China Finance

Oct 17 2017

ITT Educational Services, Inc # #itt #educational #services, #inc., #investor #relations #


#

News Releases

ITT Educational Services, Inc. to Cease Operations at all ITT Technical Institutes Following Federal Actions

CARMEL, Ind. Sept. 6, 2016 /PRNewswire / — Today, ITT Educational Services, Inc. released the following statement:

It is with profound regret that we must report that ITT Educational Services, Inc. will discontinue academic operations at all of its ITT Technical Institutes permanently after more than 50 years of continuous service. With what we believe is a complete disregard by the U.S. Department of Education for due process to the company, hundreds of thousands of current students and alumni and more than 8,000 employees will be negatively affected.

The actions of and sanctions from the U.S. Department of Education have forced us to cease operations of the ITT Technical Institutes, and we will not be offering our September quarter. We reached this decision only after having exhausted the exploration of alternatives, including transfer of the schools to a non-profit or public institution.

Effective today, the company has eliminated the positions of the overwhelming majority of our more than 8,000 employees. Our focus and priority with our remaining staff is on helping the tens of thousands of unexpectedly displaced students with their records and future educational options.

This action of our federal regulator to increase our surety requirement to 40 percent of our Title IV federal funding and place our schools under Heightened Cash Monitoring Level 2, forced us to conclude that we can no longer continue to operate our ITT Tech campuses and provide our students with the quality education they expect and deserve.

For more than half a century, ITT Tech has helped hundreds of thousands of non-traditional and underserved students improve their lives through career-focused technical education. Thousands of employers have relied on our institutions for skilled workers in high-demand fields. We have been a mainstay in more than 130 communities that we served nationwide, as well as an engine of economic activity and a positive innovator in the higher-education sector.

This federal action will also disrupt the lives of thousands of hardworking ITT Tech employees and their families. More than 8,000 ITT Tech employees are now without a job – employees who exhibited the utmost dedication in serving our students.

We have always carefully managed expenses to align with our enrollments. We had no intention prior to the receipt of the most recent sanctions of closing down despite the challenging regulatory environment that now threatens all proprietary higher education. We have also always worked tirelessly to ensure compliance with all applicable laws and regulations, and to uphold our ethic of continuous improvement. When we have received inquiries from regulators, we have always been responsive and cooperative. Despite our ongoing service to this nation’s employers, local communities and underserved students, these federal actions will result in the closure of the ITT Technical Institutes without any opportunity to pursue our right to due process.

These unwarranted actions, taken without proving a single allegation, are a lawless execution , as noted by a recent editorial in The Wall Street Journal. We were not provided with a hearing or an appeal. Alternatives that we strongly believe would have better served students, employees, and taxpayers were rejected. The damage done to our students and employees, as well as to our shareholders and the American taxpayers, is irrevocable.

We believe the government’s action was inappropriate and unconstitutional, however, with the ITT Technical Institutes ceasing operations, it will now likely rest on other parties to understand these reprehensible actions and to take action to attempt to prevent this from happening again.

SOURCE ITT Educational Services, Inc.

For further information: Nicole Elam, ITT Educational Services, Inc. 13000 N. Meridian St. Carmel, Ind. 46032, 317-706-9200

(1) Not every institute has every school of study or offers all of the programs within a particular school of study. Please refer to the specific ITT Technical Institute catalog for details on the schools of study and programs of study offered at that institute.

(2) Not all ITT Technical Institutes offer Bachelor degree programs, and not all ITT Technical Institutes that offer Bachelor degree programs offer all the Bachelor degree programs. Not all ITT Technical Institutes offer all of the Associate degree programs. Please refer to the particular ITT Technical Institute’s school catalog for a complete listing of the programs of study offered at that institute. Not all ITT Technical Institutes offer programs of study that include courses taught through distance education over the Internet. Please refer to the particular ITT Technical Institute’s school catalog for details on whether any program courses are taught through distance education over the Internet.

(3) All online programs are offered by the ITT Technical Institute at 9511 Angola Court, Indianapolis, IN.

Go to programinfo.itt-tech.edu to access information on the programs of study offered at the ITT Technical Institutes, including, among other things:

  • the occupations (by name and Standard Occupation Classification (“SOC”) codes) that each program of study can help students prepare to enter, along with links to occupational profiles on O*NET (or its successor site) associated with the SOC codes;
  • the on-time graduation rate for students who have completed each program of study;
  • the costs associated with each program of study;
  • the placement rate for students who completed each program of study;
  • the median loan debt incurred by students who completed each program of study; and
  • any other information that the U.S. Department of Education provided to the ITT Technical Institutes about any program of study.


Written by admin


Leave a Reply

Your email address will not be published. Required fields are marked *