||||||||
Asset impairments | 27,800,000 | ||||||||||||
Houston Educational Facility | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Carrying value of idle facilities | 6,400,000 | ||||||||||||
Asset impairments | 2,200,000 | ||||||||||||
Offer from third party | 4,500,000 | 4,500,000 | |||||||||||
Sale, closing date | 2014-12 | ||||||||||||
North Georgia Facility | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Asset impairments | 3,800,000 | ||||||||||||
Lease termination expenses | 1,000,000 | ||||||||||||
San Diego Correctional Facility | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Number of beds at the facility | 1,154 | 1,154 | |||||||||||
Lease expiration date | 31-Dec-15 | ||||||||||||
Otay Mesa Detention Center | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Number of beds at the facility | 1,492 | 1,492 | |||||||||||
Amount invested to acquire property | 121,500,000 | 121,500,000 | |||||||||||
State of California Department of Corrections and Rehabilitation | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Lease agreement commencing date | 1-Dec-13 | ||||||||||||
Lease term | 3 years | ||||||||||||
Renewal options term | 2 years | ||||||||||||
Annual rent | 28,500,000 | ||||||||||||
Rent increase percentage | 2.00% | ||||||||||||
Tenant improvements expenses | 10,000,000 | ||||||||||||
Trousdale Turner Correctional Center | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Number of beds at the facility | 2,552 | ||||||||||||
Amount invested to acquire property | 60,700,000 | 60,700,000 | |||||||||||
Percentage of guaranteed occupancy under management contract | 90.00% | ||||||||||||
Red Rock Correctional Center | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Number of beds at the facility | 1,596 | 1,596 | |||||||||||
Percentage of guaranteed occupancy under management contract | 90.00% | ||||||||||||
Expected additional number of offenders to be managed by the company | 1,000 | ||||||||||||
Management contract, initial term | 10 years | ||||||||||||
Management contract, number of renewal options | 2 | ||||||||||||
Management contract, renewal option term | 5 years | ||||||||||||
Management contract term facility will revert to the state of Arizona | 20 years | ||||||||||||
Capital improvements for certain physical plant modifications | 20,800,000 | ||||||||||||
Maximum number of useful life in years | 20 years | ||||||||||||
ICE | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Payment amount | 70,000,000 | 70,000,000 | |||||||||||
Number of distinct multiple element arrangements | 5 | ||||||||||||
Deferred revenue recognized | 21,000,000 | ||||||||||||
Idle Facilities | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Operating Expense | 7,900,000 | 6,400,000 | 6,000,000 | ||||||||||
Idle Facilities | Noncore Business | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Carrying value of idle facilities | 1,300,000 | 1,300,000 | 30,400,000 | 30,400,000 | |||||||||
Installment Payment | ICE | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Payment amount | $35,000,000 | $35,000,000 | |||||||||||
Number of installments | 2 | ||||||||||||
Installments due | 31-Dec-14 | ||||||||||||
Maximum | South Texas Family Residential Center | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Number of beds at the facility | 2,400 | 2,400 | 2,400 | 2,400 | |||||||||
Management contract, initial term | 4 years | ||||||||||||
Minimum | South Texas Family Residential Center | |||||||||||||
Facility Activations Developments And Closures [Line Items] | |||||||||||||
Agreement notice period for termination | 90 days |
Idled_Facilities_and_Respectiv
Idled Facilities and Respective Carrying Values Excluding Equipment and Other Assets (Detail) (USD $) | 12 Months Ended | |
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Facility | ||
Facility Activations Developments And Closures [Line Items] | ||
Design Capacity | 84,500 | |
Prairie Correctional Facility | ||
Facility Activations Developments And Closures [Line Items] | ||
Design Capacity | 1,600 | |
Date Idled | 2010 | |
Net Carrying Value | $18,748 | $19,366 |
Huerfano County Correctional Center | ||
Facility Activations Developments And Closures [Line Items] | ||
Design Capacity | 752 | |
Date Idled | 2010 | |
Net Carrying Value | 19,033 | 19,800 |
Diamondback Correctional Facility | ||
Facility Activations Developments And Closures [Line Items] | ||
Design Capacity | 2,160 | |
Date Idled | 2010 | |
Net Carrying Value | 44,480 | 44,223 |
Otter Creek Correctional Center | ||
Facility Activations Developments And Closures [Line Items] | ||
Design Capacity | 656 | |
Date Idled | 2012 | |
Net Carrying Value | 24,089 | 24,805 |
Marion Adjustment Center | ||
Facility Activations Developments And Closures [Line Items] | ||
Design Capacity | 826 | |
Date Idled | 2013 | |
Net Carrying Value | 12,978 | 13,429 |
Total Idle Facilities | ||
Facility Activations Developments And Closures [Line Items] | ||
Design Capacity | 5,994 | |
Net Carrying Value | $119,328 | $121,623 |
Investment_in_Affiliate_Additi
Investment in Affiliate - Additional Information (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Y | |||
Investments in and Advances to Affiliates [Line Items] | |||
Ownership interest in APM | 50.00% | ||
Duration of prison management contract with an agency of the United Kingdom government | 25 | ||
Working capital loan to APM | $3,700,000 | ||
Equity earnings (losses) of joint venture | 720,000 | 78,000 | 323,000 |
Other Assets | |||
Investments in and Advances to Affiliates [Line Items] | |||
Equity in net earnings of Affiliate | $100,000 |
Recovered_Sheet2
Investment in Direct Financing Lease (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Finance Lease Obligations [Line Items] | ||
2015 | $2,793 | |
2016 | 2,793 | |
2017 | 694 | |
2018 | 0 | |
2019 | 0 | |
Total minimum obligation | 6,280 | |
Less unearned interest income | -807 | |
Less current portion of direct financing lease | -2,250 | |
Investment in direct financing lease | $3,223 | $5,473 |
Recovered_Sheet3
Investment in Direct Financing Lease - Additional Information (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Schedule of Finance Lease Obligations [Line Items] | |||
Interest income of direct financing lease | $0.80 | $1 | $1.20 |
Schedule_of_Other_Assets_Detai
Schedule of Other Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Other Assets [Line Items] | ||
Debt issuance costs, less accumulated amortization of $5,413 and $2,311, respectively | $14,305 | $17,336 |
Intangible lease value | 24,289 | 25,567 |
Deferred leasing costs | 8,338 | 9,305 |
Notes receivable, net | 8,285 | 6,987 |
Cash equivalents and cash surrender value of life insurance held in Rabbi trust | 17,918 | 15,811 |
Deposits | 1,982 | 2,037 |
Straight-line rent receivable | 1,729 | 133 |
Other | 1,240 | 652 |
Other assets, total | $78,086 | $77,828 |
Schedule_of_Other_Assets_Paren
Schedule of Other Assets (Parenthetical) (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Schedule of Other Assets [Line Items] | ||
Debt issuance costs, accumulated amortization | $5,413 | $2,311 |
Schedule_of_Accounts_Payable_a
Schedule of Accounts Payable and Accrued Expenses (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Accounts Payable and Accrued Liabilities [Line Items] | ||
Trade accounts payable | $49,825 | $49,826 |
Accrued salaries and wages | 58,173 | 58,810 |
Accrued dividends | 61,129 | 56,306 |
Accrued workers' compensation and auto liability | 7,727 | 8,409 |
Accrued litigation | 4,323 | 6,170 |
Accrued employee medical insurance | 8,530 | 9,658 |
Accrued property taxes | 24,522 | 24,721 |
Accrued interest | 6,435 | 6,331 |
Deferred revenue | 5,725 | 375 |
Construction payable | 64,995 | 8,374 |
Other | 26,182 | 23,297 |
Accounts payable and accrued expenses, total | $317,566 | $252,277 |
Recovered_Sheet4
Accounts Payable, Accrued Expenses and Other Long-Term Liabilities - Additional Information (Detail) (USD $) | 12 Months Ended | |
In Millions, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 |
Accounts Payable and Accrued Liabilities [Line Items] | ||
Workers' compensation and auto liability | $23.50 | $24.10 |
Workers' compensation discount rate | 3.00% | 3.00% |
Workers compensation and auto liability, undiscounted basis | $26.40 | $27.10 |
Other_Long_Term_Liabilities_De
Other Long Term Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Other Long Term Liabilities [Line Items] | ||
Deferred revenue | $87,227 | $1,070 |
Intangible lease liability | 7,352 | 7,739 |
Accrued workers' compensation | 15,732 | 15,707 |
Accrued deferred compensation | 13,036 | 15,013 |
Other | 3,356 | 5,983 |
Other liabilities | $126,703 | $45,512 |
Schedule_of_Debt_Outstanding_D
Schedule of Debt Outstanding (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ||
Long-term debt | $1,200,000 | $1,205,000 |
Senior Notes 4.625% Due 2023 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 350,000 | 350,000 |
Senior Notes 4.125% Due 2020 | ||
Debt Instrument [Line Items] | ||
Long-term debt | 325,000 | 325,000 |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Long-term debt | $525,000 | $530,000 |
Schedule_of_Debt_Outstanding_P
Schedule of Debt Outstanding (Parenthetical) (Detail) | 12 Months Ended | |
Dec. 31, 2014 | Dec. 31, 2013 | |
Senior Notes 4.625% Due 2023 | ||
Debt Instrument [Line Items] | ||
Interest rate stated percentage of Senior Notes | 4.63% | |
Note maturity date | 1-May-23 | |
Senior Notes interest payable dates | interest payable semi-annually in May and November at 4.625%. | |
Senior Notes 4.125% Due 2020 | ||
Debt Instrument [Line Items] | ||
Interest rate stated percentage of Senior Notes | 4.13% | |
Note maturity date | 1-Apr-20 | |
Senior Notes interest payable dates | interest payable semi-annually in April and October at 4.125%. | |
Revolving Credit Facility | ||
Debt Instrument [Line Items] | ||
Revolving Credit Facility maturity date | 31-Dec-17 | |
Weighted average rate | 1.90% | 1.70% |
Senior Notes interest payable dates | interest payable periodically at variable interest rates. |
Debt_Additional_Information_De
Debt - Additional Information (Detail) (USD $) | 12 Months Ended | 3 Months Ended | 1 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2014 | Mar. 31, 2013 | Apr. 30, 2013 | Dec. 31, 2013 | Mar. 31, 2012 |
Debt Instrument [Line Items] | |||||
Revolving Credit Facility letters of credit outstanding | $16.30 | $25 | |||
Percentage of Senior Notes offer price in connection with an asset sale | 100.00% | ||||
Percentage of Senior Notes offer price in connection with change in control | 101.00% | ||||
Amended Revolving Credit Facility | |||||
Debt Instrument [Line Items] | |||||
Line of credit facility maximum borrowing capacity | 900 | 900 | 785 | ||
Revolving Credit Facility maturity extension period | 1 year | ||||
Revolving Credit Facility maturity date | 2017-12 | ||||
Debt issuance costs, capitalized | 2.7 | ||||
Line of credit interest on outstanding borrowings | At CCAbs option, interest on outstanding borrowings under the $900.0 Million Revolving Credit Facility is based on either a base rate plus a margin ranging from 0.25% to 1.0% or a London Interbank Offered Rate (bLIBORb) plus a margin ranging from 1.25% to 2.0% based on CCAbs leverage ratio. | ||||
Base rate plus a margin | 0.75% | ||||
LIBOR plus a margin | 1.75% | ||||
Line of credit facility, aggregate principal amount of additional borrowing | 100 | ||||
Sublimit swing line loans | 30 | ||||
Percentage of commitment fee to unfunded balance | 0.35% | ||||
Borrowings under credit facility | 525 | ||||
Line of credit facility | 358.7 | ||||
Sublimit for issuance of standby letters of credit | 50 | ||||
Percentage of capital stock of foreign subsidiary secured by pledge under Revolving Credit Facilities | 65.00% | ||||
Amended Revolving Credit Facility | Minimum | |||||
Debt Instrument [Line Items] | |||||
Base rate plus a margin | 0.25% | ||||
LIBOR plus a margin | 1.25% | ||||
Amended Revolving Credit Facility | Maximum | |||||
Debt Instrument [Line Items] | |||||
Base rate plus a margin | 1.00% | ||||
LIBOR plus a margin | 2.00% | ||||
Senior Notes Due 2020 | Issuance Of Debt | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount | 325 | ||||
Debt instrument due date | 1-Apr-20 | ||||
Debt instrument interest rate | 4.13% | ||||
Senior Notes Due 2023 | Issuance Of Debt | |||||
Debt Instrument [Line Items] | |||||
Aggregate principal amount | $350 | ||||
Debt instrument due date | 1-May-23 | ||||
Debt instrument interest rate | 4.63% | ||||
Senior Notes 4.125% Due 2020 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument due date | 1-Apr-20 | ||||
Debt instrument interest rate | 4.13% | ||||
Senior Notes 4.125% Due 2020 | Issuance Of Debt | |||||
Debt Instrument [Line Items] | |||||
Debt instrument redemption percentage of par | 100.00% | ||||
Senior Notes 4.625% Due 2023 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument due date | 1-May-23 | ||||
Debt instrument interest rate | 4.63% | ||||
Senior Notes 4.625% Due 2023 | Issuance Of Debt | |||||
Debt Instrument [Line Items] | |||||
Debt instrument redemption percentage of par | 100.00% |
Schedule_of_Principal_Payments
Schedule of Principal Payments (Detail) (USD $) | Dec. 31, 2014 |
In Thousands, unless otherwise specified | |
Debt Instrument [Line Items] | |
2015 | $0 |
2016 | 0 |
2017 | 525,000 |
2018 | 0 |
2019 | 0 |
Thereafter | 675,000 |
Total debt | $1,200,000 |
Income_Taxes_Additional_Inform
Income Taxes - Additional Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Income Taxes [Line Items] | ||||
Minimum Distribution Percentage of Taxable Income to Qualify for Real Estate Investment Trust | 90.00% | |||
Minimum distribution Percentage of Taxable Income to avoid Federal Income Taxes | 100.00% | |||
Tax benefits associated with equity-based compensation | $665,000 | $351,000 | $2,609,000 | |
Effective tax rate | 3.40% | -79.60% | 35.80% | |
Expected net tax benefit | 137,700,000 | |||
Liabilities for uncertain tax positions | $0 | $0 |
Components_of_Income_Tax_Expen
Components of Income Tax Expense (Benefit) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Income Tax Expenses [Line Items] | |||
Current income tax expense (benefit), Federal | $9,326 | $13,674 | $75,867 |
Current income tax expense (benefit), State | 828 | 2,368 | 5,885 |
Current income tax expense (benefit), Total | 10,154 | 16,042 | 81,752 |
Deferred income tax expense (benefit), Federal | -2,280 | -144,771 | 8,576 |
Deferred income tax expense (benefit), State | -931 | -6,266 | -2,815 |
Deferred income tax expense (benefit), Total | -3,211 | -151,037 | 5,761 |
Income tax expense (benefit) | $6,943 | ($134,995) | $87,513 |
Components_of_Deferred_Tax_Ass
Components of Deferred Tax Assets and Liabilities (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Deferred Income Tax Assets And Liabilities [Line Items] | ||
Asset reserves and liabilities not yet deductible for tax | $15,969 | $11,284 |
Net current deferred tax assets | 15,969 | 11,284 |
Current deferred tax liabilities, Other | -2,740 | -2,043 |
Net total current deferred tax assets | 13,229 | 9,241 |
Asset reserves and liabilities not yet deductible for tax | 15,665 | 17,372 |
Tax over book basis of certain assets | 924 | 897 |
Net operating loss and tax credit carryforwards | 5,008 | 4,575 |
Intangible contract value | 2,877 | 3,024 |
Noncurrent deferred tax assets, Other | 579 | 705 |
Total noncurrent deferred tax assets | 25,053 | 26,573 |
Less valuation allowance | -4,065 | -4,497 |
Net noncurrent deferred tax assets | 20,988 | 22,076 |
Book over tax basis of certain assets | -9,028 | -9,067 |
Intangible lease value | -9,431 | -9,894 |
Deferred tax liabilities, other | -228 | -37 |
Total noncurrent deferred tax liabilities | -18,687 | -18,998 |
Non-current deferred tax assets | $2,301 | $3,078 |
Reconciliation_of_Income_Tax_P
Reconciliation of Income Tax Provision at Statutory Income Tax Rate and Effective Tax Rate (Detail) | 12 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Reconciliation of Provision of Income Taxes [Line Items] | |||
Statutory federal rate | 35.00% | 35.00% | 35.00% |
Dividends paid deduction | -31.10% | -30.70% | |
State taxes, net of federal tax benefit | 0.80% | 1.10% | 1.00% |
Permanent differences | 0.10% | 3.00% | 0.70% |
Impact of REIT election | -87.00% | ||
Other items, net | -1.40% | -1.00% | -0.90% |
Effective income tax rate, Total | 3.40% | -79.60% | 35.80% |
Discontinued_Operations_Additi
Discontinued Operations - Additional Information (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Jan. 31, 2012 | Nov. 30, 2011 | Jun. 30, 2013 |
Facility | Facility | Facility | |||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Assets of discontinued operations | $0 | ||||
Current assets of discontinued operations | 15,000 | ||||
Current liabilities of discontinued operations | $54,000 | $886,000 | |||
Delta Correctional Facility | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Housing capacity of terminated facility, in beds | 1,172 | ||||
Number of inmates being transferred from facility | 900 | ||||
Dawson State Jail | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Housing capacity of terminated facility, in beds | 2,216 | ||||
Wilkinson County Correctional Facility | |||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | |||||
Housing capacity of terminated facility, in beds | 1,000 |
Summarized_Results_of_Operatio
Summarized Results of Operations for Discontinued Facilities (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2013 | Dec. 31, 2012 |
Discontinued Operations [Line Items] | |||||
Managed-only, Revenue | $19,984 | $36,421 | |||
Managed-only, Revenue | 19,984 | 36,421 | |||
Managed-only, Expenses | 22,529 | 35,994 | |||
Depreciation and amortization, Expenses | 799 | 870 | |||
Asset impairments | 2,637 | ||||
Disposal Group, Including Discontinued Operation, Operating Expense, Total | 25,965 | 36,864 | |||
OPERATING LOSS | -5,981 | -443 | |||
Other (expense) income | -17 | 96 | |||
LOSS BEFORE INCOME TAXES | -5,998 | -347 | |||
Income tax benefit | 2,241 | 142 | |||
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAXES | ($663) | ($2,739) | ($355) | ($3,757) | ($205) |
Declared_Common_Stock_Dividend
Declared Common Stock Dividends (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2014 | ||
Dividend Payment 1st | ||
Dividends Payable [Line Items] | ||
Declaration Date | 11-May-12 | |
Record Date | 8-Jun-12 | |
Payable Date | 22-Jun-12 | |
Ordinary Income | $0.20 | [1] |
Total Per Share | $0.20 | |
Dividend Payment 2nd | ||
Dividends Payable [Line Items] | ||
Declaration Date | 20-Aug-12 | |
Record Date | 14-Sep-12 | |
Payable Date | 28-Sep-12 | |
Ordinary Income | $0.20 | [1] |
Total Per Share | $0.20 | |
Dividend Payment 3rd | ||
Dividends Payable [Line Items] | ||
Declaration Date | 6-Nov-12 | |
Record Date | 30-Nov-12 | |
Payable Date | 14-Dec-12 | |
Ordinary Income | $0.20 | [1] |
Total Per Share | $0.20 | |
Dividend Payment 4th | ||
Dividends Payable [Line Items] | ||
Declaration Date | 22-Feb-13 | |
Record Date | 3-Apr-13 | |
Payable Date | 15-Apr-13 | |
Ordinary Income | $0.35 | |
Return of Capital | $0.18 | |
Total Per Share | $0.53 | |
Dividend Payment 5th | ||
Dividends Payable [Line Items] | ||
Declaration Date | 16-May-13 | |
Record Date | 3-Jul-13 | |
Payable Date | 15-Jul-13 | |
Ordinary Income | $0.31 | |
Return of Capital | $0.17 | |
Total Per Share | $0.48 | |
Dividend Payment 6th | ||
Dividends Payable [Line Items] | ||
Declaration Date | 16-Aug-13 | |
Record Date | 2-Oct-13 | |
Payable Date | 15-Oct-13 | |
Ordinary Income | $0.31 | |
Return of Capital | $0.17 | |
Total Per Share | $0.48 | |
Dividend Payment 7th | ||
Dividends Payable [Line Items] | ||
Declaration Date | 12-Dec-13 | |
Record Date | 2-Jan-14 | |
Payable Date | 15-Jan-14 | |
Ordinary Income | $0.48 | [2] |
Total Per Share | $0.48 | |
Dividend Payment 8th | ||
Dividends Payable [Line Items] | ||
Declaration Date | 20-Feb-14 | |
Record Date | 2-Apr-14 | |
Payable Date | 15-Apr-14 | |
Ordinary Income | $0.51 | [3] |
Total Per Share | $0.51 | |
Dividend Payment 9th | ||
Dividends Payable [Line Items] | ||
Declaration Date | 15-May-14 | |
Record Date | 2-Jul-14 | |
Payable Date | 15-Jul-14 | |
Ordinary Income | $0.51 | [3] |
Total Per Share | $0.51 | |
Dividend Payment 10th | ||
Dividends Payable [Line Items] | ||
Declaration Date | 14-Aug-14 | |
Record Date | 2-Oct-14 | |
Payable Date | 15-Oct-14 | |
Ordinary Income | $0.51 | [3] |
Total Per Share | $0.51 | |
Dividend Payment 11th | ||
Dividends Payable [Line Items] | ||
Declaration Date | 11-Dec-14 | |
Record Date | 2-Jan-15 | |
Payable Date | 15-Jan-15 | |
Ordinary Income | $0 | [4] |
Total Per Share | $0.51 | |
[1] | The amount constitutes a "Qualified Dividend", as defined by the IRS. | |
[2] | $0.072069 of this amount constitutes a "Qualified Dividend", as defined by the IRS. | |
[3] | $0.076573 of this amount constitutes a "Qualified Dividend", as defined by the IRS. | |
[4] | Taxable in 2015. |
Declared_Common_Stock_Dividend1
Declared Common Stock Dividends (Parenthetical) (Detail) (Qualified dividend as defined by the IRS, USD $) | 12 Months Ended |
Dec. 31, 2014 | |
Qualified dividend as defined by the IRS | |
Dividends Payable [Line Items] | |
Dividend declared per share | $0.07 |
Qualified dividend as defined by the IRS | |
Dividends Payable [Line Items] | |
Dividend declared per share | $0.08 |
Stockholders_Equity_Additional
Stockholders Equity - Additional Information (Detail) (USD $) | 12 Months Ended | 0 Months Ended | 1 Months Ended | |||||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 08, 2013 | Apr. 30, 2013 | 9-May-13 | Dec. 31, 2011 | Dec. 31, 2003 | |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Closing price of common stock | $38.90 | |||||||
Preferred stock, shares authorized | 50,000,000 | 50,000,000 | ||||||
Preferred stock, shares par value | $0.01 | $0.01 | ||||||
Total intrinsic value of options exercised | $12,300,000 | $36,900,000 | $5,500,000 | |||||
Weighted average fair value of options granted per option | $0 | $7.50 | ||||||
Ordinary Income | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Dividend declared per share | $6.65 | |||||||
Return of Capital | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Dividend declared per share | $0.01 | |||||||
2008 Stock Incentive Plan | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Number of shares authorized for issuance of awards | 18,000,000 | |||||||
Number of shares available for issuance | 11,200,000 | |||||||
Non-Employee Directors' Compensation Plan | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Number of shares authorized for issuance of awards | 225,000 | |||||||
Number of shares available for issuance | 200,000 | |||||||
Dividend Declared | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Dividend declared | 675,000,000 | |||||||
Dividend declared per share | $6.66 | |||||||
Dividend declared payment date | 20-May-13 | |||||||
Dividend declared record date | 19-Apr-13 | |||||||
Special Dividend | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Number of shares of CCA common stock distributed pursuant to the special dividend | 13,900,000 | |||||||
Stock Option | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Unrecognized compensation cost | 800,000 | |||||||
Remaining period for recognizing the unrecognized compensation cost, in years | 10 months 24 days | |||||||
Maximum | Special Dividend | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Dividend declared, maximum percentage of cash dividend | 20.00% | |||||||
Dividend declared, cash | 135,000,000 | |||||||
Restricted stock based compensation | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Restricted common stock and common stock units and stock options issued by CCA to certain of its employees | 548,000 | 423,000 | ||||||
Fair value of restricted common stock and common stock units and stock options issued by CCA to certain of its employees | 17,800,000 | 15,600,000 | ||||||
Unrecognized compensation cost | 16,600,000 | |||||||
Remaining period for recognizing the unrecognized compensation cost, in years | 1 year 9 months 18 days | |||||||
Allocated share-based compensation expense | 12,100,000 | 9,800,000 | 7,600,000 | |||||
Total fair value of restricted common stock and common stock units that vested | 9,800,000 | 10,500,000 | 5,400,000 | |||||
Restricted stock based compensation | Officers And Executive Officers | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Vesting period | 3 years | |||||||
Performance criteria, cumulative period | 3 years | |||||||
Percent of awards eligible to vest | 33.33% | |||||||
Restricted stock based compensation | Other Employees | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Vesting period, continuous service requirement | 3 years | |||||||
Restricted stock based compensation | General and Administrative Expense | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Restricted common stock and common stock units and stock options issued by CCA to certain of its employees | 478,000 | 378,000 | ||||||
Allocated share-based compensation expense | 10,700,000 | 8,600,000 | 6,400,000 | |||||
Restricted stock based compensation | Operating Expense | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Restricted common stock and common stock units and stock options issued by CCA to certain of its employees | 70,000 | 45,000 | ||||||
Allocated share-based compensation expense | 1,400,000 | 1,200,000 | 1,200,000 | |||||
Stock options | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Term of options | 10 years | |||||||
Stock options | General and Administrative Expense | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Expense net of estimated forfeitures, relating to common stock options | $1,900,000 | $3,100,000 | $4,700,000 | |||||
Stock options | Maximum | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Vesting period | 4 years | |||||||
Stock options | Minimum | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost [Line Items] | ||||||||
Vesting period | 3 years |
Summary_of_Nonvested_Restricte
Summary of Nonvested Restricted Common Stock Transactions (Detail) (Restricted stock based compensation, USD $) | 12 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 |
Restricted stock based compensation | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Shares of restricted common stock and RSUs, Nonvested at December 31, 2013 | 812 |
Shares of restricted common stock and RSUs, Granted | 548 |
Shares of restricted common stock and RSUs, Cancelled | -31 |
Shares of restricted common stock and RSUs, Vested | -309 |
Shares of restricted common stock and RSUs, Nonvested at December 31, 2014 | 1,020 |
Weighted average grant date fair value, Nonvested at December 31, 2013 | $32.81 |
Weighted average grant date fair value, Granted | $32.40 |
Weighted average grant date fair value, Cancelled | $32.31 |
Weighted average grant date fair value, Vested | $31.73 |
Weighted average grant date fair value, Nonvested at December 31, 2014 | $32.93 |
Summary_of_Stock_Option_Transa
Summary of Stock Option Transactions Relating to Non-Qualified Stock Option Plans (Detail) (Stock options, USD $) | 12 Months Ended |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 |
Stock options | |
Number of Shares | |
Outstanding at December 31, 2013 | 2,602 |
No. of options, Granted | 0 |
No. of options, Exercised | -712 |
No. of options, Cancelled | -6 |
No. of options, Outstanding at December 31, 2014 | 1,884 |
No. of options, Exercisable at December 31, 2014 | 1,602 |
Weighted-Average Exercise Price per Share | |
Weighted-Average Exercise Price of options, Outstanding at December 31, 2013 | $19.31 |
Weighted-Average Exercise Price of options, Granted | $0 |
Weighted-Average Exercise Price of options, Exercised | $17.47 |
Weighted-Average Exercise Price of options, Cancelled | $22.34 |
Weighted-Average Exercise Price of options, Outstanding at December 31, 2014 | $20 |
Weighted-Average Exercise Price of options, Exercisable at December 31, 2014 | $19.58 |
Weighted Average Remaining Contractual Term (in years) | |
Outstanding at December 31, 2014 | 5 years |
Exercisable at December 31, 2014 | 4 years 7 months 6 days |
Aggregate Intrinsic Value | |
Outstanding at December 31, 2014 | $30,792 |
Exercisable at December 31, 2014 | $26,841 |
Schedule_of_Estimated_Fair_Val
Schedule of Estimated Fair Value of Option Grant Using Black-Scholes Option Pricing Mode (Detail) | 12 Months Ended |
Dec. 31, 2012 | |
Schedule of Weighted Average Fair Values of Stock Options [Line Items] | |
Expected dividend yield | 3.00% |
Expected stock price volatility | 42.20% |
Risk-free interest rate | 1.00% |
Expected life of options | 5 years |
Summary_of_Nonvested_Stock_Opt
Summary of Nonvested Stock Option Transactions (Detail) (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2012 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of options, Nonvested at December 31, 2013 | 679 | |
Number of options, Granted | 0 | |
Number of options, Cancelled | 0 | |
Number of options, Vested | -397 | |
Number of options, Nonvested at December 31, 2014 | 282 | |
Weighted average grant date fair value, Nonvested at December 31, 2013 | $6.88 | |
Weighted average grant date fair value, Granted | $0 | $7.50 |
Weighted average grant date fair value, Cancelled | $0 | |
Weighted average grant date fair value, Vested | $7.04 | |
Weighted average grant date fair value, Nonvested at December 31, 2014 | $6.66 |
Schedule_of_Calculation_of_Num
Schedule of Calculation of Numerator and Denominator in Earnings Per Share (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||||||||||
Income from continuing operations | $195,022 | $304,592 | $156,966 | |||||||||||
Loss from discontinued operations, net of taxes | -663 | -2,739 | -355 | -3,757 | -205 | |||||||||
Net income | 30,006 | [1] | 57,546 | 55,732 | 51,738 | 47,471 | 51,843 | 20,429 | [2] | 181,092 | [3] | 195,022 | 300,835 | 156,761 |
Weighted average shares and assumed conversions | 117,312 | 111,250 | 100,623 | |||||||||||
Income from continuing operations | $1.68 | $2.77 | $1.58 | |||||||||||
Loss from discontinued operations, net of taxes | ($0.03) | |||||||||||||
Net income | $0.26 | [1] | $0.50 | $0.48 | $0.45 | $0.41 | $0.45 | $0.19 | [2] | $1.81 | [3] | $1.68 | $2.74 | $1.58 |
Income from continuing operations | $1.66 | $2.73 | $1.56 | |||||||||||
Loss from discontinued operations, net of taxes | ($0.03) | |||||||||||||
Net income | $0.25 | [1] | $0.49 | $0.48 | $0.44 | $0.41 | $0.44 | $0.19 | [2] | $1.78 | [3] | $1.66 | $2.70 | $1.56 |
Basic Earnings Per Share | ||||||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||||||||||
Income from continuing operations | 195,022 | 304,592 | 156,966 | |||||||||||
Loss from discontinued operations, net of taxes | -3,757 | -205 | ||||||||||||
Net income | 195,022 | 300,835 | 156,761 | |||||||||||
Weighted average common shares outstanding, basic | 116,109 | 109,617 | 99,545 | |||||||||||
Diluted Earnings Per Share | ||||||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||||||||||
Income from continuing operations | 195,022 | 304,592 | 156,966 | |||||||||||
Loss from discontinued operations, net of taxes | -3,757 | -205 | ||||||||||||
Net income | $195,022 | $300,835 | $156,761 | |||||||||||
Weighted average common shares outstanding, diluted | 116,109 | 109,617 | 99,545 | |||||||||||
Stock options | ||||||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||||||||||
Effect of dilutive securities | 895 | 1,279 | 864 | |||||||||||
Restricted stock based compensation | ||||||||||||||
Earnings Per Share, Basic, by Common Class, Including Two Class Method [Line Items] | ||||||||||||||
Effect of dilutive securities | 308 | 354 | 214 | |||||||||||
[1] | The earnings amounts in the fourth quarter of 2014 were unfavorably impacted by $27.8 million of non-cash impairments recorded to write down the book values of two of CCA's non-core facilities to the estimated fair values, as discussed in Note 5. | |||||||||||||
[2] | The earnings amounts in the second quarter of 2013 were negatively impacted by $36.3 million of expenses associated with debt refinancing transactions. | |||||||||||||
[3] | The earnings amounts in the first quarter of 2013 were favorably impacted by the net tax benefit resulting from the revaluation of certain deferred tax assets and liabilities associated with the REIT conversion effective January 1, 2013. |
Earnings_Per_Share_Additional_
Earnings Per Share - Additional Information (Detail) | 12 Months Ended | 1 Months Ended | ||
Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Apr. 30, 2013 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Stock options excluded from computation of earnings per share because they were anti-dilutive | 12,000 | 15,000 | 700,000 | |
Special Dividend | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Number of shares of CCA common stock distributed pursuant to the special dividend | 13,900,000 |
Commitments_and_Contingencies_
Commitments and Contingencies - Additional Information (Detail) (USD $) | 1 Months Ended | 12 Months Ended | |||
In Millions, unless otherwise specified | Feb. 28, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 1997 |
Y | Facility | ||||
LegalMatter | |||||
D | |||||
Bed | |||||
Loss Contingencies [Line Items] | |||||
Compensation amount on contractual disputes | ($1) | ||||
Number of pending legal proceedings that would have an effect on consolidated financial position, results of operations, or cash flows | 0 | ||||
Number of beds at the facility | 84,500 | ||||
Minimum age limit for participating in the Savings and Retirement Plan, years | 18 | ||||
Minimum qualified service required to participate in the Savings and Retirement Plan, years | 1 | ||||
Eligible employee contribution on eligible compensation | 90.00% | ||||
Employer discretionary matching contribution equal to employee contribution | 100.00% | 100.00% | 100.00% | ||
Maximum percentage of employer discretionary matching contribution of employee eligible compensation | 5.00% | 5.00% | 5.00% | ||
Minimum number of hours of employment in the plan year for discretionary matching contribution | One thousand | ||||
Discretionary contribution plan forfeitures, net | 11.1 | 11.8 | 11.1 | ||
Number of qualified deferred compensation plans | 2 | ||||
Total cash compensation under Deferred Compensation Plans | 5.00% | 5.00% | 5.00% | ||
Time period when distributions are paid, minimum years subsequent to the date an individual becomes a participant in the Plan | 5 | ||||
Distributions to senior executives commencement period, days after participant's separation from service | 60 | ||||
Distributions to senior executives commencement period, time period | The fifteenth day of the month following the month the individual attains age 65. | ||||
Percentage of fixed return from Deferred Compensation Plans to participants | 5.60% | 5.60% | 5.90% | ||
Deferred Compensation Plans assets | 17.9 | 15.8 | |||
Matching contributions as general and administrative expense associated with the Deferred Compensation Plans | 0.2 | 0.2 | 0.5 | ||
Deferred Compensation Plans liability | 15.7 | 16.4 | |||
Executive Officer | |||||
Loss Contingencies [Line Items] | |||||
Contribution as percentage of salary | 50.00% | ||||
Contribution as percentage of cash bonus | 100.00% | ||||
Non Employee Directors | |||||
Loss Contingencies [Line Items] | |||||
Contribution as percentage of retainer and meeting fees | 100.00% | ||||
Prior to January One Twenty Twelve | After Two Years Of Service | |||||
Loss Contingencies [Line Items] | |||||
Vested percentage of employer contributions and investment earnings or losses | 20.00% | ||||
Prior to January One Twenty Twelve | After Three Years Of Service | |||||
Loss Contingencies [Line Items] | |||||
Vested percentage of employer contributions and investment earnings or losses | 40.00% | ||||
Prior to January One Twenty Twelve | After Four Years Of Service | |||||
Loss Contingencies [Line Items] | |||||
Vested percentage of employer contributions and investment earnings or losses | 80.00% | ||||
Prior to January One Twenty Twelve | After Five Or More Years Of Service | |||||
Loss Contingencies [Line Items] | |||||
Vested percentage of employer contributions and investment earnings or losses | 100.00% | ||||
Hardeman County Correctional Facilities Corporation | |||||
Loss Contingencies [Line Items] | |||||
Issuance of revenue bonds | 72.7 | ||||
Number of beds at the facility | 2,016 | ||||
Outstanding principal balance of revenue bonds | 18.6 | ||||
Outstanding principal balance of the bonds exceeded the purchase price option | $7.30 |
Segment_Reporting_Additional_I
Segment Reporting - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2014 | |
Segment | |
Property | |
Facility | |
Segment Reporting Information [Line Items] | |
Number of facilities owned and managed | 49 |
Number of facilities owned by government partners, managed | 12 |
Number of reportable segments | 1 |
Number of facilities leased to third party operators | 3 |
Schedule_of_Revenue_and_Net_Op
Schedule of Revenue and Net Operating Income of Owned and Managed and the Managed-Only Facilities and Reconciliation to CCA's Operating Income (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
Segment Reporting Information [Line Items] | ||||||||||||
Total management revenue | $1,612,671 | $1,687,809 | $1,718,382 | |||||||||
Total operating expenses | 1,136,212 | 1,203,541 | 1,199,358 | |||||||||
Rental and other revenue | 34,196 | 6,488 | 5,275 | |||||||||
Other operating expense | -19,923 | -16,810 | -17,693 | |||||||||
General and administrative expense | -106,429 | -103,590 | -88,935 | |||||||||
Depreciation and amortization | -113,925 | -112,692 | -113,063 | |||||||||
Asset impairments | -27,800 | -30,082 | -6,513 | |||||||||
OPERATING INCOME | 41,845 | [1] | 69,850 | 65,535 | 63,066 | 56,019 | 67,271 | 67,969 | 59,892 | 240,296 | 251,151 | 304,608 |
Owned and managed | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Total management revenue | 1,379,986 | 1,386,355 | 1,418,783 | |||||||||
Total operating expenses | 928,857 | 941,638 | 935,680 | |||||||||
OPERATING INCOME | 451,129 | 444,717 | 483,103 | |||||||||
Managed-only | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
Total management revenue | 232,685 | 301,454 | 299,599 | |||||||||
Total operating expenses | 207,355 | 261,903 | 263,678 | |||||||||
OPERATING INCOME | 25,330 | 39,551 | 35,921 | |||||||||
Facility | ||||||||||||
Segment Reporting Information [Line Items] | ||||||||||||
OPERATING INCOME | $476,459 | $484,268 | $519,024 | |||||||||
[1] | The earnings amounts in the fourth quarter of 2014 were unfavorably impacted by $27.8 million of non-cash impairments recorded to write down the book values of two of CCA's non-core facilities to the estimated fair values, as discussed in Note 5. |
Summary_of_Capital_Expenditure
Summary of Capital Expenditures (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Segment Reporting Information [Line Items] | |||
Total capital expenditures | $262,560 | $111,618 | $76,946 |
Discontinued operations | |||
Segment Reporting Information [Line Items] | |||
Total capital expenditures | 72 | 532 | |
Owned and managed | |||
Segment Reporting Information [Line Items] | |||
Total capital expenditures | 246,333 | 96,975 | 55,222 |
Managed-only | |||
Segment Reporting Information [Line Items] | |||
Total capital expenditures | 3,171 | 3,719 | 3,507 |
Corporate and Other | |||
Segment Reporting Information [Line Items] | |||
Total capital expenditures | $13,056 | $10,852 | $17,685 |
Schedule_of_Total_Assets_Detai
Schedule of Total Assets (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Segment Reporting Information [Line Items] | ||
Total assets | $3,127,191 | $3,007,425 |
Owned and managed | ||
Segment Reporting Information [Line Items] | ||
Total assets | 2,745,905 | 2,715,719 |
Managed-only | ||
Segment Reporting Information [Line Items] | ||
Total assets | 68,146 | 81,551 |
Corporate and Other | ||
Segment Reporting Information [Line Items] | ||
Total assets | 313,140 | 210,140 |
Discontinued operations | ||
Segment Reporting Information [Line Items] | ||
Total assets | $15 |
Subsequent_Events_Additional_I
Subsequent Events - Additional Information (Detail) (Subsequent Event, USD $) | 0 Months Ended | 1 Months Ended |
In Millions, except Share data, unless otherwise specified | Feb. 20, 2015 | Feb. 28, 2015 |
Subsequent Event [Line Items] | ||
Dividend declared per common share | $0.54 | |
Dividend declared payment date | 15-Apr-15 | |
Dividend declared record date | 2-Apr-15 | |
Restricted Stock Units (RSUs) | CCA's employees and non-employee directors | ||
Subsequent Event [Line Items] | ||
Number of shares issued | 400,000 | |
Aggregate value of shares issued | $16.90 | |
Restricted Stock Units (RSUs) | Officers And Executive Officers | ||
Subsequent Event [Line Items] | ||
Number of shares issued | 300,000 | |
Vesting period | 3 years | |
Restricted Stock Units (RSUs) | Other Employees | ||
Subsequent Event [Line Items] | ||
Number of shares issued | 100,000 |
Condensed_Consolidating_Balanc
Condensed Consolidating Balance Sheet (Detail) (USD $) | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
In Thousands, unless otherwise specified | ||||
ASSETS | ||||
Cash and cash equivalents | $74,393 | $77,909 | ||
Accounts receivable, net of allowance | 248,588 | 244,957 | ||
Current deferred tax assets | 13,229 | 9,241 | ||
Prepaid expenses and other current assets | 29,775 | 20,612 | ||
Current assets of discontinued operations | 15 | |||
Total current assets | 365,985 | 352,734 | ||
Property and equipment, net | 2,658,628 | 2,546,613 | ||
Restricted cash | 2,858 | 5,589 | ||
Investment in direct financing lease | 3,223 | 5,473 | ||
Goodwill | 16,110 | 16,110 | ||
Non-current deferred tax assets | 2,301 | 3,078 | ||
Other assets | 78,086 | 77,828 | ||
Total assets | 3,127,191 | 3,007,425 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
Accounts payable and accrued expenses | 317,566 | 252,277 | ||
Income taxes payable | 1,368 | 1,243 | ||
Current liabilities of discontinued operations | 54 | 886 | ||
Total current liabilities | 318,988 | 254,406 | ||
Long-term debt | 1,200,000 | 1,205,000 | ||
Other liabilities | 126,703 | 45,512 | ||
Total liabilities | 1,645,691 | 1,504,918 | ||
Total stockholders' equity | 1,481,500 | 1,502,507 | 1,521,620 | 1,408,022 |
Total liabilities and stockholders' equity | 3,127,191 | 3,007,425 | ||
Parent | ||||
ASSETS | ||||
Cash and cash equivalents | 12,337 | 31,647 | ||
Accounts receivable, net of allowance | 167,626 | 203,018 | ||
Current deferred tax assets | 2 | |||
Prepaid expenses and other current assets | 17,060 | 7,580 | ||
Total current assets | 197,023 | 242,247 | ||
Property and equipment, net | 2,459,053 | 2,450,028 | ||
Restricted cash | 1,267 | 1,016 | ||
Investment in direct financing lease | 3,223 | 5,473 | ||
Other assets | 241,690 | 245,028 | ||
Total assets | 2,902,256 | 2,943,792 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
Accounts payable and accrued expenses | 218,403 | 234,277 | ||
Income taxes payable | 195 | |||
Current deferred tax liabilities | 13 | |||
Total current liabilities | 218,611 | 234,277 | ||
Long-term debt | 1,200,000 | 1,205,000 | ||
Non-current deferred tax liabilities | 477 | 555 | ||
Other liabilities | 1,668 | 1,453 | ||
Total liabilities | 1,420,756 | 1,441,285 | ||
Total stockholders' equity | 1,481,500 | 1,502,507 | ||
Total liabilities and stockholders' equity | 2,902,256 | 2,943,792 | ||
Combined Subsidiary Guarantors | ||||
ASSETS | ||||
Cash and cash equivalents | 62,056 | 46,262 | ||
Accounts receivable, net of allowance | 178,911 | 178,894 | ||
Current deferred tax assets | 13,241 | 9,239 | ||
Prepaid expenses and other current assets | 34,705 | 22,856 | ||
Current assets of discontinued operations | 15 | |||
Total current assets | 288,913 | 257,266 | ||
Property and equipment, net | 199,575 | 96,585 | ||
Restricted cash | 1,591 | 4,573 | ||
Goodwill | 16,110 | 16,110 | ||
Non-current deferred tax assets | 2,778 | 3,633 | ||
Other assets | 47,046 | 45,149 | ||
Total assets | 556,013 | 423,316 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
Accounts payable and accrued expenses | 205,213 | 164,745 | ||
Income taxes payable | 1,173 | 1,243 | ||
Note payable to an affiliate | 13,854 | |||
Current liabilities of discontinued operations | 54 | 886 | ||
Total current liabilities | 220,294 | 166,874 | ||
Long-term debt | 115,000 | 115,000 | ||
Other liabilities | 125,035 | 44,059 | ||
Total liabilities | 460,329 | 325,933 | ||
Total stockholders' equity | 95,684 | 97,383 | ||
Total liabilities and stockholders' equity | 556,013 | 423,316 | ||
Consolidating Adjustments and Other | ||||
ASSETS | ||||
Accounts receivable, net of allowance | -97,949 | -136,955 | ||
Current deferred tax assets | -12 | |||
Prepaid expenses and other current assets | -21,990 | -9,824 | ||
Total current assets | -119,951 | -146,779 | ||
Non-current deferred tax assets | -477 | -555 | ||
Other assets | -210,650 | -212,349 | ||
Total assets | -331,078 | -359,683 | ||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||
Accounts payable and accrued expenses | -106,050 | -146,745 | ||
Current deferred tax liabilities | -13 | |||
Note payable to an affiliate | -13,854 | |||
Total current liabilities | -119,917 | -146,745 | ||
Long-term debt | -115,000 | -115,000 | ||
Non-current deferred tax liabilities | -477 | -555 | ||
Total liabilities | -235,394 | -262,300 | ||
Total stockholders' equity | -95,684 | -97,383 | ||
Total liabilities and stockholders' equity | ($331,078) | ($359,683) |
Condensed_Consolidating_Statem
Condensed Consolidating Statement of Operations (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||
REVENUES | $423,477 | $408,474 | $410,694 | $404,222 | $431,103 | $421,466 | $425,005 | $416,723 | $1,646,867 | $1,694,297 | $1,723,657 | |||
EXPENSES: | ||||||||||||||
Operating | 1,156,135 | 1,220,351 | 1,217,051 | |||||||||||
General and administrative | 106,429 | 103,590 | 88,935 | |||||||||||
Depreciation and amortization | 113,925 | 112,692 | 113,063 | |||||||||||
Asset impairments | 27,800 | 30,082 | 6,513 | |||||||||||
Costs and Expenses | 1,406,571 | 1,443,146 | 1,419,049 | |||||||||||
OPERATING INCOME | 41,845 | [1] | 69,850 | 65,535 | 63,066 | 56,019 | 67,271 | 67,969 | 59,892 | 240,296 | 251,151 | 304,608 | ||
OTHER (INCOME) EXPENSE: | ||||||||||||||
Interest expense, net | 39,535 | 45,126 | 58,363 | |||||||||||
Expenses associated with debt refinancing transactions | 36,528 | 2,099 | ||||||||||||
Other (income) expense | -1,204 | -100 | -333 | |||||||||||
Total non-operating expense (income) | 38,331 | 81,554 | 60,129 | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 201,965 | 169,597 | 244,479 | |||||||||||
Income tax benefit (expense) | -6,943 | 134,995 | -87,513 | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS | 195,022 | 304,592 | 156,966 | |||||||||||
Loss from discontinued operations, net of taxes | -663 | -2,739 | -355 | -3,757 | -205 | |||||||||
NET INCOME | 30,006 | [1] | 57,546 | 55,732 | 51,738 | 47,471 | 51,843 | 20,429 | [2] | 181,092 | [3] | 195,022 | 300,835 | 156,761 |
Parent | ||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||
REVENUES | 1,250,199 | 1,268,763 | 1,411,277 | |||||||||||
EXPENSES: | ||||||||||||||
Operating | 896,470 | 945,750 | 943,803 | |||||||||||
General and administrative | 33,508 | 31,290 | 70,792 | |||||||||||
Depreciation and amortization | 80,820 | 76,112 | 74,452 | |||||||||||
Asset impairments | 29,915 | |||||||||||||
Costs and Expenses | 1,040,713 | 1,053,152 | 1,089,047 | |||||||||||
OPERATING INCOME | 209,486 | 215,611 | 322,230 | |||||||||||
OTHER (INCOME) EXPENSE: | ||||||||||||||
Interest expense, net | 35,138 | 38,319 | 57,174 | |||||||||||
Expenses associated with debt refinancing transactions | 28,563 | 2,099 | ||||||||||||
Other (income) expense | 302 | -45 | 16 | |||||||||||
Total non-operating expense (income) | 35,440 | 66,837 | 59,289 | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 174,046 | 148,774 | 262,941 | |||||||||||
Income tax benefit (expense) | -552 | 143,590 | -93,870 | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS | 173,494 | 292,364 | 169,071 | |||||||||||
Income from equity in subsidiaries | 21,528 | 8,471 | -12,310 | |||||||||||
NET INCOME | 195,022 | 300,835 | 156,761 | |||||||||||
Combined Subsidiary Guarantors | ||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||
REVENUES | 1,268,654 | 1,351,695 | 329,971 | |||||||||||
EXPENSES: | ||||||||||||||
Operating | 1,131,651 | 1,200,762 | 290,839 | |||||||||||
General and administrative | 72,921 | 72,300 | 18,143 | |||||||||||
Depreciation and amortization | 33,105 | 36,580 | 38,611 | |||||||||||
Asset impairments | 167 | 6,513 | ||||||||||||
Costs and Expenses | 1,237,844 | 1,316,155 | 347,593 | |||||||||||
OPERATING INCOME | 30,810 | 35,540 | -17,622 | |||||||||||
OTHER (INCOME) EXPENSE: | ||||||||||||||
Interest expense, net | 4,397 | 6,807 | 1,189 | |||||||||||
Expenses associated with debt refinancing transactions | 7,965 | |||||||||||||
Other (income) expense | -786 | 23 | -26 | |||||||||||
Total non-operating expense (income) | 3,611 | 14,795 | 1,163 | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 27,199 | 20,745 | -18,785 | |||||||||||
Income tax benefit (expense) | -6,391 | -8,595 | 6,357 | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS | 20,808 | 12,150 | -12,428 | |||||||||||
Loss from discontinued operations, net of taxes | -3,757 | -205 | ||||||||||||
NET INCOME | 20,808 | 8,393 | -12,633 | |||||||||||
Consolidating Adjustments and Other | ||||||||||||||
Condensed Financial Statements, Captions [Line Items] | ||||||||||||||
REVENUES | -871,986 | -926,161 | -17,591 | |||||||||||
EXPENSES: | ||||||||||||||
Operating | -871,986 | -926,161 | -17,591 | |||||||||||
Costs and Expenses | -871,986 | -926,161 | -17,591 | |||||||||||
OTHER (INCOME) EXPENSE: | ||||||||||||||
Other (income) expense | -720 | -78 | -323 | |||||||||||
Total non-operating expense (income) | -720 | -78 | -323 | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS BEFORE INCOME TAXES | 720 | 78 | 323 | |||||||||||
INCOME (LOSS) FROM CONTINUING OPERATIONS | 720 | 78 | 323 | |||||||||||
Income from equity in subsidiaries | -21,528 | -8,471 | 12,310 | |||||||||||
NET INCOME | ($20,808) | ($8,393) | $12,633 | |||||||||||
[1] | The earnings amounts in the fourth quarter of 2014 were unfavorably impacted by $27.8 million of non-cash impairments recorded to write down the book values of two of CCA's non-core facilities to the estimated fair values, as discussed in Note 5. | |||||||||||||
[2] | The earnings amounts in the second quarter of 2013 were negatively impacted by $36.3 million of expenses associated with debt refinancing transactions. | |||||||||||||
[3] | The earnings amounts in the first quarter of 2013 were favorably impacted by the net tax benefit resulting from the revaluation of certain deferred tax assets and liabilities associated with the REIT conversion effective January 1, 2013. |
Condensed_Consolidating_Statem1
Condensed Consolidating Statement of Cash Flows (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by operating activities | $423,581 | $369,504 | $283,256 |
Net cash used in investing activities | -196,887 | -125,512 | -79,920 |
Net cash used in financing activities | -230,220 | -228,970 | -196,271 |
Net (decrease) increase in cash and cash equivalents | -3,526 | 15,022 | 7,065 |
CASH AND CASH EQUIVALENTS, beginning of year | 77,919 | 62,897 | 55,832 |
CASH AND CASH EQUIVALENTS, end of year | 74,393 | 77,919 | 62,897 |
Parent | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by operating activities | 296,087 | 211,247 | 260,602 |
Net cash used in investing activities | -73,404 | -83,895 | -42,378 |
Net cash used in financing activities | -241,993 | -95,705 | -218,224 |
Net (decrease) increase in cash and cash equivalents | -19,310 | 31,647 | |
CASH AND CASH EQUIVALENTS, beginning of year | 31,647 | ||
CASH AND CASH EQUIVALENTS, end of year | 12,337 | 31,647 | |
Combined Subsidiary Guarantors | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash provided by operating activities | 127,494 | 158,257 | 22,654 |
Net cash used in investing activities | -102,337 | -56,617 | -37,542 |
Net cash used in financing activities | -9,373 | -118,265 | 21,953 |
Net (decrease) increase in cash and cash equivalents | 15,784 | -16,625 | 7,065 |
CASH AND CASH EQUIVALENTS, beginning of year | 46,272 | 62,897 | 55,832 |
CASH AND CASH EQUIVALENTS, end of year | 62,056 | 46,272 | 62,897 |
Consolidating Adjustments and Other | |||
Condensed Financial Statements, Captions [Line Items] | |||
Net cash used in investing activities | -21,146 | 15,000 | |
Net cash used in financing activities | $21,146 | ($15,000) |
Schedule_of_Selected_Quarterly
Schedule of Selected Quarterly Financial Information (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||||||||||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |||
Quarterly Financial Information [Line Items] | ||||||||||||||
Revenue | $423,477 | $408,474 | $410,694 | $404,222 | $431,103 | $421,466 | $425,005 | $416,723 | $1,646,867 | $1,694,297 | $1,723,657 | |||
OPERATING INCOME | 41,845 | [1] | 69,850 | 65,535 | 63,066 | 56,019 | 67,271 | 67,969 | 59,892 | 240,296 | 251,151 | 304,608 | ||
Loss from discontinued operations, net of taxes | -663 | -2,739 | -355 | -3,757 | -205 | |||||||||
Net income | $30,006 | [1] | $57,546 | $55,732 | $51,738 | $47,471 | $51,843 | $20,429 | [2] | $181,092 | [3] | $195,022 | $300,835 | $156,761 |
Basic earnings per share: Net income | $0.26 | [1] | $0.50 | $0.48 | $0.45 | $0.41 | $0.45 | $0.19 | [2] | $1.81 | [3] | $1.68 | $2.74 | $1.58 |
Diluted earnings per share: Net income | $0.25 | [1] | $0.49 | $0.48 | $0.44 | $0.41 | $0.44 | $0.19 | [2] | $1.78 | [3] | $1.66 | $2.70 | $1.56 |
[1] | The earnings amounts in the fourth quarter of 2014 were unfavorably impacted by $27.8 million of non-cash impairments recorded to write down the book values of two of CCA's non-core facilities to the estimated fair values, as discussed in Note 5. | |||||||||||||
[2] | The earnings amounts in the second quarter of 2013 were negatively impacted by $36.3 million of expenses associated with debt refinancing transactions. | |||||||||||||
[3] | The earnings amounts in the first quarter of 2013 were favorably impacted by the net tax benefit resulting from the revaluation of certain deferred tax assets and liabilities associated with the REIT conversion effective January 1, 2013. |
Schedule_of_Selected_Quarterly1
Schedule of Selected Quarterly Financial Information (Parenthetical) (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2014 | Jun. 30, 2013 | Dec. 31, 2014 | Dec. 31, 2013 | |
Quarterly Financial Information [Line Items] | ||||
Asset impairments | $27,800,000 | $30,082,000 | $6,513,000 | |
Costs associated with tender offer and redemption | $36,300,000 |
Schedule_III_Real_Estate_and_A
Schedule III - Real Estate and Accumulated Depreciation (Detail) (USD $) | 12 Months Ended | ||||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Land, Initial Cost to Company | $58,775 | ||||
Buildings and Improvements, Initial Cost to Company | 2,171,312 | ||||
Cost Capitalized Subsequent to Acquisition | 885,268 | ||||
Land and Land Improvements, Gross Amount | 100,295 | ||||
Buildings and Leasehold Improvements, Gross Amount | 2,970,799 | ||||
Total Gross Amount | 3,071,094 | 3,078,902 | 3,049,672 | 2,972,528 | |
Accumulated Depreciation | -815,980 | [1] | -755,761 | -680,965 | -607,771 |
Adams County Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Adams County, Mississippi | ||||
Land, Initial Cost to Company | 874 | ||||
Buildings and Improvements, Initial Cost to Company | 119,565 | ||||
Cost Capitalized Subsequent to Acquisition | 2,783 | ||||
Land and Land Improvements, Gross Amount | 1,075 | ||||
Buildings and Leasehold Improvements, Gross Amount | 122,147 | ||||
Total Gross Amount | 123,222 | ||||
Accumulated Depreciation | -15,038 | [1] | |||
Constructed/Acquired Date | 2008 | ||||
Bent County Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Las Animas, Colorado | ||||
Land, Initial Cost to Company | 550 | ||||
Buildings and Improvements, Initial Cost to Company | 13,115 | ||||
Cost Capitalized Subsequent to Acquisition | 66,495 | ||||
Land and Land Improvements, Gross Amount | 1,212 | ||||
Buildings and Leasehold Improvements, Gross Amount | 78,948 | ||||
Total Gross Amount | 80,160 | ||||
Accumulated Depreciation | -18,267 | [1] | |||
Constructed/Acquired Date | 1992 | ||||
Bridgeport Pre-Parole Transfer Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Bridgeport, Texas | ||||
Land, Initial Cost to Company | 70 | ||||
Buildings and Improvements, Initial Cost to Company | 291 | ||||
Cost Capitalized Subsequent to Acquisition | 588 | ||||
Land and Land Improvements, Gross Amount | 209 | ||||
Buildings and Leasehold Improvements, Gross Amount | 740 | ||||
Total Gross Amount | 949 | ||||
Accumulated Depreciation | -473 | [1] | |||
Constructed/Acquired Date | 1995 | ||||
CAI - Boston Avenue | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | San Diego, California | ||||
Land, Initial Cost to Company | 800 | ||||
Buildings and Improvements, Initial Cost to Company | 11,440 | ||||
Cost Capitalized Subsequent to Acquisition | 25 | ||||
Land and Land Improvements, Gross Amount | 830 | ||||
Buildings and Leasehold Improvements, Gross Amount | 11,435 | ||||
Total Gross Amount | 12,265 | ||||
Accumulated Depreciation | -548 | [1] | |||
Constructed/Acquired Date | 2013 | ||||
California City Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | California City, California | ||||
Land, Initial Cost to Company | 1,785 | ||||
Buildings and Improvements, Initial Cost to Company | 125,337 | ||||
Cost Capitalized Subsequent to Acquisition | 4,357 | ||||
Land and Land Improvements, Gross Amount | 2,484 | ||||
Buildings and Leasehold Improvements, Gross Amount | 128,995 | ||||
Total Gross Amount | 131,479 | ||||
Accumulated Depreciation | -39,548 | [1] | |||
Constructed/Acquired Date | 1999 | ||||
Central Arizona Detention Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Florence, Arizona | ||||
Land, Initial Cost to Company | 1,298 | ||||
Buildings and Improvements, Initial Cost to Company | 57,857 | ||||
Cost Capitalized Subsequent to Acquisition | 30,571 | ||||
Land and Land Improvements, Gross Amount | 2,767 | ||||
Buildings and Leasehold Improvements, Gross Amount | 86,959 | ||||
Total Gross Amount | 89,726 | ||||
Accumulated Depreciation | -28,569 | [1] | |||
Constructed/Acquired Date | 1994 | ||||
Cibola County Corrections Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Milan, New Mexico | ||||
Land, Initial Cost to Company | 444 | ||||
Buildings and Improvements, Initial Cost to Company | 16,215 | ||||
Cost Capitalized Subsequent to Acquisition | 29,130 | ||||
Land and Land Improvements, Gross Amount | 1,319 | ||||
Buildings and Leasehold Improvements, Gross Amount | 44,470 | ||||
Total Gross Amount | 45,789 | ||||
Accumulated Depreciation | -14,953 | [1] | |||
Constructed/Acquired Date | 1994 | ||||
Cimarron Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Cushing, Oklahoma | ||||
Land, Initial Cost to Company | 250 | ||||
Buildings and Improvements, Initial Cost to Company | 71,303 | ||||
Cost Capitalized Subsequent to Acquisition | 42,349 | ||||
Land and Land Improvements, Gross Amount | 570 | ||||
Buildings and Leasehold Improvements, Gross Amount | 113,332 | ||||
Total Gross Amount | 113,902 | ||||
Accumulated Depreciation | -28,887 | [1] | |||
Constructed/Acquired Date | 1997 | ||||
Coffee Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Nicholls, Georgia | ||||
Land, Initial Cost to Company | 194 | ||||
Buildings and Improvements, Initial Cost to Company | 28,361 | ||||
Cost Capitalized Subsequent to Acquisition | 44,911 | ||||
Land and Land Improvements, Gross Amount | 853 | ||||
Buildings and Leasehold Improvements, Gross Amount | 72,613 | ||||
Total Gross Amount | 73,466 | ||||
Accumulated Depreciation | -17,302 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
Crossroads Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Shelby, Montana | ||||
Land, Initial Cost to Company | 413 | ||||
Buildings and Improvements, Initial Cost to Company | 33,196 | ||||
Cost Capitalized Subsequent to Acquisition | 6,700 | ||||
Land and Land Improvements, Gross Amount | 867 | ||||
Buildings and Leasehold Improvements, Gross Amount | 39,442 | ||||
Total Gross Amount | 40,309 | ||||
Accumulated Depreciation | -27,785 | [1] | |||
Constructed/Acquired Date | 1999 | ||||
Crowley County Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Olney Springs, Colorado | ||||
Land, Initial Cost to Company | 211 | ||||
Buildings and Improvements, Initial Cost to Company | 46,845 | ||||
Cost Capitalized Subsequent to Acquisition | 27,133 | ||||
Land and Land Improvements, Gross Amount | 1,890 | ||||
Buildings and Leasehold Improvements, Gross Amount | 72,299 | ||||
Total Gross Amount | 74,189 | ||||
Accumulated Depreciation | -17,856 | [1] | |||
Constructed/Acquired Date | 2003 | ||||
Davis Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Holdenville, Oklahoma | ||||
Land, Initial Cost to Company | 250 | ||||
Buildings and Improvements, Initial Cost to Company | 66,701 | ||||
Cost Capitalized Subsequent to Acquisition | 40,096 | ||||
Land and Land Improvements, Gross Amount | 872 | ||||
Buildings and Leasehold Improvements, Gross Amount | 106,175 | ||||
Total Gross Amount | 107,047 | ||||
Accumulated Depreciation | -27,380 | [1] | |||
Constructed/Acquired Date | 1996 | ||||
D.C. Correctional Treatment Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Washington, D.C. | ||||
Cost Capitalized Subsequent to Acquisition | 5,998 | ||||
Land and Land Improvements, Gross Amount | 71 | ||||
Buildings and Leasehold Improvements, Gross Amount | 5,927 | ||||
Total Gross Amount | 5,998 | ||||
Accumulated Depreciation | -3,777 | [1] | |||
Constructed/Acquired Date | 1997 | ||||
Diamondback Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Watonga, Oklahoma | ||||
Land, Initial Cost to Company | 208 | ||||
Buildings and Improvements, Initial Cost to Company | 41,677 | ||||
Cost Capitalized Subsequent to Acquisition | 22,544 | ||||
Land and Land Improvements, Gross Amount | 567 | ||||
Buildings and Leasehold Improvements, Gross Amount | 63,862 | ||||
Total Gross Amount | 64,429 | ||||
Accumulated Depreciation | -19,949 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
Eden Detention Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Eden, Texas | ||||
Land, Initial Cost to Company | 925 | ||||
Buildings and Improvements, Initial Cost to Company | 27,645 | ||||
Cost Capitalized Subsequent to Acquisition | 33,050 | ||||
Land and Land Improvements, Gross Amount | 5,279 | ||||
Buildings and Leasehold Improvements, Gross Amount | 56,341 | ||||
Total Gross Amount | 61,620 | ||||
Accumulated Depreciation | -17,707 | [1] | |||
Constructed/Acquired Date | 1995 | ||||
Eloy Detention Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Eloy, Arizona | ||||
Land, Initial Cost to Company | 498 | ||||
Buildings and Improvements, Initial Cost to Company | 33,308 | ||||
Cost Capitalized Subsequent to Acquisition | 14,047 | ||||
Land and Land Improvements, Gross Amount | 1,851 | ||||
Buildings and Leasehold Improvements, Gross Amount | 46,002 | ||||
Total Gross Amount | 47,853 | ||||
Accumulated Depreciation | -14,703 | [1] | |||
Constructed/Acquired Date | 1995 | ||||
Florence County Detention Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Florence, Arizona | ||||
Buildings and Improvements, Initial Cost to Company | 75,674 | ||||
Cost Capitalized Subsequent to Acquisition | 9,022 | ||||
Land and Land Improvements, Gross Amount | 719 | ||||
Buildings and Leasehold Improvements, Gross Amount | 83,977 | ||||
Total Gross Amount | 84,696 | ||||
Accumulated Depreciation | -25,169 | [1] | |||
Constructed/Acquired Date | 1999 | ||||
Houston Processing Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Houston, Texas | ||||
Land, Initial Cost to Company | 2,250 | ||||
Buildings and Improvements, Initial Cost to Company | 53,373 | ||||
Cost Capitalized Subsequent to Acquisition | 36,625 | ||||
Land and Land Improvements, Gross Amount | 3,143 | ||||
Buildings and Leasehold Improvements, Gross Amount | 89,105 | ||||
Total Gross Amount | 92,248 | ||||
Accumulated Depreciation | -26,921 | [1] | |||
Constructed/Acquired Date | 1984 | ||||
Huerfano County Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Walsenburg, Colorado | ||||
Land, Initial Cost to Company | 124 | ||||
Buildings and Improvements, Initial Cost to Company | 26,358 | ||||
Cost Capitalized Subsequent to Acquisition | 4,095 | ||||
Land and Land Improvements, Gross Amount | 984 | ||||
Buildings and Leasehold Improvements, Gross Amount | 29,593 | ||||
Total Gross Amount | 30,577 | ||||
Accumulated Depreciation | -11,544 | [1] | |||
Constructed/Acquired Date | 1997 | ||||
Jenkins County Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Millen, Georgia | ||||
Land, Initial Cost to Company | 208 | ||||
Buildings and Improvements, Initial Cost to Company | 48,158 | ||||
Cost Capitalized Subsequent to Acquisition | 37 | ||||
Land and Land Improvements, Gross Amount | 237 | ||||
Buildings and Leasehold Improvements, Gross Amount | 48,166 | ||||
Total Gross Amount | 48,403 | ||||
Accumulated Depreciation | -2,738 | [1] | |||
Constructed/Acquired Date | 2012 | ||||
Kit Carson Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Burlington, Colorado | ||||
Land, Initial Cost to Company | 432 | ||||
Buildings and Improvements, Initial Cost to Company | 35,980 | ||||
Cost Capitalized Subsequent to Acquisition | 42,563 | ||||
Land and Land Improvements, Gross Amount | 863 | ||||
Buildings and Leasehold Improvements, Gross Amount | 78,112 | ||||
Total Gross Amount | 78,975 | ||||
Accumulated Depreciation | -17,602 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
Lake Erie Correctional Institution | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Conneaut, Ohio | ||||
Land, Initial Cost to Company | 2,871 | ||||
Buildings and Improvements, Initial Cost to Company | 69,779 | ||||
Cost Capitalized Subsequent to Acquisition | 2,166 | ||||
Land and Land Improvements, Gross Amount | 3,669 | ||||
Buildings and Leasehold Improvements, Gross Amount | 71,147 | ||||
Total Gross Amount | 74,816 | ||||
Accumulated Depreciation | -4,370 | [1] | |||
Constructed/Acquired Date | 2011 | ||||
La Palma Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Eloy, Arizona | ||||
Land, Initial Cost to Company | 283 | ||||
Buildings and Improvements, Initial Cost to Company | 183,155 | ||||
Cost Capitalized Subsequent to Acquisition | 11,974 | ||||
Land and Land Improvements, Gross Amount | 470 | ||||
Buildings and Leasehold Improvements, Gross Amount | 194,942 | ||||
Total Gross Amount | 195,412 | ||||
Accumulated Depreciation | -26,757 | [1] | |||
Constructed/Acquired Date | 2008 | ||||
Laredo Processing Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Laredo, Texas | ||||
Land, Initial Cost to Company | 788 | ||||
Buildings and Improvements, Initial Cost to Company | 26,737 | ||||
Cost Capitalized Subsequent to Acquisition | 1,968 | ||||
Land and Land Improvements, Gross Amount | 929 | ||||
Buildings and Leasehold Improvements, Gross Amount | 28,564 | ||||
Total Gross Amount | 29,493 | ||||
Accumulated Depreciation | -9,647 | [1] | |||
Constructed/Acquired Date | 1985 | ||||
Leavenworth U.S.M. Detention Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Leavenworth, Kansas | ||||
Land, Initial Cost to Company | 130 | ||||
Buildings and Improvements, Initial Cost to Company | 44,970 | ||||
Cost Capitalized Subsequent to Acquisition | 42,167 | ||||
Land and Land Improvements, Gross Amount | 464 | ||||
Buildings and Leasehold Improvements, Gross Amount | 86,803 | ||||
Total Gross Amount | 87,267 | ||||
Accumulated Depreciation | -23,115 | [1] | |||
Constructed/Acquired Date | 1992 | ||||
Lee Adjustment Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Beattyville, Kentucky | ||||
Land, Initial Cost to Company | 500 | ||||
Buildings and Improvements, Initial Cost to Company | 515 | ||||
Cost Capitalized Subsequent to Acquisition | 16,087 | ||||
Land and Land Improvements, Gross Amount | 1,214 | ||||
Buildings and Leasehold Improvements, Gross Amount | 15,888 | ||||
Total Gross Amount | 17,102 | ||||
Accumulated Depreciation | -5,736 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
Leo Chesney Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Live Oak, California | ||||
Land, Initial Cost to Company | 250 | ||||
Buildings and Improvements, Initial Cost to Company | 4,774 | ||||
Cost Capitalized Subsequent to Acquisition | 1,577 | ||||
Land and Land Improvements, Gross Amount | 250 | ||||
Buildings and Leasehold Improvements, Gross Amount | 6,351 | ||||
Total Gross Amount | 6,601 | ||||
Accumulated Depreciation | -2,418 | [1] | |||
Constructed/Acquired Date | 1989 | ||||
Marion Adjustment Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | St. Mary, Kentucky | ||||
Land, Initial Cost to Company | 250 | ||||
Buildings and Improvements, Initial Cost to Company | 9,994 | ||||
Cost Capitalized Subsequent to Acquisition | 8,277 | ||||
Land and Land Improvements, Gross Amount | 915 | ||||
Buildings and Leasehold Improvements, Gross Amount | 17,606 | ||||
Total Gross Amount | 18,521 | ||||
Accumulated Depreciation | -5,543 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
McRae County Georgia Prison | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | McRae, Georgia | ||||
Land, Initial Cost to Company | 462 | ||||
Buildings and Improvements, Initial Cost to Company | 60,396 | ||||
Cost Capitalized Subsequent to Acquisition | 17,295 | ||||
Land and Land Improvements, Gross Amount | 954 | ||||
Buildings and Leasehold Improvements, Gross Amount | 77,199 | ||||
Total Gross Amount | 78,153 | ||||
Accumulated Depreciation | -15,956 | [1] | |||
Constructed/Acquired Date | 2000 | ||||
Mineral Wells Pre-Parole Transfer Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Mineral Wells, Texas | ||||
Land, Initial Cost to Company | 176 | ||||
Buildings and Improvements, Initial Cost to Company | 22,589 | ||||
Cost Capitalized Subsequent to Acquisition | 4,877 | ||||
Land and Land Improvements, Gross Amount | 100 | ||||
Total Gross Amount | 100 | [2] | |||
Constructed/Acquired Date | 1995 | ||||
Nevada Southern Detention Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Pahrump, Nevada | ||||
Land, Initial Cost to Company | 7,548 | ||||
Buildings and Improvements, Initial Cost to Company | 64,362 | ||||
Cost Capitalized Subsequent to Acquisition | 9,238 | ||||
Land and Land Improvements, Gross Amount | 8,330 | ||||
Buildings and Leasehold Improvements, Gross Amount | 72,818 | ||||
Total Gross Amount | 81,148 | ||||
Accumulated Depreciation | -7,485 | [1] | |||
Constructed/Acquired Date | 2010 | ||||
New Mexico Women's Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Grants, New Mexico | ||||
Land, Initial Cost to Company | 142 | ||||
Buildings and Improvements, Initial Cost to Company | 15,888 | ||||
Cost Capitalized Subsequent to Acquisition | 13,770 | ||||
Land and Land Improvements, Gross Amount | 807 | ||||
Buildings and Leasehold Improvements, Gross Amount | 28,993 | ||||
Total Gross Amount | 29,800 | ||||
Accumulated Depreciation | -10,638 | [1] | |||
Constructed/Acquired Date | 1989 | ||||
North Fork Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Sayre, Oklahoma | ||||
Buildings and Improvements, Initial Cost to Company | 42,166 | ||||
Cost Capitalized Subsequent to Acquisition | 58,453 | ||||
Land and Land Improvements, Gross Amount | 291 | ||||
Buildings and Leasehold Improvements, Gross Amount | 100,328 | ||||
Total Gross Amount | 100,619 | ||||
Accumulated Depreciation | -24,076 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
Northeast Ohio Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Youngstown, Ohio | ||||
Land, Initial Cost to Company | 750 | ||||
Buildings and Improvements, Initial Cost to Company | 39,583 | ||||
Cost Capitalized Subsequent to Acquisition | 7,803 | ||||
Land and Land Improvements, Gross Amount | 1,675 | ||||
Buildings and Leasehold Improvements, Gross Amount | 46,461 | ||||
Total Gross Amount | 48,136 | ||||
Accumulated Depreciation | -15,613 | [1] | |||
Constructed/Acquired Date | 1997 | ||||
Otter Creek Adjustment Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Wheelwright, Kentucky | ||||
Land, Initial Cost to Company | 500 | ||||
Buildings and Improvements, Initial Cost to Company | 24,487 | ||||
Cost Capitalized Subsequent to Acquisition | 11,319 | ||||
Land and Land Improvements, Gross Amount | 1,447 | ||||
Buildings and Leasehold Improvements, Gross Amount | 34,859 | ||||
Total Gross Amount | 36,306 | ||||
Accumulated Depreciation | -12,217 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
Prairie Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Appleton, Minnesota | ||||
Land, Initial Cost to Company | 100 | ||||
Buildings and Improvements, Initial Cost to Company | 22,306 | ||||
Cost Capitalized Subsequent to Acquisition | 8,307 | ||||
Land and Land Improvements, Gross Amount | 1,065 | ||||
Buildings and Leasehold Improvements, Gross Amount | 29,648 | ||||
Total Gross Amount | 30,713 | ||||
Accumulated Depreciation | -11,966 | [1] | |||
Constructed/Acquired Date | 1991 | ||||
Queensgate Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Cincinnati, Ohio | ||||
Land, Initial Cost to Company | 750 | ||||
Buildings and Improvements, Initial Cost to Company | 15,221 | ||||
Cost Capitalized Subsequent to Acquisition | 1,586 | ||||
Land and Land Improvements, Gross Amount | 340 | ||||
Buildings and Leasehold Improvements, Gross Amount | 498 | ||||
Total Gross Amount | 838 | [2] | |||
Constructed/Acquired Date | 1998 | ||||
Red Rock Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Eloy, Arizona | ||||
Land, Initial Cost to Company | 10 | ||||
Buildings and Improvements, Initial Cost to Company | 78,456 | ||||
Cost Capitalized Subsequent to Acquisition | 20,106 | ||||
Land and Land Improvements, Gross Amount | 255 | ||||
Buildings and Leasehold Improvements, Gross Amount | 98,317 | ||||
Total Gross Amount | 98,572 | ||||
Accumulated Depreciation | -16,447 | [1] | |||
Constructed/Acquired Date | 2006 | ||||
Saguaro Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Eloy, Arizona | ||||
Land, Initial Cost to Company | 193 | ||||
Buildings and Improvements, Initial Cost to Company | 98,903 | ||||
Cost Capitalized Subsequent to Acquisition | 316 | ||||
Land and Land Improvements, Gross Amount | 385 | ||||
Buildings and Leasehold Improvements, Gross Amount | 99,027 | ||||
Total Gross Amount | 99,412 | ||||
Accumulated Depreciation | -15,174 | [1] | |||
Constructed/Acquired Date | 2007 | ||||
San Diego Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | San Diego, California | ||||
Land, Initial Cost to Company | 28,845 | ||||
Buildings and Improvements, Initial Cost to Company | 92,458 | ||||
Cost Capitalized Subsequent to Acquisition | 10,325 | ||||
Land and Land Improvements, Gross Amount | 37,148 | ||||
Buildings and Leasehold Improvements, Gross Amount | 94,480 | ||||
Total Gross Amount | 131,628 | ||||
Accumulated Depreciation | -89,758 | [1] | |||
Constructed/Acquired Date | 1999 | ||||
Shelby Training Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Memphis, Tennessee | ||||
Land, Initial Cost to Company | 150 | ||||
Buildings and Improvements, Initial Cost to Company | 6,393 | ||||
Cost Capitalized Subsequent to Acquisition | 3,076 | ||||
Land and Land Improvements, Gross Amount | 275 | ||||
Buildings and Leasehold Improvements, Gross Amount | 9,344 | ||||
Total Gross Amount | 9,619 | ||||
Accumulated Depreciation | -9,263 | [1] | |||
Constructed/Acquired Date | 1986 | ||||
Stewart Detention Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Lumpkin, Georgia | ||||
Land, Initial Cost to Company | 143 | ||||
Buildings and Improvements, Initial Cost to Company | 70,560 | ||||
Cost Capitalized Subsequent to Acquisition | 9,192 | ||||
Land and Land Improvements, Gross Amount | 716 | ||||
Buildings and Leasehold Improvements, Gross Amount | 79,179 | ||||
Total Gross Amount | 79,895 | ||||
Accumulated Depreciation | -15,177 | [1] | |||
Constructed/Acquired Date | 2004 | ||||
Tallahatchie County Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Tutwiler, Mississippi | ||||
Buildings and Improvements, Initial Cost to Company | 44,638 | ||||
Cost Capitalized Subsequent to Acquisition | 94,046 | ||||
Land and Land Improvements, Gross Amount | 1,536 | ||||
Buildings and Leasehold Improvements, Gross Amount | 137,148 | ||||
Total Gross Amount | 138,684 | ||||
Accumulated Depreciation | -34,949 | [1] | |||
Constructed/Acquired Date | 2000 | ||||
T. Don Hutto Correctional Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Taylor, Texas | ||||
Land, Initial Cost to Company | 183 | ||||
Buildings and Improvements, Initial Cost to Company | 13,418 | ||||
Cost Capitalized Subsequent to Acquisition | 4,018 | ||||
Land and Land Improvements, Gross Amount | 591 | ||||
Buildings and Leasehold Improvements, Gross Amount | 17,028 | ||||
Total Gross Amount | 17,619 | ||||
Accumulated Depreciation | -6,118 | [1] | |||
Constructed/Acquired Date | 1997 | ||||
Torrance County Detention Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Estancia, New Mexico | ||||
Land, Initial Cost to Company | 511 | ||||
Buildings and Improvements, Initial Cost to Company | 52,599 | ||||
Cost Capitalized Subsequent to Acquisition | 7,392 | ||||
Land and Land Improvements, Gross Amount | 1,704 | ||||
Buildings and Leasehold Improvements, Gross Amount | 58,798 | ||||
Total Gross Amount | 60,502 | ||||
Accumulated Depreciation | -19,667 | [1] | |||
Constructed/Acquired Date | 1990 | ||||
Webb County Detention Center | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Laredo, Texas | ||||
Land, Initial Cost to Company | 498 | ||||
Buildings and Improvements, Initial Cost to Company | 20,160 | ||||
Cost Capitalized Subsequent to Acquisition | 5,792 | ||||
Land and Land Improvements, Gross Amount | 2,101 | ||||
Buildings and Leasehold Improvements, Gross Amount | 24,349 | ||||
Total Gross Amount | 26,450 | ||||
Accumulated Depreciation | -8,570 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
West Tennessee Detention Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Mason, Tennessee | ||||
Land, Initial Cost to Company | 538 | ||||
Buildings and Improvements, Initial Cost to Company | 31,931 | ||||
Cost Capitalized Subsequent to Acquisition | 5,605 | ||||
Land and Land Improvements, Gross Amount | 2,008 | ||||
Buildings and Leasehold Improvements, Gross Amount | 36,066 | ||||
Total Gross Amount | 38,074 | ||||
Accumulated Depreciation | -13,405 | [1] | |||
Constructed/Acquired Date | 1990 | ||||
Wheeler Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Alamo, Georgia | ||||
Land, Initial Cost to Company | 117 | ||||
Buildings and Improvements, Initial Cost to Company | 30,781 | ||||
Cost Capitalized Subsequent to Acquisition | 41,426 | ||||
Land and Land Improvements, Gross Amount | 423 | ||||
Buildings and Leasehold Improvements, Gross Amount | 71,901 | ||||
Total Gross Amount | 72,324 | ||||
Accumulated Depreciation | -17,155 | [1] | |||
Constructed/Acquired Date | 1998 | ||||
Whiteville Correctional Facility | |||||
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |||||
Location | Whiteville, Tennessee | ||||
Land, Initial Cost to Company | 303 | ||||
Buildings and Improvements, Initial Cost to Company | 51,694 | ||||
Cost Capitalized Subsequent to Acquisition | 3,991 | ||||
Land and Land Improvements, Gross Amount | 1,571 | ||||
Buildings and Leasehold Improvements, Gross Amount | 54,417 | ||||
Total Gross Amount | 55,988 | ||||
Accumulated Depreciation | ($18,044) | [1] | |||
Constructed/Acquired Date | 1998 | ||||
[1] | Depreciation is calculated using estimated useful lives of depreciable assets up to 50 years for prison facilities. | ||||
[2] | CCA recorded non-cash impairments during the fourth quarter of 2014 to write down the book values of the Queensgate and Mineral Wells facilities to the estimated fair values assuming asset sales for uses other than correctional facilities. |
Schedule_III_Real_Estate_and_A1
Schedule III - Real Estate and Accumulated Depreciation (Parenthetical) (Detail) (Maximum) | 12 Months Ended |
Dec. 31, 2014 | |
Maximum | |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | |
Prison facilities, estimated useful lives of depreciable assets | 50 years |
Schedule_III_Real_Estate_and_A2
Schedule III - Real Estate and Accumulated Depreciation Summary of Transactions (Detail) (USD $) | 12 Months Ended | |||
In Thousands, unless otherwise specified | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 | |
SEC Schedule III, Real Estate and Accumulated Depreciation [Line Items] | ||||
Investment in Real Estate, balance at beginning of period | $3,078,902 | $3,049,672 | $2,972,528 | |
Additions through capital expenditures | 45,929 | 30,376 | 77,233 | |
Sale of real estate for cash | -4,368 | -554 | -81 | |
Asset impairments | -49,247 | |||
Reclassifications and other | -122 | -592 | -8 | |
Investment in Real Estate, balance at end of period | 3,071,094 | 3,078,902 | 3,049,672 | |
Accumulated Depreciation, balance at beginning of period | -755,761 | -680,965 | -607,771 | |
Depreciation | -79,745 | -75,069 | -73,260 | |
Disposals | 118 | 273 | 66 | |
Asset impairments | 19,408 | |||
Accumulated Depreciation, balance at end of period | ($815,980) | [1] | ($755,761) | ($680,965) |
[1] | Depreciation is calculated using estimated useful lives of depreciable assets up to 50 years for prison facilities. |