Thread regarding Grand Canyon University layoffs

"The Enron of education"

https://seekingalpha.com/news/3535207-citron-unloads-on-grand-canyon-education

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Post ID: @OP+13fXTg29

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"Citron was shocked and immediately submitted a FOIA, through which we received 870 pages of supporting documentation that ledtothe obvious conclusion that LOPE is in clear violation of SEC rule 10b-5 as they use the private university to dump expenses and liabilities, while receiving a disproportionate amount of revenue at inflated margins in order to artificially inflate the stock price.Citron’s finding was validated by the Department of Education which reached the same conclusion."

https://citronresearch.com/wp-content/uploads/2020/01/LOPE-The-Educational-Enron.pdf

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Post ID: @hnr+13fXTg29

Vultures are circling...shareholder lawsuits piling up

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Post ID: @wja+13fXTg29

"So while LOPE is telling shareholders that the financial condition at GCU is healthy because they are repaying its debt, theyare concealing that: • This is NOT being paid from FCF, it is being paid from raising more and more secured debt from both LOPE (CapEx/ AR) and other creditors (UCC Filings) • GCU itself is burning a significantamount of cash per year and is only being kept afloat by the “CapExloan”, the Accounts Receivable “loan”, and continued debt raises securing everything from all property, to intangibles, to the equipment at the University itself (see other UCC filings) • By our estimate (more on this later), GCU currently has over $1.2 billion of gross debt, a ~$100mm Accounts Payable balance, zero net income, and burning $100mm+ of cash per year!"

https://citronresearch.com/wp-content/uploads/2020/01/LOPE-The-Educational-Enron.pdf

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Post ID: @loj+13fXTg29

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