Extension of contract to operate Acacia Prison
Extension of contract to operate Acacia Prison in Western Australia
24 February 2016
Serco Group plc (Serco), the international service company, has extended its contract with the Western Australian Government to operate Acacia Prison for a further five years, to May 2021. The total value of the contract extension, signed today, is expected to be £166m (A$324m) over the five year period.
Serco has run Acacia prison since 2006 and this extension has been exercised by the Western Australian Government under the original contract. Acacia is Australia's largest prison, housing 1,395 prisoners. Today's agreement has an option to increase prisoner numbers by a further 100.
The Western Australian Economic Regulation Authority recently found Acacia Prison, the only private-sector adult prison in Western Australia, to be the most efficient prison in the state with the cost per prisoner per day, 44% less than the average. With its focus on security, safety and rehabilitation of prisoners, the prison has had a strong operating track record and has already recently been expanded with the addition of new capacity.
Rupert Soames, Serco Group Chief Executive Officer, said: "I am delighted that the Western Australian Government has chosen to extend their contract with Serco for the operation of Acacia prison. This announcement is not only an endorsement of the work our team at Acacia do, but also of Serco's ability as a prison operator, focusing on the rehabilitation of prisoners and efficient management of prisons, in Australia and elsewhere."
Ends
For further information please contact Serco:
Stuart Ford, Head of Investor Relations T +44 (0) 1256 386 227
Marcus De Ville, Head of Media Relations T +44 (0) 1256 386 226
About Serco
Serco is a leading provider of public services. Our customers are governments or others operating in the public sector. We gain scale, expertise and diversification by operating internationally across five sectors and four geographies: Defence, Justice & Immigration, Transport, Health and Citizen Services, delivered in UK & Europe, North America, Asia Pacific and the Middle East.
More information can be found at www.serco.com
Forward looking statements
This announcement contains statements which are, or may be deemed to be, "forward looking statements" which are prospective in nature. All statements other than statements of historical fact are forward looking statements. Generally, words such as "expect", "anticipate", "may", "should", "will" and similar expressions identify forward looking statements. By their nature, these forward looking statements are subject to a number of known and unknown risks, uncertainties and contingencies, and actual results and events could differ materially from those currently being anticipated as reflected in such statements. Factors which may cause future outcomes to differ from those foreseen or implied in forward looking statements include, but are not limited to: general economic conditions and business conditions in Serco's markets; contracts awarded to Serco; customers' acceptance of Serco's products and services; operational problems; the actions of competitors, trading partners, creditors, rating agencies and others; the success or otherwise of partnering; changes in laws and governmental regulations; regulatory or legal actions, including the types of enforcement action pursued and the nature of remedies sought or imposed; the receipt of relevant third party and/or regulatory approvals; exchange rate fluctuations; the development and use of new technology; changes in public expectations and other changes to business conditions; wars and acts of terrorism; and cyber-attacks. Many of these factors are beyond Serco's control or influence. These forward looking statements speak only as of the date of this announcement. Past performance should not be taken as an indication or guarantee of future results and no representation or warranty, express or implied, is made regarding future performance. Except as required by any applicable law or regulation, Serco expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any forward looking statements contained in this announcement to reflect any change in Serco's expectations or any change in events, conditions or circumstances on which any such statement is based after the date of this announcement, or to keep current any other information contained in this announcement. Accordingly, undue reliance should not be placed on the forward looking statements.
This information is provided by RNS
Latest directors dealings
- 19 hours ago Savannah Energy
- 20 hours ago Buccaneer Energy PLC
- 20 hours ago Savannah Energy
- 21 hours ago Carclo
- 21 hours ago Schroder Japan Growth Fund