Thread regarding Corinthian Colleges Inc. layoffs

All these claims that CCi will remain lack one major issue: Unlike cockroaches, Spam and Twinkies, CCi needs cash. With revenues going down faster than expenses are being cut, and now that CCi has "breached the covenants" of their debt, where is the cash going to come from? I sort of laugh at the idea that CCi is going to sell Genesis loans to some buyer. According to the report, potential buyers are "in the due diligence phase." I wonder what impact the breach of covenants on their other debt will have on the due diligence. "We expect to complete the RFP process by the end of June. During the RFP process, we have reinstituted our company-financed Genesis loan program until a replacement program can be implemented. Subject to negotiating acceptable terms with a potential buyer(s), we intend to sell the majority of loans generated by our loan program prior to the end of the current fiscal year. If successful, a sale of of these loans will help offset the cash flow impact of funding the loans ourselves." Oh, so now you blame your lack of cash on internal financing? Ok, I understand that, but I do have one question--Why has student notes receivable gone down? It would appear that these new loans, which are to relieve your lack of cash, are less than the June 30, 2013 level. Oh, and over 20% of your assets are Goodwill from the purchase of Heald. I'm waiting to see your impairment test, which is due by the end of June. From the posts here, on thelayoff.com, I suspect there may be another ~$100 to $200M charge, in addition to the recent ~$75M loss of tax benefit charge. As a reminder to those who might not remember, which seems to be most of the company, since the turnover rate is so high, CCi took a $220 Million impairment in FY2011, mostly regarding lack of future value. However about $200M in goodwill remained in Heald college. From the 2011 annual statement, "As a result of the analysis, we determined that the current fair value of the goodwill in certain of our reporting units was $0, and accordingly recorded an impairment charge of $203.6 million, the majority of which was non-deductible for tax purposes, in the three and six month periods ended December 31, 2010. To the extent known, the Company incorporated the risks associated with regulatory compliance into the cash flow forecasts and discount rates used to estimate the fair value of each of its reporting units at December 31, 2010. However, should the Company need to take additional actions not currently foreseen to comply with current and future regulations, the assumptions used to calculate the fair value of our reporting units, including estimation of future cash flows, revenue growth, and discount rates, could be negatively impacted and could result in an impairment of goodwill or other intangible assets. The remaining goodwill of $197.9 million relates to the Heald acquisition in January 2010. The Company performed its required annual impairment test for goodwill and other non amortizable intangible assets and concluded that book value was below fair market value and accordingly no additional impairment existed at June 30, 2011."