News Release

NASHVILLE, Tenn.--(BUSINESS WIRE)--May 4, 2001--Corrections Corporation of America (NYSE: CXW) has received notification from the Federal Bureau of Prisons that an award in the amount of $520,000 will be given to the Company, over and above its standard contracted fees from the Federal Bureau of Prisons (BOP), for "optimum performance" of two CCA facilities above contracted goals. The Eloy Detention Center in Eloy, Arizona will be awarded $285,000; the California City Correctional Center in California City, California will receive $235,000.

"This achievement by the employees at CCA's California City and Eloy facilities reflects their dedication and professionalism in delivering the highest quality of correctional services that have come to be expected from the industry leader," said John Ferguson, President and Chief Executive Officer for CCA. "Additionally, this achievement is positive from a financial standpoint as these fees are in addition to the base price paid for these contracted services."

Eligibility for award fees is determined by the BOP based on a semi-annual evaluation of CCA's performance. The objective of the award provision of the contract, as noted by the BOP, is to afford the contractor, CCA, an opportunity to earn an award for exceeding the minimum provisions of the contract.

About the Company

CCA is the nation's largest provider of detention and corrections management services to federal, state and local governmental agencies with approximately 61,000 beds in 65 facilities under contract for management in the United States and Puerto Rico. The Company's full range of services includes management of new or existing jails and prisons for adults and juveniles, long distance transportation services and the design, construction and renovation of prison facilities.

Forward-Looking Statements

This press release contains statements that are forward-looking statements as defined within the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from the statements made. Factors that could cause operating and financial results to differ are described in the Company's Form 10-K, as well as in other documents filed with the Securities and Exchange Commission, and these factors include, but are not limited to, the growth of the private corrections and detention industry, the Company's ability to obtain and maintain facility management contracts and general market conditions. The Company does not undertake any obligation to publicly release the result of any revisions to forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.

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