I don't know why anyone is shocked by the closure. Last year when CCI announced that it had broken debt covenants was a big red flag the company was in serious trouble. Shortly after that. the DOE put CCI on heightened cash monitoring was another HUGE red flag. In July CCI agreed to sell or have a plan begin teaching out all campuses no later than December 31, 2014. How, on April 26, 2015, 117 days past the deadline, can anybody be shocked by an abrupt closing?
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Furloughs were a huge red flag too. If anyone asks you to work for free, find another employer. That's for suckers.
The people in management right down to campus management knew what was going down, yet they were able to sell many of the rank-and-file staff a bill of goods. Many are still spouting the "Heald was good. It was the rest of CCi," or "It was a government hatchet job." or some other nonsense. I think the most recent one was that the 947 career placement errors were an exaggeration and the only a few were actually fraudulent. Lying companies lie. It's what they do. Sure, the signs were there. The delisting was a huge one. As the AG's letter said, "Corinthian kept lying to the very end."
Even if they told you that, consider the source! These are not saavy business people. If you can't stay afloat for three weeks without the goverment money then obviously you have no operating capital. If you see in the news that the stock is DEVALUED and the company is being SUED who is going to buy a company that is not worth anything? That is the bottom line. No value, no buyers. And it was a long time coming.
I don't think I'm shocked so much that Heald's closed, but by HOW it closed. Why even start the quarter? I think many instructors and staff were actually convinced there would be a sale. (I wasn't, but many of our staff were.). As for wondering about why it had no scruples about teaching out back in January, well, unscrupulous companies do unscrupulous things.
I agree you'd have to be a real moron or a Pollyanna to be shocked. CCI should have stopped enrolling back then if they had any scruples so they could teach out the current students. Better to just screw everyone over I suppose.
ELT did a pretty good job of rasing and maintaining expectations that a sale of CA campuses was in the works. Shocked? No. Dissapointed? Absolutely.