Thread regarding Education Management Corporation layoffs

will there be severence packages for everybody? is there some way to sign up to get this? i am working for online but I want to make sure get the package if they close down online classes. Thanks.

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!!!!!

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Hey guys.... here that... were part of a brand!!! That's inspiring to my academic future.....uuuuuuuh.

I know that none of the schools are doing well with employment rates and what is expected for gainful employment. The head of Career Services is painting a rosy picture and not the reality. It is time that DOE open their eyes. On the inside everything is bare bones and ridiculous. Online is a huge money maker and they are not getting jobs. Stupid diploma programs..and sub par grads. Who does KKR and EDMC have in their a"back pocket"? The schools that are doing reasonably well should be sold and maybe they could exist under any other brand than EDMC. That brand has no future in my mind

I disagree with 4pqb. I don't think Trump will go after for profits but I don't think he'll help them either. After the bad press from Trump U he's not going to want to appear to be in bed with for profits.

All they have to do is hang on until January and they have a friendly administration.

Someone is smoking crack!!!

@KFwlqo5-3wlg, cash stream is not the same as profits. EDMC has enormous expenses. The "break even" point for individual schools may have been 400, but the schools with higher enrollments have to make up for the schools in teachout, as well as the hundreds of millions of dollars in fines and debt payments.

The math is for 400 students but I get the point... crazy profits.

Is it really that hard to figure out??? So let’s say for example a campus enrolls 50 students that only take 1 class. 20 undergrad, 20 graduate, and 10 doctoral; the total cost for these students to take one class comes out to $108,510. Then let’s plug those numbers into a campus with 350 students not including the 50 newly added sheep. Those 350 students who if we assume 250 are undergrad, 100 are graduate and 50 doctoral will pay $795,000 FOR 1 CLASS. So now take into consideration the 5 week model which is the cash cow model for these universities which mean students typically take 4 classes every fifteen weeks…. $795,000X4…. About $3 million every 5 weeks and that’s not taking into account new students. Oh and now multiply that for multiple campuses…. For those of you math geniuses you could probably figure out the campus I’m referring too and it will be fun to watch the guesses roll in

2xnb is obviously an admin and is a big part of the reason the school has sunk so low. Who better to tell us why EDMC is still in business. So tell us or stay off this site.

They only get federal money once a student attends and from what I can tell their enrollment is down significantly. How can they afford to stay open is very curious, considering the cost of leasing or renting property in major cities.

Because federal aid is a cash cow. So if/when a ballast point is found its easy guaranteed money.

camden has a good point- how are they still in business?...

2xnb-

Sit on it!!!!

Why so many haters? So the doors are not closed yet, yes there is a reason so either Get back to work and be thankful you have a job or for those who don't even work here anymore get a life and get off this sight.

@KFwlqo5-2fpm, if KKR is paying for the big losses, don't they have responsibilities to their investors? I cannot believe EDMC has many assets that can be sold off. At what point does an organization say "no more"? Or is the Department of Education working with KKR and EDMC behind the scenes on some kind of backroom deals to keep EDMC propped up? Some people claim that ED made a deal with ECMC to keep Everest Colleges going. Others claim that ED didn't follow through by giving ECMC the business (billions in additional student loan portfolios) that they were supposed to get.

Please god let it end.....

I've heard from a few CA EC members that there campus president is looking- that tells me the end is coming.

What's with all the racism?

In other words, it's over. Shut the place down.

@Camden - they're not making money, and they haven't for years. Prior to going private the'd lost $2bn over the previous 3 years. Enrollments have continued to decline since then, both new & continuing students. They're trying to hold on long enough for some other solution to appear, and KKR is trying to determine whether it's better to hold on in the hopes that they can transform it gradually into a leaner money-making machine or to accept it as a write-off. There's still enough potential for them to throw good money after bad, but no one who had high-level access to the financials thinks they'll still be around, or at least still be around in any recognizable state, in two years.

When is the public auction?

@KFwlqo5-2bbb, I am taking the numbers we do know from the last SEC documents. Then I am taking into account the corporate bond defaults (which did reduce their debt obligations) and the non-cancelable lease obligations. I am also taking into account the fines that EDMC owes the federal government and the states. Tell me what has improved with EDMC so that they could even come close to breaking even? They are paying on leases for schools that resemble ghost towns. And they are receiving much less in Title IV, DOD, and GI Bill funds as enrollment dwindles. Even if EDMC were breaking even (which is probably impossible) what assets does EDMC have to be able to pay just the hundreds of millions of dollars in fines and impending debt obligations?

Please illuminate us 2bbb. Tell us how EDMC is staying in business.

Business as usual... lazy white billionaires leaching off of society.

Just goes to show Camden, you're no business man. Keep sitting on the bench and commenting.

If our government wasn't overrun by a bunch of greedy mostly white male billionaires maybe we'd pass laws which wouldn't allow corporations to operate in the dark when they get 90% of their funding from the US TAXPAYER.

I don't know how you're going through the numbers when the books haven't been public since 2012.

The financial numbers don't make ANY sense. I just don't see how EDMC has had the capital to go this long. I understand that EDMC was able to reduce their debt by essentially defaulting on their loans and taking away all the value from their shareholders, but the numbers still don't make sense. Someone is losing hundreds of millions of dollars and no one is talking. This cannot be hidden much longer, can it?

AUOfor a brief moment looked to be headed in the right direction. Then Levi was brought back. It looked old boys club then Bob and Tony were promoted and there was hope again. But rumor has it they're filling management positions with rehashed AI failures. If those managers ruined one brand why give them a chance to ruin another. Just the same mistakes over and over.

It's only a matter of time Camden Kid & any idiot knows they're not long for this world with all of their unethical, shyster tactics. They were so big it takes a very long time to dissolve the worthless EDMC. 😃👏🏻👍🏻 Even the worthless leaders are biding their time on the titanic in hopes of a severance package. I know because I heard it straight from the horse's mouth.