1. SBG
THE BUSINESS OF HIGHER EDUCATION:
A Look at One of the Fastest Growing
Segments of the U.S. Economy
December 14, 2011
Growth, Quality and Profitability
Student Success is Our Success

2. The For-Profit Higher Education Sector
1
Revenue for all postsecondary education $462B
Revenue for all postsecondary for-profit education $51B 1
Compound Annual Growth Rate (CAGR) expected 5.8% 1
through 2014
Number of students enrolled in private for-profit 2.6M 2
institutions
1. BMO Capital Markets, Education and Training, September 2011
2. National Centers for Education Statistics, Fall 2006
Student Success is Our Success

3. Academic Verticals in the For-Profit Higher
Education Space:
• Business
• Culinary
• Healthcare
• Justice & Law
• Technology
• Trades/Transportation
• Interior Design/Graphic Design
Student Success is Our Success

4. Levers of Our Business
Student
Retention
&
Graduation
Student Placement
Financial of
Aid Graduates
Student
Enrollments, Staff
Recruitment
Re-Entries
&
& Overall Development
Population Regulatory
Compliance
1. Federal
2. State
3. Accreditation
Growth, Quality and Profitability
Student Success is Our Success

5. IEC’s High Level Key Facts
 History of the Company
 15 Campuses in Three States
 15,000 Students
 2,000 Employees
 Fully Accredited
 2008 through 2011 Revenue CAGR: 56.1%
2008 through 2011 EBITDA CAGR: 89.7%
Student Success is Our Success

6. IEC Academic Verticals
Program Level Healthcare Business Justice Technology Transportation
Computer
Medical Business Office Criminal Automotive
Diploma Systems
Assistant Administration Justice Technician
Technician
Dental
Diploma
Assistant
Medical
Billing &
Diploma
Insurance
Coding
Massage
Diploma
Therapy
Pharmacy
Diploma
Technician
Vocational
Diploma
Nursing
Associate AAS Business
Degree Management
Student Success is Our Success

7. IEC’s Overall Business Thesis:
 Be the best career education provider within the
diploma granting space offering healthcare, business,
technology and transportation programs.
 Dominate each geographic region with growth rate,
size and quality.
 Acquire colleges and Add new branches in
complimentary markets offering the same programs.
 Expand geographically leveraging existing platform
and management
Student Success is Our Success

8. IEC’s Target Market & Marketing Philosophy
 Young adult, low household income, non-university bound
and in search of skills to secure employment.
 Direct-response advertising approach, very little time and
money spent on branding.
 Clustered approach to leverage the advertising
investment, in particular, television advertising
Student Success is Our Success

9. Largest Players in the For-Profit Higher Education Space
Market Funded Corporations Privately Held Corporations
NAME OF INSTITUTION NAME OF INSTITUTION
Apollo Group, Inc. International Education Corporation
DeVry ALTA
Education Management Corp.
Keiser University
Strayer Education, Inc.
Remington Colleges
ITT Educational Services, Inc.
Career Education Corporation Brightstar Education
Bridgepoint Education, Inc. ATI
Student Success is Our Success

10. This is a FANTASTIC time
to be with IEC!
Happy
Holidays!!
Student Success is Our Success