Can the University of Phoenix Rise From the Ashes?

by Jon Marcus, The Hechinger Report

The for-profit universities are busily devising strategies to rebuild enrollment that has crashed by 26% collectively since its peak in 2009—more than twice that at the University of Phoenix. They are also seeking out new sources of revenue, rather than continuing to rely almost entirely on federally subsidized student financial aid and inviting relentless scrutiny. And, while they’re at it, to overcome public mistrust, says University of Phoenix President Tim Slottow, who works upstairs in that office building on I-10. “I’m not naïve enough to tell you we’re over the hardest part,” says Slottow, a former chief financial officer at the University of Michigan. University of Phoenix parent Apollo Education Group announced in January that it had agreed to be acquired by a group of investors for $1.1 billion—slightly more than a tenth of what it was once worth—and go private. The deal will be finalized by August, if approved by regulators and shareholders.

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