for nightly business report.
>>> scott cohn has covered the
prison system for years and join
us now from san jose, scott,
always good to have you join us.
we saw the severe reaction in
the stock market, but what is
the real impact likely to be for
these companies from your
vantage point?
>> sue, it m not be as severe
as the stock price would
suggest.
it's a material impact on these
companies, make no mistake.
corrections corporation of
america, cca, says this is about
7% of its revenue, so about $125
million on a $1.8 billion a year
company.
and the government is not
totally getting out of the
private prison business
overnight, they're phasing these
contracts out.
there is still business for
these companies in a couple of
areas.
number one, they're operating
reentry facilities that are the
no going away, basically getting
prisoners back into the general
population, the public.
and also immigration detention,
which is under department of
home land security, that's not
going away.
and...