Equity Research on ITT Educational Services Inc. and Career Education Corp. - Education and Training Services Sector Faces Regul
June 08 2011 - 8:37AM
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ITT Educational Services
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The for-profit education sector has fallen under wide scrutiny
lately for its practice of graduating students with large amounts
of debts and little actual chance of acquiring commensurate
employment. Harsh regulations were expected from the Department of
Education that were even thought to include a moratorium on student
financial aid to institutions that failed to show certain
percentages of gainful employment among their graduates. Get
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Inc. and Career Education Corp. from
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While the moratorium is still a potential consequence, the good
news has been that companies will have several years to right
themselves before having their funding removed. Also, the final
version of the regulation is not nearly as stringent as its
original versions. The latest version has lowered the amount of
statistical tests a school must pass in regards to debt loads and
repayment to one out of three.
These new rules, which are slated to go into effect on July 1st,
2012, are obviously engendering a mild sigh of relief from
companies in the Education and Training services sector like ITT
Educational Services Inc. and Career Education Corp. The sector has
also seen some benefit because the uncertainty surrounding the
situation appears to have dissipated for the time being. While the
sector is still likely to oppose the regulations, there is some
hope that the improving employment environment will provide some
relief to their statistical woes. ITT Educational
Services Inc. and Career Education Corp.
reports are accessible for free by registering today at
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stocks research reports are available for free by signing up now on
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