Sent: Monday, January 12, 2015 9:39 pm
January 12, 2015
To Prospective Employees – Zenith Education Group
From both CEOs
Thanks to the round-the-clock efforts of the transaction and integration teams on both sides, we continue to make excellent progress toward closing the sale of 56 schools to Zenith Education Group (subsidiary of ECMC Group). Thus far, we have received the necessary approvals to close the transaction in all but a few states, and we expect to receive those approvals in the next few days. In addition, the transition of major vendor contracts to ECMC/Zenith is well underway. For example, the majority of campus and administrative site leases have been re-assigned to ECMC/Zenith, effective with the closing date of the sale.
In the human resources (HR) area, ECMC has completed its pre-closing review of benefit plans for CCi employees who will be transitioning to Zenith or ECMC. As we have communicated previously, most HR policies and benefits will remain unchanged, including healthcare, dental, vision, vacation, and sick leave. We are working together to finalize life and disability insurance offerings for employees. CCi 401(k) plan participants moving over to Zenith/ECMC will be given the opportunity to participate in a new 401(k) plan effective in April. More details about the plan will be made available after we close the sale.
This past week we reviewed the remaining work to be done on the transaction and now anticipate that the sale will close on Monday, February 2 for most schools. Based upon that date, ECMC/Zenith plans to send individualized offer letters to prospective Zenith/ECMC employees during the week of January 26. For Everest College Phoenix and Everest Rochester schools and employees, we continue to expect a close sometime in March; offer letters to employees will be sent a few days prior to the close date for these institutions.
Both of us continue to be enthusiastic about this transaction and the opportunities it will create for students and employees alike. We appreciate your continued patience as we work through the final few weeks of closing the sale. Acquisitions are never easy, and given the overlay of regulatory issues, this one has been particularly complicated. Thank you again for keeping our schools running and our students focused on their educational programs during a challenging time.