SANTA ANA, Calif., Nov. 30, 2010 /PRNewswire-FirstCall/ --
Corinthian Colleges, Inc. (Nasdaq: COCO) announced today that
Peter Waller has resigned as chief
executive officer and as a member of its board of directors.
The Board has appointed Jack D.
Massimino as the new chief executive officer, effective
immediately. Massimino will also continue to serve as
chairman of the board.
Massimino served as CEO from November
2004 until July 2009, when he
was named executive chairman of the board. He has served on
the Board since 1999.
"In Jack Massimino, we have a committed, energized and proven
CEO," said Terry Hartshorn, lead
independent director. "He has served in the position
previously, knows the company and the industry well, and we are
pleased that he has agreed to help ensure the success of our
strategic direction and the continuity of our operations at this
time. Though Corinthian, like the rest of the industry, faces
significant challenges in the current economic and regulatory
environment, the company fills a critical need in workforce
training and economic recovery in the regions it serves. The
Board thanks Peter for his contributions to the company and wishes
him the best in his future endeavors."
"I am fully committed to leading Corinthian at this pivotal time
in the company's history," Massimino said. "The key to our
success has been and will continue to be putting students first.
Our executive team is working diligently to improve the value
we bring to students, strengthen operations, and reduce regulatory
risk. Given the vital importance of career education in the
economy and in the lives of students we serve, we remain confident
in the company's long term growth prospects. Further, we have
the balance sheet and liquidity needed to adapt to a changing
regulatory environment."
Conference Call Today
We will host a conference call today from 4:30 p.m. – 5:00 p.m.
Eastern Time (1:30 p.m. –
2:00 p.m. PT), to discuss the
management transition. The call will be open to all
interested investors through a live audio web cast at www.cci.edu
(Investor Relations/Webcasts & Presentations) and
http://www.companyboardroom.com/ www.streetevents.com. The call
will be archived on www.cci.edu after the call. A telephonic
playback of the conference call will also be available through
5:00 p.m. ET, Tuesday, December 7, 2010. To hear the
replay, dial (888) 286-8010 (domestic) or (617) 801-6888
(international) and enter pass code 63020845.
About Corinthian Colleges
Corinthian is one of the largest post-secondary education
companies in North America. Our
mission is to change students' lives. We offer diploma and degree
programs that prepare students for careers in demand or for
advancement in their chosen fields. Our program areas include
health care, business, criminal justice, transportation technology
and maintenance, construction trades and information technology. We
have 122 Everest, Heald and WyoTech campuses, and also offer
degrees online. For more information, go to
http://www.cci.edu/.
Certain statements in this press release may be deemed to be
forward-looking statements under the Private Securities Litigation
Reform Act of 1995. The company intends that all such
statements be subject to the "safe-harbor" provisions of that Act.
Such statements include, but are not limited to, those
regarding our beliefs and expectations regarding the Company's
long-term growth prospects, balance sheet and liquidity to adapt to
a changing regulatory environment. Many factors may cause the
company's actual results to differ materially from those discussed
in any such forward-looking statements or elsewhere, including:
potential negative effects from our decision to discontinue
enrolling ATB students, the uncertain outcome of the Department of
Education's rule making and recently promulgated rules and the
pending inquiries by the Senate HELP committee, either or both of
which could result in changes in federal regulation and legislation
as well as changes in the manner in which we conduct our business;
the company's effectiveness in its regulatory and accreditation
compliance efforts; the Company's potential inability to manage the
default rates of its students on their federal student loans; the
outcome of ongoing reviews and inquiries by accrediting, state and
federal agencies; the outcome of pending litigation against the
company; risks associated with variability in the expense and
effectiveness of the company's advertising and promotional efforts;
the uncertain future impact of the company's new student
information system; potential increased competition; bad debt
expense or reduced revenue associated with requesting students to
pay more of their educational expenses while in school; the
potential inability or failure of the company to employ
underwriting guidelines that will limit the risk of higher student
loan defaults and higher bad debt expense; changes in general
macroeconomic and market conditions (including credit and labor
market conditions, the unemployment rate and the rates of change of
each such item); and the other risks and uncertainties described in
the company's filings with the U.S. Securities and Exchange
Commission. The historical results achieved by the company are not
necessarily indicative of its future prospects. The company
undertakes no obligation to publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise.
Contacts:
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Investors:
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Media:
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Anna Marie Dunlap
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Kent Jenkins
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SVP Investor
Relations
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VP Public Affairs
Communications
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714-424-2678
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202-682-9494
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SOURCE Corinthian Colleges, Inc.