Corinthian Colleges to Acquire American Motorcycle Institute ( AMI)

- Adds Motorcycle, Marine and Personal Watercraft Technician Curricula -

SANTA ANA, Calif., June 18 -- Corinthian Colleges, Inc. today announced that it has signed a definitive agreement to acquire substantially all of the assets of privately held A.M.I., Inc. ("AMI") and its one campus. The acquisition expands Corinthian's technical curricula in the transportation area, and provides the company with its first foothold in the popular motorcycle, marine and personal watercraft technician training programs.

The purchase price of approximately $11 million plus the assumption of approximately $460,000 in mortgage debt includes the campus land, building and improvements and is subject to certain working capital and tangible net equity adjustments to be based on the acquired assets and assumed liabilities as of the closing date. Corinthian expects to fund the acquisition with available cash and borrowings from its previously announced $235 million credit facility.

American Motorcycle Institute, Inc., the forerunner to the present AMI, was established in January 1972. AMI operates one campus in Daytona Beach, Florida in close proximity to the popular Daytona International Speedway. The school encompasses approximately 50,000 square feet of laboratory, classroom and administrative facilities on approximately 10.2 acres.

AMI offers accredited diploma programs to prepare students for jobs as motorcycle, marine, and personal watercraft technicians. AMI's specialized motorcycle technician and dealership management programs prepare students for positions with well-known dealerships such as BMW, Harley-Davidson, Ducati, Honda, Kawasaki, Suzuki, Triumph, and Yamaha. AMI had approximately 220 students as of April 30, 2004.

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

"The acquisition of AMI underscores Corinthian's commitment to grow our TSi technical division," said David G. Moore, chairman and chief executive officer. "AMI will provide new, career-oriented education programs that complement Corinthian's existing technology curricula and expand TSi's geographic footprint into the Southeast. We believe our national network of TSi admissions representatives will be able to attract new students to the AMI campus. We look forward to welcoming AMI's outstanding instructors, dedicated staff and valued students into the Corinthian family of colleges."

Corinthian expects to complete the acquisition of AMI during its fiscal 2005 first quarter that will end September 30, 2004, subject to the receipt of regulatory approvals and the satisfaction of customary closing conditions.

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. Corinthian operates 89 colleges in 22 states in the U.S., and 45 colleges and 15 corporate training centers in seven Canadian provinces.