CoreCivic Investor Presentation Q4 2020
1
CoreCivic Has Announced Plan to Revoke its REIT Election
Company began operating as a C-Corp effective
January 1, 2021
-
-
Cash dividend discontinued in 2020
Refocus of the Company's capital allocation strategy
C-Corp structure will strengthen balance sheet,
create long-term shareholder value and expand
growth opportunities
-
-
-
Accelerated deleveraging and ultimately a refinancing of
the Company's bank facility that matures in 2023
Lowers cost of capital by reducing reliance on expensive
capital markets financing
Unlocks significant free cash flow to create shareholder
value via repaying debt, repurchasing stock, and
internally funded capital expenditures
Conversion Creates Substantial Free Cash Flow For Capital Management
Free Cash Flow Generation
C-Corp
conversion
unlocks
significant free
cash flow
potential
$875mm+ in Incremental
Free Cash Flow1
Available for delivering, shareholder returns and growth opportunities
Significant Capacity to Delever
3.7x
2.5x
Current Leverage Ratio
Target Leverage Ratio
6
Incremental free cash flow calculated as annual dividends less assumed 28.5% tax rate on annual pre-tax income; historical analysis includes cumulative impact from FY2015 – FY2019
|View entire presentation