DeVry Education Group

DeVry Education Group
Public
Traded as NYSE: DV
Industry Education
Founded 1973
Headquarters Downers Grove, Illinois, United States
Key people
 Lisa Wardell
(President and CEO)
Revenue $1,843.5 million (FY16)
Number of employees
 TBD (2016)
Website devryeducationgroup.com

DeVry Education Group is a United States corporation based in Downers Grove, Illinois, that operates several for-profit higher education institutions, including Advanced Academics, Becker Professional Education, Carrington College, Chamberlain College of Nursing, DeVry Brasil, DeVry University, American University of the Caribbean, and Ross University Schools of Medicine and Veterinary Medicine.

History

DeVry Education Group is a successor to two separate entities: DeVry Institutes and the Keller-Taylor Corporation (d/b/a Keller Graduate School of Management). DeVry Technical Institute was acquired by the Bell & Howell company in 1966, and became part of its Education Group division. The school was renamed to DeVry Institute of Technology in 1968.[1] In 1984, the education division was renamed DeVry, Inc. ("Old DeVry"), and became publicly traded on the American Stock Exchange.

The Keller-Taylor Corporation was formed in 1973 by Dennis Keller and Ronald Taylor. Keller-Taylor was the holding company of CBA Institute in Chicago, which later became Keller Graduate School of Management. In 1987 Keller-Taylor acquired the DeVry Institutes from Bell & Howell and merged with Keller Graduate School of Management. The holding company's name changed to DeVry, Inc.

In 1991, DeVry became the first publicly traded education provider with an initial public offering on the NASDAQ stock exchange. Today, its stock is traded on the New York Stock Exchange under the symbol DV (NYSE: DV).[1]

In 1996 DeVry acquired Becker CPA Review, now Becker Professional Education. In 2002 DeVry Institute of Technology and Keller Graduate School of Management became DeVry University. The company diversified into healthcare in 2003 with the acquisition of Ross University and added Chamberlain College of Nursing (then Deaconess College of Nursing) in 2005.[1]

In 2007, DeVry expanded its reach into online education with the addition of Advanced Academics, an online secondary education that partners with schools and school districts across the United States. Carrington College, formerly known as Apollo College and Western Career College, joined DeVry in 2008. In 2009, DeVry acquired a majority stake in Fanor, now known as DeVry Brasil, a provider of post-secondary education with campuses located in northeastern Brazil. In June 2009, Standard and Poor's added Devry Inc. to its index of stocks, replacing newly-bankrupt General Motors.[1]

In 2011, DeVry continued its international reach with the acquisition of ATC International (a subsidiary of Becker Professional Education), which provides professional finance and accounting training in Central and Eastern Europe as well as Central Asia; and American University of the Caribbean, a medical school located in St. Maarten.[2]

In November 2013, DeVry Inc. was renamed to DeVry Education Group.[3]

Daniel Hamburger resigned in 2016 as CEO of DeVry with a payout of 5.3 million dollars. Eight-year board member, Lisa Wardell was appointed president and CEO of DeVry Education Group.[4]

DeVry Education Group subsidiaries

DeVry subsidiaries include Advanced Academics, American University of the Caribbean, Becker Professional Education, ATC International, the Carrington Colleges Group, Chamberlain College of Nursing, DeVry Brasil, DeVry University and its Keller Graduate School of Management, Ross University School of Medicine and Ross University School of Veterinary Medicine.[5]

DeVry Brazil's enrollment in 2016 was 79,280 students. [6]

Lawsuits and controversies

The for-profit education industry has been the subject of hearings by the United States Senate Committee on Health, Education, Labor, and Pensions. Specifically with regard to DeVry Inc., the Committee[7] found that over half of the students who enrolled at DeVry in 2008-2009 withdrew by mid-2010.[8] DeVry spends more on marketing than on student instruction.[8] Approximately 80% of DeVry's revenue is Federal education funds.[8]

As of 2013, DeVry Inc. is under investigation by the Attorneys General of the states of Illinois and Massachusetts.[9][10]

A lawsuit has been filed against DeVry alleging deceptive recruiting practices in violation of federal law.[11]

In January 2016, The Federal Trade Commission filed a lawsuit against DeVry Education Group alleging false or misleading advertising.[12][13] A class action lawsuit was also filed against DeVry Group in US District Court, Northern District of California claiming breaches of contract, good faith and fair dealing, violations of the California Unfair Trade Practices Act, the California False Advertising Act and the California Consumer Legal Remedies Act, and negligent misrepresentations. A confidential settlement was reached. [14]

In May 2016, a shareholder class action lawsuit was filed against DeVry Group, in the US District Court, Northern District of Illinois. The plaintiffs claimed that defendants made false or misleading statements regarding DeVry University’s graduate employment rate and the earnings of DeVry University graduates relative to the graduates of other universities and colleges. [15]

In June 2016, T’Lani Robinson and Robby Brown filed an arbitration demand with the American Arbitration Association, seeking relief for breach of contract, negligence, violation of the Illinois Uniform Deceptive Trade Practices Act, conversion, and unjust enrichment. [16]

References

  1. 1 2 3 4 Archived April 6, 2011, at the Wayback Machine.
  2. ↑ Archived February 11, 2012, at the Wayback Machine.
  3. ↑ "Subscription Center". Chicagobusiness.com. Retrieved 19 May 2015.
  4. ↑ "For-profit college company DeVry Education Group replaces CEO". washingtonpost.com. Retrieved September 21, 2016.
  5. ↑ "Devry Inc. – Our Schools". Devry Inc. Retrieved August 12, 2011.
  6. ↑ https://www.sec.gov/Archives/edgar/data/730464/000114420416121173/v446933_10k.htm
  7. ↑ "US Senate Committee on Health, Education, Labor, & Pensions". Senate.gov. Retrieved 19 May 2015.
  8. 1 2 3 "DeVry, Inc. : Introduction" (PDF). Help.senate.gov. Retrieved 2015-07-02.
  9. ↑ "Illinois, Massachusetts issue subpoenas to DeVry". tribunedigital-chicagotribune. Retrieved 19 May 2015.
  10. ↑ "DeVry Faces Investigations From Attorneys General in 2 States – The Ticker - Blogs - The Chronicle of Higher Education". Chronicle.com. Retrieved 19 May 2015.
  11. ↑ "DeVry University Hit With Lawsuit Alleging Officials Would 'Bribe' Students, Violate Federal Regulations". The Huffington Post. Retrieved 19 May 2015.
  12. ↑ "FTC Brings Enforcement Action Against DeVry University". Federal Trade Commission Press Release. Retrieved 27 January 2016.
  13. ↑ https://www.ftc.gov/system/files/documents/cases/160127devrycmpt.pdf
  14. ↑ https://www.sec.gov/Archives/edgar/data/730464/000114420416121173/v446933_10k.htm
  15. ↑ https://www.sec.gov/Archives/edgar/data/730464/000114420416121173/v446933_10k.htm
  16. ↑ https://www.sec.gov/Archives/edgar/data/730464/000114420416121173/v446933_10k.htm

External links

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