pollo Education Group Inc.'s stock APOL, -2.02% tumbled 8.2% in premarket trade Wednesday, after the for-profit education company disclosed in a regulatory filing that it received on Tuesday a civil investigative demand from the U.S. Federal Trade Commission. The selloff puts the stock on track to open at a 15-year low. Apollo said it is required to produce documents and information regarding the business practices of its wholly-owned subsidiary, University of Phoenix. The FTC's demand is related to an investigation to determine whether people or companies have engaged in deceptive practices in advertising or the sale of secondary or postsecondary educational products or services. Apollo said it plans to cooperate fully with the FTC. The stock has plunged 61% year to date through Tuesday, while the S&P 500 SPX, +0.36% has gained 1.7%.
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Employees have been made to sign something that states they are not allowed to delete any emails or put any papers in the shred bins anymore because of this investigation. Wow...I hope they finally find all the dirt and shady crap managers and directors spew.
This news is worse for enrollment than all the tiny bs micromanager "ideas" that were tried and failed by the "leaders" who were only "leaders" because they had graduated from this place. Unbelievable that a place that tried to educate people to run business could not run it's own. My last 5 years at a campus were only because I had started to earn ok $ and it was a great form of entertainment to watch the funny, stupid management try just about everything in order to appear hard working. John Sperling is the one laughing. With all the $ he pulled out of this thing, he could buy all the stock back 10 or more times.
Still tumbling! LOL Bye fake school.
The stock will be single digits by fall, perhaps sooner. UOP should know this is the beginning of the end. I predict the VA will shut the spigot off in the weeks to come.