Corrections Corporation of America lost $53.4 million in 1999, and cut nearly 40% of its workforce that year.
The Corrections Corporation of America – incorporated in 1983, and now the largest private prison company in the world – was launched in 1984 with a contract from the INS to open a 350-bed immigration “processing center” in Houston, Texas.
In 1997, Corrections Corporation of America pushed forward a proposal (for the second time in its brief corporate history) to take over the entire state prison system of Tennessee.
The Willacy County Processing Center is a 2,000-person private prison near Raymondville, Texas that was constructed in 90 days. The prison is a series of dome-structures made of a "synthetic-type" material. Source: MTC website
The private prison industry is capital intensive, and to finance and build new prisons, corporations have turned to a variety of “creative financing” schemes involving high-yield bonds, real estate investment trusts, and “securitization” schemes. (read more about prison financing)
From 1984-1996 private prisons spread like wildfire across Texas. In 1984 the first private prison opened in Texas, and by 1996 there were 38 private prisons either operating or soon to open in the state.
As of 2007, Texas holds the highest number of the nation's private prison beds and has the largest number of state prisoners in private facilities -- over 15,000.