Another Private Prison Buyout

ROSELAND, N.J., May 21 /PRNewswire/ -- Community Education Centers, Inc. (CEC), the leading provider of offender reentry services, today announced that it has acquired CiviGenics, Marlborough, Mass., the largest provider of in- prison treatment programs. The move creates the largest offender reentry services company in the United States. The combined company provides services ranging from residential and non-residential reentry programs, in-prison treatment services, and jail management services.

The company will have a staff of more than 3,500, annual revenues in excess of $200 million and will operate 97 facilities in 22 states, which includes reentry centers, in-prison treatment programs, and jail management contracts. The company will be headquartered in New Jersey and will have an estimated 20,000 individuals in its daily care.

"The leaders of America's prison systems are increasingly aware that recidivism reduction is the best policy for government and incarcerated individuals," said John J. Clancy, Chairman and CEO of CEC. "CEC has been committed to recidivism reduction since its inception over a decade ago and now our national reach will have an even larger impact. I'm excited about CEC's increased ability to provide effective reentry services and the growth potential for all facets of the company."

According to federal statistics, the U.S. incarcerated population has grown from 0.5 million in 1980 to 2.3 million in 2005, more than quadrupling in 25 years. The number of offenders either incarcerated or back in the community is expected to increase from roughly 7.1 million to 8.5 million by 2012. As a result, the public sector is now turning to companies such as CEC and CiviGenics that provide effective reentry services that reduce recidivism rates.

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