"This new capacity is necessary to support a growing inmate population,"
Secretary Beard said, while adding that the inmate population grew by 1,481
inmates in the last year and is projected to grow by another 552 inmates in
2006 .

rosebud kindness

The department is requesting a budget increase of 3.

Business Editors

NASHVILLE , Tenn. The terms of the contract provide
for a 50% guaranteed rate of occupancy for 90 days following the
commencement of services, and a 90% guaranteed rate of occupancy
thereafter.
In addition to the inmates to be housed on behalf of the BOP, the
Company currently houses approximately 500 prisoners on behalf of the
U.

outward inmate

Rendell's proposed 2006-07 budget will allow the Department of
Corrections to continue focusing on its core mission of maintaining public
safety, while allowing for initiatives to enhance security, operations and
programs.
Secretary Beard said the commonwealth could reduce the inmate population
through the implementation of the State Intermediate Punishment (SIP ) Act,
which the legislature passed and Governor Edward G.
"SIP will make a positive impact on the length of stay of some less-
serious offenders," Secretary Beard said.pa. Other factors that could cause operating and
financial results to differ are described in the filings made from
time to time by the Company with the Securities and Exchange
Commission.

reintegrating tackling

6
million, which will continue to provide the necessary housing, security and
treatment of inmates.S. The Company currently operates 64 facilities, including
39 company-owned facilities, with a total design capacity of
approximately 70,000 beds in 19 states and the District of Columbia.

reintegrating tackles

5 million will be transferred from the
Manufacturing Fund to augment the state budget.2 million worth of new cellblocks.

offenders prisons

The initiatives include
upgrading vocational equipment to match jobs available in the community;
upgrading and increasing the availability of computer-based training for
inmates; and, the ongoing use of programs that help inmates recognize and
address criminal thinking, coping skills and drug and alcohol addictions .

outward prisoners

"
Department officials anticipate that 1,000 inmates a year will go through
the program by 2009.

218 misuse

The department is planning to open 920 new beds at four institutions
statewide. The result of this intensive programming
is the reduction of the likelihood that they will recidivate ."
Secretary Beard said the department's re-entry initiatives help offenders
upon their return home following incarceration.state.

CONTACT: Susan McNaughton
(717) 975 -4862

springboard offending

D. An additional $15. Rendell signed into law in
2004.

prisoners rehabilitating

diversion detention

"The seamless flow of information will not only save money, but it will
also reduce instances of information not being shared between the agencies,"
Secretary Beard said.

outward offending

Another initiative would consolidate the agencies '
information technology programs under the Department of Corrections to better
enable the agencies to work with an automated data system under development
that will provide access one system and manage every aspect of an offender's
incarceration and supervision without the need for data entry duplication .cor. These include, but are not limited to, the risks and
uncertainties associated with: (i) fluctuations in the Company's
operating results because of, among other things, changes in occupancy
levels , competition, increases in cost of operations, fluctuations in
interest rates and risks of operations; (ii) changes in the
privatization of the corrections and detention industry, the public
acceptance of the Company's services and the timing of the opening of
and demand for new prison facilities; (iii) the Company's ability to
obtain and maintain correctional facility management contracts,
including as the result of sufficient governmental appropriations and
as the result of inmate disturbances; (iv) increases in costs to
construct or expand correctional facilities that exceed original
estimates , or the inability to complete such projects on schedule as a
result of various factors, many of which are beyond the Company's
control, such as weather, labor conditions and material shortages,
resulting in increased construction costs; and (v) general economic
and market conditions.

successes nfa

"This means we will be able to make better decisions
about inmates and enhance public safety. The four-year contract , awarded as part of the
Criminal Alien Requirement-Phase 4 solicitation, also provides for
three (3) two-year renewal options.

rosebud rehabilitating

offenders reintegrating

Secretary Beard also discussed collaborative efforts with the Parole
Board.

About the Company

CCA is the nation's largest owner and operator of privatized
correctional and detention facilities and one of the largest prison
operators in the United States , behind only the federal government and
three states.

offending nfa

, Corrections Secretary Jeffrey A.

outward realizing

CAMP HILL, Pa., told the House Appropriations Committee today that Governor
Edward G.6 percent, or $48 .
Additionally, the corrections secretary highlighted a number of efforts
focusing on re-entry and aftercare efforts, such as working with:
-- The Department of Labor + Industry and its career link program to help
inmates get jobs;
-- PennDOT and the Social Security Administration to see that inmates
have identification for employment and benefit purposes;
-- The Department of Public Welfare and the SSI to ensure that inmates
with serious medical and /or mental health problems have benefits to
enable them to receive critical services upon release; and,
-- The Veterans Administration to make certain that inmates who qualify
for, and have a need, can access services.----Corrections
Corporation of America ("CCA") (NYSE:CXW ), the nation's largest
provider of corrections management services to government, received on
May 25, 2005, a Notice to Proceed from the Federal Bureau of Prisons
("BOP") to begin performance of services on June 1, 2005, in regard to
CCA's contract with the BOP to manage inmates at the Company 's
2,016-bed Northeast Ohio Correctional Center. In
addition to providing the fundamental residential services relating to
inmates, the Company's facilities offer a variety of rehabilitation
and educational programs, including basic education, religious
services, life skills and employment training and substance abuse
treatment. These services are intended to reduce recidivism and to
prepare inmates for their successful re-entry into society upon their
release. The Company also provides health care (including medical,
dental and psychiatric services), food services and work and
recreational programs.
The Company takes no responsibility for updating the information
contained in this press release following the date hereof to reflect
events or circumstances occurring after the date hereof or the
occurrence of unanticipated events or for any changes or modifications
made to this press release or the information contained herein by any
third-parties, including, but not limited to, any wire or internet
services.

realizing prisoners

A Notice to Proceed
serves as the last official procedure in the federal contract award
process.

rehabilitating successes

The beds are in $2.
Instead of returning technical parole violators to state prisons, one
initiative, the secretary said, would divert low-risk offenders who violate
the conditions of their parole to programs in the department's community
corrections centers . Under provisions of the award, CCA could earn revenues of
up to approximately $129 million in the aggregate during the first
four years of the contract.

incarcerated rosebud

rehabilitating misuse

Beard, Ph. "This legislation provides for the
certainty of incarceration, but for a shorter period with an emphasis on
having offenders successfully address the drug and alcohol problems that were
a factor in causing them to offend.

On December 23, 2004, the BOP awarded CCA the contract to manage
an estimated 1,195 low-security federal inmates at the Northeast Ohio
facility located in Youngstown, Ohio, with a provision to manage up to
1,374 federal inmates.

Forward-Looking Statements

This press release contains statements as to the Company's beliefs
and expectations of the outcome of future events that are
forward-looking statements as defined within the meaning of the
Private Securities Litigation Reform Act of 1995.

Programs dealing with rehabilitation within the prison.

misuse offenders

Corrections Secretary Testifies Before House Appropriations Committee

"This budget proposal is a strong one that allows the Department of
Corrections to keep pace with the ever-changing environment in which we work,
while allowing for the successful sharing of information and development of
re-entry programs for inmates ," Beard said.us. These
forward-looking statements are subject to risks and uncertainties that
could cause actual results to differ materially from the statements
made.

springboard 218

Individuals interested in reading the secretary's testimony should visit
the Department of Corrections' website at http: //www.

Corrections Corporation of America Receives Final Notice to Proceed from Federal Bureau of Prisons

The Company specializes in owning, operating and managing prisons and
other correctional facilities and providing inmate residential and
prisoner transportation services for governmental agencies.

stresses realizing

outward springboard

Marshals Service at the Northeast Ohio Correctional Center.