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CCA Announces Profitable First Quarter of 2007, Plans to Cram in More Texas Prison Beds

Corrections Corporation of America announced its first quarter profits on May 3rd, and the financial picture appears rosy, thanks in part to the profitability of locking up entire families in CCA's T Don Hutto prison in Taylorville.

From the press release:

Federal revenues were favorably impacted by new contracts from the U.S. Immigration and Customs Enforcement ("ICE") at our T. Don Hutto Residential Center, our Stewart Detention Center and our Eloy Detention Center.

Overall, CCA reported an increase in net income of almost 50% -- from about $21 million in the first quarter of 2006 to almost $33 million for the same period this year. "Net income" refers to their after-tax profits only --- these profits are based on gross income almost $350 million dollars from governments in the first three months of 2007.

Corrections Corporation of America is also reporting plans to add thousands of prison beds across the country, including expanding the Eden Detention Center to 1,394 federal prison beds. They're going to add 129 beds to that prison, for a cost of $20 million -- that's about $155,000 per bed.

Although according to a press release from earlier this year, CCA already has 1,300 prisoners in the Eden prison. This expansion will take them to 1,394 beds, but as a result, they'll be able to cram 1,558 prisoners in there. Is this possibly unsafe? Yes. Possibly inhumane? Yes. Possibly profitable? Absolutely.