Tuesday, July 27, 2010

“UC Professors Raise Doubts About Online Education” plus 2 more

“UC Professors Raise Doubts About Online Education” plus 2 more


UC Professors Raise Doubts About Online Education

Posted: 27 Jul 2010 06:29 PM PDT

The University of California's interest in offering an online degree is opening a new chapter in the debate over online education.

Many professors question whether the state's premier university system should tread so deeply into cyberspace, where other prestigious universities have failed -- and where some less selective colleges have thrived, sometimes with programs of questionable quality.

The professors are concerned that a virtual UC will waste limited resources, compromise the university's academic reputation and divert it from its primary mission of educating California's top-performing students.

The plan's creator -- Christopher Edley, dean of UC Berkeley's law school -- says the opposite is true. He contends UC can maintain its rigor online and that doing so will allow the university to reach more of those stellar students at a lower cost.

"How do we provide access to UC quality when the state is not there for us and the student demand is growing? We need an alternative to the bricks-and-mortar model, and this may be it," said Edley, who also serves as an adviser to UC President Mark Yudof.

Edley acknowledges his biggest hurdle is getting buy-in from UC's academic senate, the formal voice of the faculty. Their support is critical to any major educational changes.

Edley is kicking off the online initiative by raising $6 million from private donors to cover the cost of a pilot project. The money will be used to produce 25 to 40 online courses in subjects such as calculus, chemistry and freshman composition that typically draw huge enrollments at the lower-division level. Students at any of UC's 10 campuses will be able to take the online classes, which may be available by spring. For the pilot, they'll pay the same tuition as they would taking classes in person.

Edley envisions steadily expanding UC's Web presence: adding upper-division courses, then offering a bachelor's degree online, and eventually allowing people around the world to enroll in the virtual UC. Tuition for an online degree, should one be created, has not been determined.

Making a degree available online would allow UC to earn money that could be pumped back into the traditional campuses, Edley argues.

Not so fast, say many UC profs.

"Are we in the business of making money by selling services to non-students?" asked Dan Simmons, a UC Davis law professor who is vice-chair of the statewide academic senate. "People have created a set of expectations about the potential for online education that is not really there."

Even professors who support a greater use of technology say the plan has flaws. Some like the idea of expanding online offerings, but don't think UC should offer an online degree. Others think online curriculum should be developed and controlled by academic departments on each campus -- not by UC's statewide bureaucracy.

"I think they're looking for a one-size-fits-all model, and I don't think that's the way to go," said Cynthia Carter Ching, a UC Davis education professor.

Ching embraces online learning. She will teach an online class this spring and, before coming to Davis, taught two online classes at the University of Illinois.

In those classes, Ching and her students convened for an online lecture once a week using conferencing software. Each student took part from a computer that streamed audio and had a microphone for asking questions. Students also participated in online discussion boards where they read and posted comments about class work.

Ching's classes were not part of Global Campus, an ambitious effort the University of Illinois launched a few years ago to create an entirely online program. It ultimately failed due to opposition from faculty and lack of interest from students.

In recent years, online learning has grown more common at American colleges. In 2002, less than 10 percent of college students nationwide were enrolled in an online class, according to research by the Sloan Consortium. Six years later, that number had grown to more than 25 percent.

But just because students take classes online doesn't mean they like them.

"Even with a good instructor who monitored and maintained all the online material, I'll never take an online class again," James Mouradian, a UC Davis student majoring in computer science, said in an e-mail interview.

"The in-class lectures were a hundred times more valuable. You cannot ask questions to a computer and get meaningful answers."

That may just be a matter of using the right technology, say professors who teach online. Mouradian's online art history course involved logging in to watch a pre-recorded lecture. There were no discussion boards or other formats for online interaction, he said.

UC Davis professor Robert Blake uses live video chats to teach Spanish. The videoconferencing software allows students to break into small groups and practice their language skills.

"We're dealing with students more and more who are very used to social computing. They're used to getting online and doing projects together," Blake said.

He is developing Arabic and Punjabi classes that will be available online to UC students across the state. Still, he's not sure UC should rush into offering an online degree.

"Fortunately, the University of California has a governance structure that will allow the faculty to determine what is the appropriate way to mix these things," Blake said.

"I trust my colleagues to put on the brakes at the right time, and also stick their noses out and experiment."

Five Filters featured article: "Peace Envoy" Blair Gets an Easy Ride in the Independent. Available tools: PDF Newspaper, Full Text RSS, Term Extraction.

McGraw-Hill Education Launches Online Assessment Platform With Unique Speech Recognition Technology to Accelerate ...

Posted: 27 Jul 2010 11:24 AM PDT

{"s" : "mhp","k" : "a00,a50,b00,b60,c10,g00,h00,l10,p20,t10,v00","o" : "","j" : ""}

Press Release Source: McGraw-Hill On Tuesday July 27, 2010, 2:24 pm EDT

SHANGHAI, July 27 /PRNewswire-FirstCall/ -- McGraw-Hill, a global innovator in education, together with its local partner ChinaEdu, announced it has created the English Online System (EOS), a pioneering digital platform delivering high quality, research-based assessments aligned with Chinese New English Curriculum standards that will serve China's middle school students.  The new EOS online platform will serve China's large and fast-growing education market, estimated to reach $200 billion this year.

"China's transition to a more service-oriented knowledge economy is creating substantial demand for innovative, research-based academic programs and assessments that can help students and professionals learn the English skills needed to be successful in the workplace," said Harold McGraw III, chairman, president and chief executive officer of The McGraw-Hill Companies (NYSE:MHP - News), who is in China this week meeting with government and business leaders. "We are committed to supporting China's ambitious education curriculum reform and development goals, and we are excited about expanding our English education programs across the country."

The EOS platform was created in partnership with ChinaEdu, a leading educational services provider in China, in which The McGraw-Hill Companies has an equity investment. The platform provides standardized American English language proficiency assessments and is based on a new approach, which allows teachers and students to automatically track progress. EOS is specifically designed to expand student knowledge of the English language in a real-life context by improving listening, speaking, reading and writing skills. In addition, an automatic scoring engine evaluates English speaking proficiency of Chinese students compared to American English speakers.

The EOS speaking test combines state-of-the-art speech recognition technology with Artificial Intelligence English speaking scoring rubrics that mimic human raters.  EOS is the only English language assessment in China that was developed with the Chinese learner in mind.  The acoustic model was developed using both American and Chinese students' voice samples.  This approach allows accurate evaluation of Chinese learners' English pronunciation and speaking ability against native speakers.

The EOS platform has been field tested with Chinese students, and has proven to be an effective method of teaching and assessing English language skills used in educational and professional settings.

About The McGraw-Hill Companies

Founded in 1888, The McGraw-Hill Companies is a global information and education company providing knowledge, insights and analysis in the financial, education and business information sectors through leading brands including Standard & Poor's, McGraw-Hill Education, Platts, and J.D. Power and Associates. The Corporation has more than 280 offices in 40 countries. Sales in 2009 were $5.95 billion. Additional information is available at http://www.mcgraw-hill.com.

About McGraw-Hill Education

McGraw-Hill Education, a division of The McGraw-Hill Companies, is a leading innovator in the development of teaching and learning solutions for the 21st century. Through a comprehensive range of traditional and digital education content and tools, McGraw-Hill Education empowers and prepares professionals and students of all ages to connect, learn and succeed in the global economy. McGraw-Hill Education has offices in 33 countries and publishes in more than 65 languages. Additional information is available at http://www.mheducation.com.

About ChinaEdu

ChinaEdu Corporation is an educational services provider in China, incorporated as an exempted limited liability company in the Cayman Islands. Established in 1999, the Company's primary business is to provide comprehensive services to the online degree programs of leading Chinese universities. These services include academic program development, technology services, enrollment marketing, student support services and finance operations. The Company's other lines of business include the operation of private primary and secondary schools, online interactive tutoring services and providing marketing and support for international curriculum programs.

The Company believes it is the largest service provider to online degree programs in China in terms of the number of higher education institutions that are served and the number of student enrollments supported. The Company currently has 17 long-term, exclusive contracts that generally vary from 10 to 50 years in length. ChinaEdu also performs recruiting services for 15 universities through our nationwide learning center network.

For more information, please contact: Company Contacts: Lily Liu, CFO ChinaEdu Corporation Phone: +86-10-8418-6655 x1002 Email: ir@chinaedu.net S. Jimmy Xia, IR Manager ChinaEdu Corporation Tel: +86-10-8418-6655 x1150 Email: ir@chinaedu.net.

Five Filters featured article: "Peace Envoy" Blair Gets an Easy Ride in the Independent. Available tools: PDF Newspaper, Full Text RSS, Term Extraction.

Capella Education Company Reports Second Quarter 2010 Results

Posted: 27 Jul 2010 04:00 AM PDT

{"s" : "cpla","k" : "a00,a50,b00,b60,c10,g00,h00,l10,p20,t10,v00","o" : "","j" : ""}

Press Release Source: Capella Education Company On Tuesday July 27, 2010, 7:00 am EDT

MINNEAPOLIS--(BUSINESS WIRE)--Capella Education Company (NASDAQ:CPLA - News), a provider of exclusively online post-secondary education through its wholly owned subsidiary Capella University, today announced financial results for the three and six months ended June 30, 2010.

"We are pleased to report another quarter of strong performance," said Kevin Gilligan, chairman and chief executive officer of Capella Education Company. "Enrollment growth was impressive across all degree programs, driven by solid growth from our new programs, exceptional execution across the organization and favorable market dynamics. We are excited about the many opportunities for growth while we continue to strengthen Capella's brand and reputation as a graduate-focused university known for quality, online education for adults."

"Recently, the Department of Education released updated language in the Notice of Proposed Rulemaking," said Gilligan. "Based on our interpretation and assessment of the proposed rules, we believe Capella is well prepared to adapt to the proposed changes announced in June. We also continue to analyze the proposed gainful employment rules, which we believe require additional clarification and access to government data. However, using broad assumptions and data samples focused on programs with a large number of graduates, we believe that those programs would continue to qualify for federal student aid participation."

For the quarter ended June 30, 2010:

  • Total enrollment increased by 32.1 percent from the prior year to 38,669 learners. Graduate program enrollment increased by 26.7 percent year-over-year to slightly over 30,000 learners.
  • Revenues increased by 31.3 percent to $105.2 million, compared to $80.1 million for the second quarter in 2009.
  • Operating income for the quarter was $22.5 million, or 21.4 percent of revenue, compared to $14.3 million, or 17.8 percent of revenue for the same period in 2009.
  • Net income for the second quarter was $14.6 million, or $0.86 per weighted average number of diluted shares outstanding compared to $9.5 million, or $0.56 per share for the same period in 2009.

For the six months period ended June 30, 2010:

  • Revenues increased by 31.9 percent to $206.4 million, compared to $156.5 million for the same period in 2009.
  • Operating income for the six-month period ended June 30, 2010 was $45.7 million, or 22.1 percent of revenue, compared to $26.4 million, or 16.9 percent of revenue during the same period in 2009.
  • Net income in 2010 was $29.7 million or $1.75 per weighted average number of diluted shares outstanding, compared to $17.9 million or $1.05 per share for the same period in 2009.

Balance Sheet and Cash Flow

As of June 30, 2010, the Company had cash, cash equivalents, and marketable securities of $192.3 million, compared to $172.1 million at December 31, 2009. The Company had no debt in 2010 or 2009.

Cash flow from operations for the six months ended June 30, 2010, was $43.5 million compared to $32.1 million in the same period a year ago, an increase of 35.6 percent.

Outlook

"Our momentum going into the third quarter 2010 is strong due to our continued focus on educational quality and operational excellence," said Lois Martin, senior vice president and chief financial officer. "During the third quarter we expect to make additional investments in great teaching and learning and other strategic opportunities to drive long-term learner success and to strengthen and extend Capella's market opportunities. Based on our strong performance during the first half of 2010 and expectations for third quarter, we anticipate fiscal year 2010 results to be at the high-end of previously provided revenue and average quarterly enrollment growth guidance of 26.5 to 28.5 percent. We also anticipate operating margins to be at or slightly above previous guidance of 21.5 to 22.5 percent of revenue, resulting in an approximately 50 percent annual operating earnings increase."

For the third quarter ending Sept. 30, 2010, enrollment and revenue are expected to grow by 24.0 to 25.5 percent compared to third quarter 2009. The operating margin is anticipated to be approximately 18.0 to 19.0 percent of total revenue for the third quarter of 2010.

Forward-Looking Statements

Certain information in this news release does not relate to historical financial information, including statements relating to our future prospects and our expectations regarding our revenues, enrollment, and operating performance, and may be deemed to constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The company cautions investors not to place undue reliance on any such forward-looking statements, which are based on information available at the time those statements are made or management's good faith belief as of that time with regard to future events, and should not be read as a guarantee of future performance or results. Such statements are subject to certain risks and uncertainties that could cause the company's actual results in the future to differ materially from its historical results and those presently anticipated or projected. The company undertakes no obligation to update its forward-looking statements to reflect events or circumstances arising after such date.

Among these risks and uncertainties are any failure to materially comply with the extensive regulatory framework applicable to us, including compliance with Title IV of the Higher Education Act and the regulations thereunder; regional accreditation standards and state and regional regulatory requirements; changes in the administration, funding and availability for Title IV programs; responding to any additional governmental inquiries into our financial aid practices; attracting and retaining learners; updating and expanding the content of existing programs and developing new programs; the review of our business and financial aid practices by governmental authorities, including action by Federal Student Aid on the final audit report of the Office of Inspector General of the U.S. Department of Education arising out of its ongoing compliance audit of Capella University; changes in applicable federal and state laws and regulations and accrediting agency policies, including as a result of current U.S. Department of Education rulemaking and recent Congressional review of our industry; maintaining and expanding existing commercial relationships with employers and developing new such relationships; our failure to keep up with advances in technology important to the online learner experience; our ability to manage growth effectively; our ability to realize expected efficiency improvements from our ERP system and our use of business technology to accurately store, process and report relevant data; unforeseen changes in student enrollment or our expenses; and risks associated with the overall competitive environment and general economic conditions

Other factors that could cause the company's results to differ materially from those contained in its forward-looking statements are included under, among others, the heading "Risk Factors" in our most recent Form 10-K and Form 10-Qs on file with the Securities and Exchange Commission and other documents filed by the company with the Securities and Exchange Commission.

Conference Call

Capella will discuss its second quarter 2010 results and third quarter 2010 outlook during a conference call scheduled today, July 27, 2010, at 9:00 a.m. Eastern time (ET). To participate in the live call, investors should dial 866.385.4179 (domestic) or 706.679.1492 (international) at 8:50 a.m. (ET), conference ID 85824266. The webcast, including the accompanying presentation, will be available on the Capella Education Company Web site at www.capellaeducation.com. A replay of the call will be available starting on July 27, 2010 through Aug. 3, 2010, at 800.642.1687 (domestic) or 706.645.9291 (international), conference ID 85824266. It will also be archived at www.capellaeducation.com in the investor relations section for 60 days.

About Capella Education Company

Founded in 1991, Capella Education Company is a national leader in online education and parent company of Capella University, a regionally accredited* online university. Capella University offers online graduate degree programs in business, counseling, education, health administration, human services, information technology, nursing, psychology, public administration, public health, public safety, and social work, and bachelor's degree programs in business, information technology, nursing, psychology, public administration, and public safety. These academic programs are designed to meet the needs of working adults, combining high quality, competency-based curricula with the convenience and flexibility of an online learning format. Currently, Capella University offers 42 graduate and undergraduate degree programs with 137 specializations. More than 38,600 learners were enrolled as of June 30, 2010. For more information about Capella Education Company, please visit http://www.capellaeducation.com. For more information about Capella University, please visit http://www.capella.edu or call 1.888.CAPELLA (227.3552).

*Capella University is accredited by The Higher Learning Commission and is a member of the North Central Association of Colleges and Schools (NCA), www.ncahlc.org.

Capella University, Capella Tower, 225 South Sixth Street, Ninth Floor, Minneapolis, MN 55402, 1.888.CAPELLA (227.3552), www.capella.edu.

CAPELLA EDUCATION COMPANY

Consolidated Balance Sheets

(In thousands, except par value)

   

As of June 30,
2010

As of December 31,
2009

(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents $ 97,499 $ 102,405
Marketable securities 94,795 69,670
Accounts receivable, net of allowance of $2,907 at June 30, 2010 and $2,362 at December 31, 2009 12,953 12,691
Prepaid expenses and other current assets 9,607 6,564
Deferred income taxes   2,156   2,186
Total current assets 217,010 193,516
Property and equipment, net   44,150   37,984
Total assets $ 261,160 $ 231,500
 
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable $ 7,634 $ 5,027
Accrued liabilities 28,969 24,328
Income taxes payable 61
Deferred revenue   8,028   7,876
Total current liabilities 44,631 37,292
Deferred rent 3,059 2,952
Other liabilities 434 434
Deferred income taxes   6,555   6,556
Total liabilities 54,679 47,234
 
Shareholders' equity:
Common stock, $0.01 par value:
Authorized shares — 100,000
Issued and outstanding shares — 16,753 at June 30, 2010 and 16,763 at December 31, 2009 168 168
Additional paid-in capital 144,063 151,445
Accumulated other comprehensive income 1,194 1,333
Retained earnings   61,056   31,320
Total shareholders' equity   206,481   184,266
Total liabilities and shareholders' equity $ 261,160 $ 231,500
 
 

CAPELLA EDUCATION COMPANY

Consolidated Statements of Income

(In thousands, except per share amounts)

 
  Three Months Ended
June 30,
  Six Months Ended
June 30,
2010   2009 2010   2009
(Unaudited)
Revenues $ 105,157 $ 80,096 $ 206,390 $ 156,531
Costs and expenses:
Instructional costs and services 41,286 33,550 79,161 64,632
Marketing and promotional 28,586 23,573 58,555 48,405
General and administrative   12,803   8,719   22,977   17,052
Total costs and expenses   82,675   65,842   160,693   130,089
Operating income 22,482 14,254 45,697 26,442
Other income   528   702   1,026   1,388
Income before income taxes 23,010 14,956 46,723 27,830
Income tax expense   8,436   5,416   16,987   9,954
Net income $ 14,574 $ 9,540 $ 29,736 $ 17,876
Net income per common share:
Basic $ 0.87 $ 0.57 $ 1.77 $ 1.07
Diluted $ 0.86 $ 0.56 $ 1.75 $ 1.05
Weighted average number of common shares outstanding:
Basic   16,771   16,708   16,776   16,701
Diluted   17,010   17,045   17,029   17,046
 
 

CAPELLA EDUCATION COMPANY

Consolidated Statements of Cash Flows

(In thousands)

 

 

 

Six Months Ended
June 30,

2010   2009
(Unaudited)
Operating activities
Net income $ 29,736 $ 17,876
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for bad debts 3,577 3,277
Depreciation and amortization 8,647 6,866
Amortization of investment premium 916 891
Stock-based compensation 1,366 1,541
Excess tax benefits from stock-based compensation (2,872 ) (1,154 )
Deferred income taxes 111 (173 )
Changes in operating assets and liabilities:
Accounts receivable (3,839 ) (3,668 )
Prepaid expenses and other current assets (427 ) (1,179 )
Accounts payable and accrued liabilities 6,020 7,349
Deferred rent 107 1,493
Deferred revenue   152     (1,041 )
Net cash provided by operating activities 43,494 32,078
Investing activities
Capital expenditures (14,039 ) (7,955 )
Purchases of marketable securities (26,262 )
Maturities of marketable securities       6,410  
Net cash used in investing activities (40,301 ) (1,545 )
Financing activities
Excess tax benefits from stock-based compensation 2,872 1,154
Net proceeds from exercise of stock options 4,018 2,637
Repurchase of common stock  

(14,989

)

  (4,655 )
Net cash used in financing activities   (8,099 )   (864 )
 
Net increase (decrease) in cash and cash equivalents (4,906 ) 29,669
Cash and cash equivalents at beginning of period 102,405 31,225
   
Cash and cash equivalents at end of period $ 97,499   $ 60,894  
Supplemental disclosures of cash flow information
Income taxes paid $ 16,618   $ 10,188  
Noncash transactions:
Purchase of equipment included in accounts payable and accrued liabilities $ 1,908   $ 1,151  
 
 

CAPELLA EDUCATION COMPANY

Other Information

   
Enrollment by Degree(a): June 30,
2010   2009 % Change
PhD/Doctoral 11,908 10,104 17.9 %
Master's 18,286 13,733 33.2 %
Bachelor's 8,269 5,300 56.0 %
Other 206 144 43.1 %
Total 38,669 29,281 32.1 %
 
(a)   Enrollment as of June 30, 2010 and 2009 is the enrollment as of the last day of classes for the quarter ended June 30, 2010 and 2009, respectively.

Five Filters featured article: "Peace Envoy" Blair Gets an Easy Ride in the Independent. Available tools: PDF Newspaper, Full Text RSS, Term Extraction.

No comments:

Post a Comment