THE WOODLANDS, TX -- (Marketwired) -- 10/17/16 -- Target Logistics Management, LLC ("Target Logistics"), a global provider of workforce housing and one of the largest operators of turnkey solutions in North America and a subsidiary of Algeco/Scotsman Holding S.à r.l. (together with its subsidiaries, "Algeco Scotsman"), announced today that it has agreed to modify its Lease and Services Agreement with Corrections Corporation of America ("CCA") regarding the South Texas Family Residential Center.
With the agreement to modify, Target Logistics will continue to sublease and provide services at the South Texas Family Residential Center to CCA in Dilley, Texas, as it has since 2014. The modification provides for a lower monthly payment commencing in November 2016, with a new term extending 5 more years through September 2021, subject to similar termination provisions upon notice from CCA in the event that CCA's contract for the provision of residential services to U.S. Immigration and Customs Enforcement ("ICE") is terminated.
"We are honored by the confidence that CCA has shown in us by extending their agreement to 2021 on the South Texas Family Residential Center," said Target Logistics President and Chief Operating Officer Brad Archer. "It is with great pride that we extend our relationship with one of our key customers."
The South Texas Family Residential Center is a one-of-a-kind project developed and built specifically to fit customer needs. The facility is comprised of 423,000 sq. ft. of housing space, 6 other structures and 2,400 beds. Also on site are classrooms, a library, chapels, an infirmary with full medical, dental, pharmaceutical and x-ray capabilities, a dining hall, offices and an industrial laundry center.
Target Logistics operates 18 properties in the United States and Canada with more than 8,100 total beds.
Cautionary Notice Regarding Forward Looking Statements
This press release may contain forward-looking statements, which reflect Target Logistics' and Algeco Scotsman's expectations regarding future operational and financial performance. Although any forward-looking statements contained in this press release reflect management's current beliefs based upon information currently available to management and upon assumptions which management believes to be reasonable, actual results may differ materially from those stated in or implied by these forward-looking statements. A number of factors could cause actual results, performance or achievements to differ materially from the results expressed or implied in any forward-looking statements. These factors should be considered carefully and readers should not place undue reliance on any forward-looking statements. Except as required by law, Target Logistics and Algeco Scotsman undertake no obligation, and specifically decline any obligation, to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
About Target Logistics
Target Logistics, an Algeco Scotsman company, is one of the largest providers of turnkey housing solutions in North America. It operates globally in some of the most remote environments, supporting oil, gas and mining with workforce housing, mobile crew camps and extended-stay hotels; government departments and organizations with temporary lodging and refugee integration; and capital projects. Target Logistics was named by Inc. magazine in 2012 and 2013 as one of "America's Fastest Growing Private Companies." Visit www.TargetLogistics.net or call (800) 832-4242.
About Algeco Scotsman
Algeco Scotsman is the leading global business services provider focused on modular space, secure portable storage solutions, and remote workforce accommodation management. Headquartered in Baltimore, Algeco Scotsman has operations in 25 countries with a modular fleet of approximately 275,000 units. The company operates as Williams Scotsman and Target Logistics in North America, Algeco in Europe, Elliott in the United Kingdom, Ausco in Australia, Portacom in New Zealand, and Algeco Chengdong in China.
Investor Relations Contact:
Scott Shaughnessy
Vice President, Finance
Algeco Scotsman
410-933-5921
Scott.Shaughnessy@as.willscot.com
Target Logistics Media Inquiries:
Travis Lawson
Pierpont Communications on behalf of Target Logistics
(713) 627-2223
tlawson@piercom.com
