Discontinued Operations

9 Months Ended

Sep. 30, 2011

Discontinued Operations [Abstract]

Discontinued Operations

5. DISCONTINUED OPERATIONS

In April 2010, CCA announced that pursuant to a re-bid of the management contract at the 1,520-bed Gadsden Correctional Institution in Quincy, Florida, the Florida Department of Management Services indicated its intent to award the management of the Gadsden facility to another operator. CCA transitioned management of the Gadsden facility during the third quarter of 2010 to the new operator. Additionally, in April 2010, CCA also provided notice to Hernando County, Florida of its intent to terminate the management contract at the 876-bed Hernando County Jail during the third quarter of 2010. Accordingly, the results of operations, net of taxes, and the assets and liabilities of these two facilities have been reported as discontinued operations upon termination of operations in the third quarter of 2010 for all periods presented.

The following table summarizes the results of operations for these facilities for the three and nine months ended September 30, 2010 (in thousands):

	For the Three Months Ended September 30, 2010			For the Nine Months Ended September 30, 2010
REVENUE:
Managed-only	$	4,258		$	22,906
		4,258			22,906
EXPENSES:
Managed-only		4,174			19,716
Depreciation and amortization		379			2,222
Goodwill impairment		—			1,684
		4,553			23,622
OPERATING LOSS		(295	)		(716	)
Other income		59			59
LOSS FROM DISCONTINUED OPERATIONS BEFORE INCOME TAXES		(236	)		(657	)
Income tax benefit		89			253
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAXES	$	(147	)	$	(404	)

The assets and liabilities of the discontinued operations presented in the accompanying consolidated balance sheets are as follows (in thousands):

	September 30, 2011		December 31, 2010
ASSETS
Cash and cash equivalents	$	—	$	4
Accounts receivable		1,821		1,821
Prepaid expenses and other current assets		236		330
Total current assets		2,057		2,155
Other assets		—		6
Total assets	$	2,057	$	2,161
LIABILITIES
Accounts payable and accrued expenses	$	1,094	$	1,583
Total current liabilities	$	1,094	$	1,583