Thread regarding Corinthian Colleges Inc. layoffs

The annual report comes out next Monday. Don't expect too much besides the obvious. You will have substantial layoffs at corporate probably with a severance package. You are going to see attempts of "pass the buck" by complaining of "an increasing negative regulatory environment". "Expense control" will be another buzz word. The market has priced in a poor quarter and annual report so don't expect a massive drop from the $2.16 stock market price. You might see phrases such as "meeting new Federal and state requirements" which is a diplomatic way of saying "If your campus has too high of a Federal Student Loan default rate then you are likely to be closed". If you are working at a CCI campus then you can't do very much. The fundamental issue being that potential consumers being future students are more and more aware that CCI is a ripoff can't be addressed. The 2007 to 2011 boom of expanding student enrollments because student want to improve their job prospects has the downside of graduates from 2008 to 2010 having NO jobs along with massive student loan debt. Even worse from CCI's perspective is that the general public is becoming aware that for profit schools are a ripoff. If you are in CCI sales (eg counselors, admissions, etc.) then be aware that it is not your fault that you can't close the sale. The potential customers are starting to become a lot more savvy.