Corinthian Colleges Completes Acquisition of AMI

- Acquisition of Leading Motorcycle, Marine and Personal Watercraft Technician School Adds One Campus and Expands Corinthian's Technical Curricula -

SANTA ANA, Calif., Aug. 4 -- Corinthian Colleges, Inc. today announced that it has completed its previously announced acquisition of substantially all of the assets of privately held A.M.I., Inc. (AMI) and its one campus for approximately $11 million, subject to certain balance sheet adjustments, plus the assumption of approximately $420,000 in mortgage debt. The transaction, financed through available cash, includes the purchase of the campus land, building and improvements.

The acquisition of AMI marks Corinthian's entry into the popular motorcycle, marine and personal watercraft technician training fields and adds to the company's growing transportation-related technical curricula. American Motorcycle Institute, Inc., the forerunner to the present AMI, was established in January 1972. AMI's 10-acre campus in Daytona Beach, Florida, is in close proximity to the popular Daytona International Speedway and features approximately 50,000 square feet of laboratory, classroom and administrative facilities.

AMI offers accredited diploma programs to prepare students for careers as motorcycle, marine and personal watercraft technicians. AMI also offers specialized motorcycle technician and dealership management programs that prepare students for positions with well-known dealerships such as BMW, Harley-Davidson, Ducati, Honda, Kawasaki, Suzuki, Triumph and Yamaha. AMI had approximately 210 students as of July 30, 2004.

AMI will be integrated into Corinthian's Titan Schools, Inc. (TSi) technical division and expects to adopt the new AMI programs into other TSi campuses in the future.

"AMI programs expand Corinthian's technology curricula into the popular motorcycle and watercraft technician fields," said David G. Moore, chairman and chief executive officer. "The acquisition enables us to add these exciting programs to our extensive library of curricula and expand the AMI programs into additional TSi campuses. We have a national network of TSi admissions representatives who will work with AMI to attract new students for these programs. We welcome the instructors, staff and students to the Corinthian organization."

After giving effect to acquisition integration costs and reductions in interest income, Corinthian expects the contribution of AMI to earnings to be approximately breakeven for the first quarter of fiscal 2005.

About Corinthian Colleges

Corinthian Colleges, Inc. is one of the largest post-secondary education companies in North America, and serves the large and growing segment of the population seeking to acquire career-oriented education to become more qualified and marketable in today's increasingly demanding workplace. Corinthian's colleges offer master's, bachelor's and associate's degrees and diploma programs in a variety of fields, with a concentration on careers in healthcare, business, criminal justice and technology. Upon completion of previously announced facilities closures and consolidations, the company will operate 88 colleges in 22 states in the U.S. and 35 colleges and 15 corporate training centers in seven Canadian provinces.