http://www.faqs.org/sec-filings/091116/ ... CORP_10-Q/In October and November 2009, the Company elected to close two programs within the healthy living division. In one case, a state agency temporarily suspended the program’s license after finding that the program was in violation of licensing requirements; the state had commenced an investigation following a complaint. The Company disagrees with these findings and intends to contest the findings. In the second case, the state is investigating the circumstances involving a student fatality. The state required that the students be removed from the program to other programs pending the outcome of the investigation. Through September 30, 2009, the combined revenue from these two programs accounted for approximately $6.0 million.
Wow, I love how you can't even name Mount Bachelor Academy and Sagewalk to your own stockholders. Nice.
As a result of the Company’s decision to close the programs,
This constitutes fraud. It wasn't your decision to close the programs. The State of Oregon did that.
the Company expects that it will incur restructuring costs related to work-force terminations of approximately $0.4 million. Additionally, the Company expects that during the fourth quarter of 2009, it will incur non-cash impairment charges for intangible assets of approximately $6.9 million and non-cash impairment charges of approximately $0.5 million for fixed assets. Costs related to the closure of the two programs are estimated amounts which are subject to future revision as more information becomes available.
Smack! Although Aspen's idea of what an intangible asset is, is a fucking joke. Read the rest of the report and tell me if you can figure out just what they're counting as goodwill.
Of the $9.2 million decrease of same facility net revenue within our healthy living division, $4.8 million and $3.5 million, or 21.6% and 27.9%, was attributable to decreases in our adolescent residential boarding schools and adolescent outdoor programs respectively.
...decreased expenditures within supplies, facilities and other costs of $2.4 million in adolescent residential boarding schools, $1.6 million in adolescent outdoor programs...
And this is real money, here. They try to cut expenses but they still can't stop the bleeding. Fucking owned. :rocker:
Hey, Aspen? You lost 23 million dollars JUST LAST QUARTER in your "healthy living division". What in God's name makes you think this won't continue or get worse? The State of Oregon has its eyes on the other two programs you have there. The whole industry's dying a protracted death. Good time to cut your losses.
