S&P affirms GEO Group

Standard & Poor's said it affirmed its ratings on The GEO Group (formerly known as Wackenhut Corrections Corp.), including the B+ corporate credit rating, B senior unsecured rating, and BB- senior secured debt rating.

The outlook is stable.

S&P said the ratings action follows the company's reduction of $43 million in debt with proceeds obtained from the recent sale of its U.K. joint venture Premier Custodial Services Ltd.

S&P said the ratings on GEO reflect its narrow business focus, limited size, customer concentration, and leveraged financial profile. Somewhat mitigating these factors are the company's favorable market position and demographic trends that could increase the size of the prison population.

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