THE BUSINESS OF HIGHER EDUCATION:

SBG

December 14, 2011

Growth, Quality and Profitability

Student Success is Our Success

A Look at One of the Fastest Growing Segments of the U.S. Economy

Student Success is Our Success

The For-Profit Higher Education Sector

Revenue for all postsecondary education $462B

Revenue for all postsecondary for-profit education $51B

Compound Annual Growth Rate (CAGR) expected through 2014

5.8%

Number of students enrolled in private for-profit institutions

2.6M

1. BMO Capital Markets, Education and Training, September 20112. National Centers for Education Statistics, Fall 2006

1

1

2

1

Student Success is Our Success

Academic Verticals in the For-Profit Higher Education Space:

• Business

• Culinary

• Healthcare

• Justice & Law

• Technology

• Trades/Transportation

• Interior Design/Graphic Design

Levers of Our Business

Student Success is Our Success

Growth, Quality and Profitability

Student Enrollments, Re-Entries & Overall

Population

Student Financial

Aid

Staff Recruitment

& Development

Placement of

Graduates

Regulatory Compliance1. Federal2. State3. Accreditation

StudentRetention

&Graduation

Student Success

Student Success is Our Success

IEC’s High Level Key Facts

History of the Company

15 Campuses in Three States

15,000 Students

2,000 Employees

Fully Accredited

2008 through 2011 Revenue CAGR:

56.1%

2008 through 2011 EBITDA CAGR:

89.7%

Student Success is Our Success

IEC Academic VerticalsProgram Level Healthcare Business Justice Technology Transportation

Diploma Medical Assistant

Business Office Administration

Criminal Justice

Computer Systems

Technician

Automotive Technician

Diploma Dental Assistant

Diploma

Medical Billing &

Insurance Coding

Diploma Massage Therapy

Diploma Pharmacy Technician

Diploma Vocational Nursing

Associate Degree

AAS Business Management

Student Success is Our Success

IEC’s Overall Business Thesis:

Be the best career education provider within the diploma granting space offering healthcare, business, technology and transportation programs.

Dominate each geographic region with growth rate, size and quality.

Acquire colleges and Add new branches in complimentary markets offering the same programs.

Expand geographically leveraging existing platform and management

Student Success is Our Success

IEC’s Target Market & Marketing Philosophy

Young adult, low household income, non-university bound and in search of skills to secure employment.

Direct-response advertising approach, very little time and money spent on branding.

Clustered approach to leverage the advertising investment, in particular, television advertising

Student Success is Our Success

Largest Players in the For-Profit Higher Education Space

NAME OF INSTITUTION

Apollo Group, Inc.

DeVry

Education Management Corp.

Strayer Education, Inc.

ITT Educational Services, Inc.

Career Education Corporation

Bridgepoint Education, Inc.

NAME OF INSTITUTION

International Education Corporation

ALTA

Keiser University

Remington Colleges

Brightstar Education

ATI

Market Funded Corporations Privately Held Corporations

Student Success is Our Success

This is a FANTASTIC time to be with IEC!

Happy Holidays!!