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Corinthian Colleges to sell 2 WyoTech campuses

06/19/2012

Reuters - June 19, 2012

Corinthian - known for its Everest, Heald and WyoTech campuses - said it would sell its WyoTech campuses in Sacramento, California and Daytona Beach, Florida.

WyoTech campuses offer courses in automotive training.

The company - hit the most in the new regulatory environment that has plagued for-profit colleges for more than a year - is shutting and selling campuses to cut student debt default rates.

High student debt at its colleges can increase the risk of losing access to federal student aid, which accounts for a majority of the company's revenue.

Corinthian said until the sale was completed, the two WyoTech campuses will be accounted for as discontinued operations. It expects to take a related charge in the fourth quarter.

It is already in the process of selling four Everest campuses and shutting three Everest campuses.

Shares of the company closed at $2.56 on Monday on the Nasdaq.