WyoTech's West Sacramento campus to close
03/02/2013 12:00 AM
03/02/2013 12:14 AM
The West Sacramento campus of WyoTech, which offers career technical training for students aspiring to enter the automotive and construction industries, will close in mid-October.
Kent Jenkins Jr., a spokesman for Santa Ana-based WyoTech parent Corinthian Colleges Inc., said students and employees on the campus at 980 Riverside Parkway were informed of the planned closure Thursday.
Jenkins said 900 students enrolled at the school will be allowed to finish their courses of study, but no new enrollments will be accepted.
Jenkins said most WyoTech students are pursuing specialized diplomas or associate degrees, education plans typically encompassing two years or less.
The campus employs about 75, and those workers were informed Thursday that they would be laid off.
There are two other WyoTech campuses in California – in Fremont and Long Beach. There's also a west region campus in Laramie, Wyo. Jenkins said the multiple western campuses were a consideration in the closing of the West Sacramento campus.
WyoTech's other two U.S. campuses are in Blairsville, Pa., and Daytona Beach, Fla.
In June last year, CCI's board of directors approved a plan to sell its WyoTech campuses in West Sacramento and Daytona Beach.
At that time, according to its filing with the U.S. Securities and Exchange Commission, CCI had not secured prospective buyers but "allocated internal resources to identify potential buyers and evaluate proposals for these campuses. Corinthian anticipates completing the sale within the next 12 months."
Within weeks of that announcement, CCI reported a $6.5 million fiscal fourth-quarter loss. The company cited losses from discontinued operations.
Jenkins said CCI decided this week to retain the Daytona Beach campus, while holding out the possibility of a future sale.
He added: "In Sacramento on the other hand we had no offers that were sufficiently attractive, and we made the decision that we were going to teach out at that campus."
CCI also is the parent of the Heald and Everest for-profit colleges. Heald oversees a dozen campuses, including sites in Roseville and Rancho Cordova.
The overall CCI system has more than 100 Everest, Heald and WyoTech campuses, with about a quarter of its campuses and students in California. CCI reported a total student population of 88,688 as of Dec. 31, down from 90,910 on Dec. 31, 2011.
The company reported revenue of $409.7 million for its fiscal second quarter ended Dec. 31, up from $392.1 million in the year-ago period. It reported a loss of $68,000 in the most recent quarter, compared with a profit of nearly $1.8 million in 2011.
CCI stock closed at $2.06 a share, down 7 cents, Friday on the Nasdaq Global Select market.
The local WyoTech campus is a direct competitor with the Universal Technical Institute-Sacramento campus on Interstate 5 across from Sleep Train Arena.
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