DOWNERS GROVE, Ill.--(BUSINESS WIRE)-- DeVry Inc. (NYSE: DV), a global provider of educational services, today reported academic, operational and financial results for its fiscal 2013 second-quarter ended Dec. 31, 2012. DeVry also reported enrollment results at DeVry Medical International, Chamberlain College of Nursing, Carrington Colleges Group, and DeVry University and its Keller Graduate School of Management.

Academic and operational accomplishments included:

System-wide, 94 percent of graduates of Chamberlain’s Bachelor of Science in Nursing (BSN) campus programs passed the National Council Licensure Examination
Narrowing rate of decline in new undergraduate enrollment from the November to January sessions at DeVry University
13 percent increase in new enrollments at Carrington versus the prior year
26 percent increase in total enrollments at Chamberlain in the January session versus the prior year
5 percent enrollment growth at DeVry Medical International in the January term versus the prior year
69 percent revenue growth at DeVry Brasil in the quarter

Selected financial data for the three months ended Dec. 31, 2012:

Revenues decreased 3.6 percent to $505 million
Reported net income increased to $50 million from $9 million last year, and net income excluding discrete items was $56 million, down 10 percent
Reported diluted earnings per share increased to $0.78 from $0.13 per share last year, and earnings per share excluding discrete items was $0.87 per share, down 5 percent

Selected financial data for the six months ended Dec. 31, 2012:

Revenues decreased 5.3 percent to $988 million
Reported net income increased to $82 million from $66 million last year, and net income excluding discrete items was $88 million, down 26 percent
Reported diluted earnings per share increased to $1.27 from $0.97 per share last year, and earnings per share excluding discrete items was $1.36 per share, down 22 percent
Operating cash flow was $180 million, compared to $219 million last year
Repurchased 1,669,718 shares of DeVry common stock for approximately $38.6 million, at an average price of $23.10. DeVry completed its seventh share repurchase program and began its eighth, $100 million program.

Reported results for both the current and prior year periods include discrete items. The results for the three and six months ended Dec. 31, 2012, include a $5.9 million after-tax, restructuring charge related to the decisions to relocate and consolidate facilities at DeVry Online Services, Carrington Colleges and DeVry University. The results for the three and six months ended Dec. 31, 2011, include impairment charges of $55.8 million, after-tax, and a $2.2 million gain, net of tax.

DeVry’s results reflect the progress of its performance improvement plan. The plan is focused on aligning its cost structure to enrollment levels; regaining enrollment growth momentum; and making targeted investments to drive growth. DeVry now expects to realize at least $80 million in cost reductions, up from the $60 million previously projected for the fiscal year.

“We made solid progress on our performance improvement plan at Carrington Colleges Group, achieving growth in both new and total students in the quarter,” said Daniel Hamburger, DeVry’s president and chief executive officer. “While the pace of recovery in new undergraduate student enrollment at DeVry University is slower than we would like, we are encouraged by the improvement from November to January sessions. Overall, DeVry’s focus on quality and diversification is helping us as we work through the cyclical weakness.”

Organizational Highlights

Business, Technology and Management Segment

DeVry University

For the November 2012 session at DeVry University new undergraduate enrollments decreased 15.5 percent to 5,482 compared to 6,488 the previous year. Total undergraduate students decreased 17.6 percent to 49,515 versus 60,103 for the session a year ago. In addition to overall cyclical weakness across higher education, adjustments following recent workforce reductions combined with the impacts of Hurricane Sandy affected November enrollment results. The rate of decline in new student enrollment narrowed in the January session. January 2013 new undergraduate enrollments decreased 4.7 percent to 5,330 compared to 5,593 the previous year. Total undergraduate students decreased 14.9 percent to 53,138 versus 62,435 for the January session a year ago.

At the graduate level, including Keller Graduate School of Management, total coursetakers in the November session decreased 16.0 percent to 19,540 versus 23,264 for the same session a year ago. For the January session, total graduate coursetakers decreased 12.1 percent to 21,131 versus 24,029 for the same session a year ago.

The total number of online undergraduate and graduate coursetakers in the November session decreased 11.7 percent to 62,899 versus 71,255 in the same session a year ago. For January, total online coursetakers decreased 9.9 percent to 67,983 versus 75,487.

Medical and Healthcare Segment

DeVry Medical International

In the January 2013 term for DeVry Medical International, new students increased 0.3 percent to 603 compared to 601 students for prior year session. Total students increased 4.9 percent to 6,318 compared to 6,024 students in the same session last year. Ross University School of Medicine recently received a 5-year reaccreditation from the Dominica Medical Board. Expansion of American University of the Caribbean School of Medicine’s campus continues with a new academic building under construction. Completion is scheduled for fall 2013.

Chamberlain College of Nursing

Chamberlain's new student enrollment in the November session increased 13.5 percent to 2,121 students as compared to 1,868 in November 2011. Total student enrollment increased 15.3 percent to 12,247 students compared with 10,619 during the same period last year.

For the January session, new student enrollment increased 87.8 percent to 2,120 students, compared to 1,129 in January 2012. New student enrollment was positively impacted by a change to the academic calendar that increased the number of enrollment periods for campus-based students this fiscal year. There were no campus based new student enrollments in the January 2012 session. Chamberlain also experienced record enrollment in its RN to BSN and Master of Science in Nursing degree programs in the January 2013 session. Total student enrollment rose 26.0 percent to 13,714 students compared with 10,888 in the previous year.

During the quarter, the Sigma Theta Tau International and Chamberlain College of Nursing Center for Excellence in Nursing Education was established. This partnership with the honor society of nursing will provide career and leadership development for nurse educators, and develop programs to promote nursing education globally.

Chamberlain recently received approvals from the Higher Learning Commission for a Doctor of Nursing Practice program, which will begin in May. In addition, Chamberlain received approval for its Tinley Park, Ill., location, which is also scheduled to open in May.

Carrington Colleges Group

For the three month period ending Dec. 31, 2012, new student enrollment for Carrington Colleges Group increased 12.7 percent to 1,763 versus 1,565 in the previous year marking its second consecutive quarter with new student enrollment growth. Total enrollment returned to growth, increasing 0.4 percent to 7,405 compared to 7,379 in the prior year.

International, K-12, and Professional Education Segment

Becker Professional Education

During the quarter, Becker released the latest version of its CPA Exam Review course. The enhanced course offers students the flexibility to study anywhere, anytime from any internet-connected computer or mobile device, as well as to download materials and work offline. Year to date, Becker’s revenue has grown six percent driven by the acquisition of Falcon Physician Reviews.

DeVry Brasil

The integrations of DeVry Brasil’s most recent acquisitions, Faculdade Boa Viagem (FBV) and Faculdade do Vale do Ipojuca (FAVIP), are progressing ahead of expectations. DeVry Brasil continues to expand its programs and services, while exploring further opportunities to serve students throughout Brazil. Year to date revenues have grown 62 percent, fueled in part by the acquisitions of FBV and FAVIP.

Balance Sheet/Cash Flow

For the first six months of fiscal year 2013, DeVry generated $180 million of operating cash flow. As of Dec. 31, 2012, cash, marketable securities and investment balances totaled $219.0 million and there were no outstanding borrowings.

Share Repurchase Plan

During the quarter, DeVry repurchased 538,844 shares of its common stock for approximately $13 million, at an average cost of $23.84 per share. During the first six months, 1,669,718 shares of DeVry common stock was repurchased for approximately $38.6 million, at an average price of $23.10.

Conference Call and Webcast Information

DeVry will host a conference call on Feb. 6, 2013, at 4:00 p.m. Central Standard Time (5:00 p.m. Eastern Standard Time) to discuss its fiscal 2013 second-quarter results. The conference call will be led by Daniel Hamburger, president and CEO, Tim Wiggins, senior vice president and chief financial officer, and Pat Unzicker, vice president of finance and chief accounting officer.

For those wishing to participate by telephone, dial 800-659-2032 (domestic) or 617-614-2712 (international). Use passcode 52935500 or say “DeVry Call”. DeVry will also broadcast the conference call live via the web. Interested parties may access the webcast through the Investor Relations section of DeVry’s website, or http://www.media-server.com/m/p/pnh7d7g3. Please access the website at least 15 minutes prior to the start of the call to register, download and install any necessary audio software.

DeVry will archive a telephone replay of the call until March 5, 11:59 p.m. To access the replay, dial 888-286-8010 (domestic) or 617-801-6888 (international), passcode 74616286. To access the webcast replay, please visit the company's website, or http://www.media-server.com/m/p/pnh7d7g3.

About DeVry Inc.

DeVry's purpose is to empower its students to achieve their educational and career goals. DeVry (NYSE: DV; member S&P MidCap 400 Index) is a global provider of educational services and the parent organization of Advanced Academics, American University of the Caribbean School of Medicine, Becker Professional Education, Carrington College, Carrington College California, Chamberlain College of Nursing, DeVry Brasil, DeVry University, Ross University School of Medicine and Ross University School of Veterinary Medicine. These institutions offer a wide array of programs in business, healthcare, technology, accounting and finance. For more information, please call 630.353.3800 or visit http://www.devryinc.com.

Certain statements contained in this release concerning DeVry's future performance, including those statements concerning DeVry's expectations or plans, may constitute forward-looking statements subject to the Safe Harbor Provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by phrases such as DeVry or its management "believes," "expects," "anticipates," "foresees," "forecasts," "estimates" or other words or phrases of similar import. Actual results may differ materially from those projected or implied by these forward-looking statements. Potential risks, uncertainties and other factors that could cause results to differ are described more fully in Item 1A, "Risk Factors," in DeVry's most recent Annual Report on Form 10-K for the year ending June 30, 2012 and filed with the Securities and Exchange Commission on August 28, 2012.

Selected Operating Data (in thousands, except per share data)

	Second Quarter
	FY 2013		FY 2012		Change
Revenues	$	505,244	$	524,049	-3.6	%
Net Income	$	50,286	$	8,865	+467.2	%
Earnings per Share (diluted)	$	0.78	$	0.13	+500.0	%
Number of common shares (diluted)		64,536		68,076	-5.2	%

	Six Months
	FY 2013		FY 2012		Change
Revenues	$	987,980	$	1,043,087	-5.3	%
Net Income	$	82,275	$	66,349	+24.0	%
Earnings per Share (diluted)	$	1.27	$	0.97	+30.9	%
Number of common shares (diluted)		64,788		68,742	-5.7	%

Use of Non-GAAP Financial Information and Supplemental Reconciliation Schedule

During the second quarter of fiscal year 2013, DeVry recorded a restructuring charge for the write-down of land, building and equipment related to its decision to relocate a facility in Wood Dale, IL, in order to consolidate administrative operations in the Chicagoland area. DeVry also recorded restructuring charges to consolidate facilities at Carrington College and DeVry University. During the second quarter of fiscal year 2012, DeVry recorded impairment charges related to its Carrington Colleges reporting unit. DeVry also recorded a gain from the sale of Becker’s Stalla CFA review operations. The following table illustrates the effects of these restructuring and impairment charges and gain on sale of assets on DeVry’s results. Management believes that the non-GAAP disclosure of net income and earnings per share provides investors with useful supplemental information regarding the underlying business trends and performance of DeVry’s ongoing operations and is useful for period-over period comparisons of such operations given the discrete nature of the restructuring and impairment charges and gain on the sale of assets. DeVry uses these supplemental financial measures internally in its management and budgeting processes. However, the non-GAAP financial measures should be viewed in addition to, and not as a substitute for, DeVry’s reported results prepared in accordance with GAAP. The following table reconciles these items to the relevant GAAP information (in thousands, except per share data):

	For The Three Months					For The Six Months
	Ended December 31:					Ended December 31:
	2013		2012			2013		2012
Net Income	$	50,286	$	8,865		$	82,275	$	66,349
Earnings per Share (diluted)	$	0.78	$	0.13		$	1.27	$	0.97
Restructuring Expense (net of tax)	$	5,940		--		$	5,940		--
Effect on Earnings per Share (diluted)	$	0.09		--		$	0.09		--
Impairment Charges (net of tax)		--	$	55,751			--	$	55,751
Effect on Earnings per Share (diluted)		--	$	0.82			--	$	0.81
Gain on Sale of Assets (net of tax)		--	$	(2,216	)		--	$	(2,216	)
Effect on Earnings per Share (diluted)		--	$	(0.03	)		--	$	(0.03	)
Net Income Excluding the Restructuring
and Impairment Charges and Gain
on Sale of Assets and Severance	$	56,226	$	62,400		$	88,215	$	119,884
Earnings per Share Excluding the
Restructuring and Impairment Charges
and Gain on Sale of Assets (diluted)	$	0.87	$	0.92		$	1.36	$	1.74

November 2012 and January 2013 Enrollment Results
	2011/12	2012/13	% Change
DeVry Inc. Student Enrollments⁽¹⁾

New students	15,195	16,047	+5.6
Total students	131,134	124,007	-5.4

DeVry University
Undergraduate – November Session
New students	6,488	5,482	-15.5
Total students	60,103	49,515	-17.6
Undergraduate – January Session
New students	5,593	5,330	-4.7
Total students	62,435	53,138	-14.9
Graduate – November Session
Coursetakers⁽²⁾	23,264	19,540	-16.0
Graduate – January Session
Coursetakers⁽²⁾	24,029	21,131	-12.1
Online
November Session
Total coursetakers⁽²⁾⁽³⁾	71,255	62,899	-11.7
January Session
Total coursetakers⁽²⁾⁽³⁾	75,487	67,983	-9.9

Chamberlain College of Nursing
November Session
New students	1,868	2,121	+13.5
Total students	10,619	12,247	+15.3
January Session
New students	1,129	2,120	+87.8
Total students	10,888	13,714	+26.0

The Carrington Colleges Group
3 months ending Dec. 31, 2012
New students	1,565	1,763	+12.7
Total students	7,379	7,405	+0.4

DeVry Medical International
January Term
New students	601	603	+0.3
Total students	6,024	6,318	+4.9

1. Excludes Becker and Advanced Academics. Includes enrollments at DeVry Brasil reported in October 2012.

2. The term “coursetaker” refers to the number of courses taken by a student. Thus one student taking two courses equals two coursetakers.

3. Includes both undergraduate and graduate students.

Chart 1: DeVry Inc. Remaining Calendar 2013 Announcements & Events

April 23, 2013				Fiscal 2013 Third Quarter Results and March Enrollment
				DeVry University Chamberlain College of Nursing Carrington Colleges Group DeVry Brasil
August 8, 2013				Fiscal 2013 Fourth Quarter and May/July Enrollment
				DeVry University Chamberlain College of Nursing Carrington Colleges Group DeVry Medical International
October 24, 2013				Fiscal 2014 First Quarter Results and September Enrollment
				DeVry University Chamberlain College of Nursing Carrington Colleges Group DeVry Medical International DeVry Brasil
November 6, 2013				Annual Shareholder’s Meeting

DEVRY INC.
CONSOLIDATED BALANCE SHEETS
(Dollars in Thousands)
(Unaudited)
PRELIMINARY

				December 31,			June 30,			December 31,
				2012			2012			2011

ASSETS

	Current Assets

		Cash and Cash Equivalents		$	216,259		$	174,076		$	285,749
		Marketable Securities and Investments			2,752			2,632			2,499
		Restricted Cash			3,894			2,498			30,799
		Accounts Receivable, Net			139,658			113,911			145,488
		Deferred Income Taxes, Net			25,176			27,845			21,760
		Refundable Income Taxes			23,827			40,278			7,560
		Prepaid Expenses and Other			39,205			39,874			34,925

			Total Current Assets		450,771			401,114			528,780

	Land, Buildings and Equipment

		Land			65,963			65,172			61,360
		Buildings			388,259			386,028			366,102
		Equipment			472,042			433,949			444,851
		Construction In Progress			48,143			61,752			47,926

					974,407			946,901			920,239

		Accumulated Depreciation and Amortization			(415,050	)		(387,924	)		(395,331	)

			Land, Buildings and Equipment, Net		559,357			558,977			524,908

	Other Assets

		Intangible Assets, Net			294,177			285,220			276,448
		Goodwill			566,199			549,961			553,456
		Perkins Program Fund, Net			13,450			13,450			13,450
		Other Assets			30,112			29,894			27,290

			Total Other Assets		903,938			878,525			870,644

TOTAL ASSETS				$	1,914,066		$	1,838,616		$	1,924,332

DEVRY INC.
CONSOLIDATED BALANCE SHEETS
(Dollars in Thousands)
(Unaudited)
PRELIMINARY

				December 31,			June 30,			December 31,
				2012			2012			2011

LIABILITIES

	Current Liabilities

		Accounts Payable		$	60,669		$	63,094		$	51,413
		Accrued Salaries, Wages and Benefits			64,043			77,741			58,792
		Accrued Expenses			71,466			76,243			37,217
		Advance Tuition Payments			32,159			20,580			19,701
		Deferred Tuition Revenue			109,191			77,551			259,967

			Total Current Liabilities		337,528			315,209			427,090

	Non-Current Liabilities

		Deferred Income Taxes, Net			63,946			62,276			64,570
		Deferred Rent and Other			107,333			96,496			71,001

			Total Non-current Liabilities		171,279			158,772			135,571

TOTAL LIABILITIES					508,807			473,981			562,661

NON-CONTROLLING INTEREST					8,901			8,242			7,632

SHAREHOLDERS' EQUITY

	Common Stock, $0.01 par value, 200,000,000 Shares Authorized;
	63,287,000, 64,722,000 and 66,569,000 Shares issued
	and outstanding at December 31, 2012, June 30, 2012
	and December 31, 2011, respectively.				744			741			740
	Additional Paid-in Capital				280,901			272,962			260,755
	Retained Earnings				1,560,130			1,488,988			1,423,651
	Accumulated Other Comprehensive Income				(6,696	)		(5,889	)		4,458
	Treasury Stock, at Cost (11,079,000, 9,386,000 and 7,416,000
	Shares, Respectively)				(438,721	)		(400,409	)		(335,565	)

TOTAL SHAREHOLDERS' EQUITY					1,396,358			1,356,393			1,354,039

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY				$	1,914,066		$	1,838,616		$	1,924,332

DEVRY INC.
CONSOLIDATED STATEMENTS OF INCOME
(Dollars in Thousands Except for Per Share Amounts)
(Unaudited)
PRELIMINARY

			For The Quarter						For The Six Months
			Ended December 31,						Ended December 31,
			2012			2011			2012			2011
REVENUES:
	Tuition		$	476,459		$	496,294		$	927,960		$	982,781
	Other Educational			28,785			27,755			60,020			60,306

		Total Revenues		505,244			524,049			987,980			1,043,087

OPERATING COSTS AND EXPENSES:
	Cost of Educational Services			243,401			241,212			485,946			479,460
	Student Services and Administrative Expense			186,454			194,042			380,855			394,967
	Restructuring Charges			9,484			-			9,484			-
	Asset Impairment Charges			-			75,039			-			75,039

		Total Operating Costs and Expenses		439,339			510,293			876,285			949,466

Operating Income				65,905			13,756			111,695			93,621

INTEREST AND OTHER INCOME (EXPENSE):
	Interest Income			230			226			791			410
	Interest Expense			(759	)		(481	)		(2,250	)		(1,003	)
	Net Gain on Sale of Assets			-			3,695			-			3,695

		Net Interest and Other Income (Expense)		(529	)		3,440			(1,459	)		3,102

Income Before Income Taxes				65,376			17,196			110,236			96,723

Income Tax Provision				14,152			7,916			27,190			30,131

NET INCOME				51,224			9,280			83,046			66,592

	Net Income Attributable to Noncontrolling Interest			(938	)		(415	)		(771	)		(243	)

NET INCOME ATTRIBUTABLE TO DEVRY INC.			$	50,286		$	8,865		$	82,275		$	66,349

EARNINGS PER COMMON SHARE ATTRIBUTABLE
	TO DEVRY INC. SHAREHOLDERS
	Basic		$	0.78		$	0.13		$	1.27		$	0.97
	Diluted		$	0.78		$	0.13		$	1.27		$	0.97

Cash Dividend Declared per Common Share			$	0.17		$	0.15		$	0.17		$	0.15

DEVRY INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Dollars in Thousands)
(Unaudited)
PRELIMINARY

				For The Six Months
				Ended December 31,
				2012			2011

CASH FLOWS FROM OPERATING ACTIVITIES:
	Net Income			$	83,046		$	66,592
	Adjustments to Reconcile Net Income to Net
	Cash Provided by Operating Activities:

		Stock-Based Compensation Expense			8,370			8,854
		Depreciation			42,219			36,959
		Amortization			5,019			5,372
		Impairment of Goodwill and Intangible Assets			-			75,039
		Provision for Refunds and Uncollectible Accounts			41,094			48,595
		Deferred Income Taxes			2,017			(1,765	)
		Loss on Disposals of Land, Buildings and Equipment			2,237			488
		Unrealized Loss on Assets Held for Sale			6,250			-
		Realized Gain on Sale of Assets			-			(3,695	)
		Changes in Assets and Liabilities, Net of Effects from
		Acquisitions and Divestitures of Businesses:
			Restricted Cash		(1,396	)		(28,491	)
			Accounts Receivable		(63,462	)		(79,995	)
			Prepaid Expenses And Other		25,691			(5,820	)
			Accounts Payable		(2,426	)		(13,121	)
			Accrued Salaries, Wages, Expenses and Benefits		(11,510	)		(67,398	)
			Advance Tuition Payments		11,416			(2,379	)
			Deferred Tuition Revenue		31,640			180,061

	NET CASH PROVIDED BY OPERATING ACTIVITIES				180,205			219,296

CASH FLOWS FROM INVESTING ACTIVITIES:
	Capital Expenditures				(48,185	)		(63,027	)
	Marketable Securities Purchased				(82	)		(58	)
	Marketable Securities Sales				-			-
	Payment for Purchase of Business, Net of Cash Acquired				(31,386	)		(225,903	)
	Cash Received from Sale of Assets				-			4,475

	NET CASH USED IN INVESTING ACTIVITIES				(79,653	)		(284,513	)

CASH FLOWS FROM FINANCING ACTIVITIES:
	Proceeds from Exercise of Stock Options				1,139			3,524
	Proceeds from Stock issued Under Employee Stock Purchase Plan				756			792
	Repurchase of Common Stock for Treasury				(38,567	)		(92,033	)
	Cash Dividends Paid				(20,707	)		(8,285	)
	Excess Tax Benefit from Stock-Based Payments				58			272
	Payment of Debt Financing Fees				-			(70	)

	NET CASH USED IN FINANCING ACTIVITIES				(57,321	)		(95,800	)

Effects of Exchange Rate Differences					(1,048	)		(379	)

NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS					42,183			(161,396	)

Cash and Cash Equivalents at Beginning of Period					174,076			447,145

Cash and Cash Equivalents at End of Period				$	216,259		$	285,749

DEVRY INC.
SEGMENT INFORMATION
(Dollars in Thousands)
(Unaudited)
PRELIMINARY

	For The Quarter								For The Six Months
	Ended December 31,								Ended December 31,
							Increase								Increase
	2012			2011			(Decrease)		2012			2011			(Decrease)
REVENUES:
Business, Technology and Management	$	280,239		$	325,573		-13.9	%	$	564,853		$	663,169		-14.8	%
Medical and Healthcare		167,746			153,520		9.3	%		326,103			300,973		8.3	%
International, K-12 and Professional Education		57,259			44,956		27.4	%		97,024			78,945		22.9	%

Total Consolidated Revenues		505,244			524,049		-3.6	%		987,980			1,043,087		-5.3	%

OPERATING INCOME:
Business, Technology and Management		38,835			57,821		-32.8	%		64,405			119,183		-46.0	%
Medical and Healthcare		26,705			(51,933	)	NM			51,887			(28,644	)	NM
International, K-12 and Professional Education		13,937			10,151		37.3	%		13,628			7,164		90.2	%
Reconciling Items:
Amortization Expense		(2,412	)		(2,726	)	-11.5	%		(4,690	)		(5,044	)	-7.0	%
Depreciation and Other		(11,160	)		443		NM			(13,535	)		962		NM

Total Consolidated Operating Income		65,905			13,756		379.1	%		111,695			93,621		19.3	%

INTEREST AND OTHER INCOME (EXPENSE):
Interest Income		230			226		1.8	%		791			410		92.9	%
Interest Expense		(759	)		(481	)	57.8	%		(2,250	)		(1,003	)	124.3	%
Net Gain on Sale of Assets		-			3,695		NM			-			3,695		NM

Net Interest and Other Income (Expense)		(529	)		3,440		-115.4	%		(1,459	)		3,102		-147.0	%

Total Consolidated Income before Income Taxes	$	65,376		$	17,196		280.2	%	$	110,236		$	96,723		14.0	%

Restructuring charges were recorded for the three and six months ended December 31, 2012. These charges are related to DeVry Inc. (not related to any segment), the Business, Technology and Management segment and DeVry's Carrington Colleges Group which is part of the Medical and Healthcare segment. Intangible asset and goodwill impairment charges were recorded for the three and six month periods ended December 31, 2011. These charges are related to DeVry's Carrington Colleges Group, Inc. The following table illustrates the effects of these impairment charges on the operating income of the Business, Technology and Management segment and the Medical and Healthcare segment. Management believes that the non-GAAP disclosure of operating earnings provides investors with useful supplemental information regarding the underlying business trends and performance of DeVry’s ongoing operations and are useful for period-over-period comparisons of such operations given the discrete nature of these restructuring and impairment transactions. DeVry uses these supplemental financial measures internally in its budgeting process. However, the non-GAAP financial measures should be viewed in addition to, and not as a substitute for, DeVry’s reported results prepared in accordance with GAAP. The following table reconciles these items to the relevant GAAP information:


	For The Quarter							For The Six Months
	Ended December 31,							Ended December 31,
						Increase							Increase
	2012		2011			(Decrease)		2012		2011			(Decrease)
Business, Technology and Management Operating Income	$	38,835	$	57,821		-32.8	%	$	64,405	$	119,183		-46.0	%
Restructuring Charge		200		-		NM			200		-		NM
Business, Technology and Management Operating Income
Excluding Restructuring Charge	$	39,035	$	57,821		-32.5	%	$	64,605	$	119,183		-45.8	%

Medical and Healthcare Operating Income	$	26,705	$	(51,933	)	NM		$	51,887	$	(28,644	)	NM
Restructuring Charge		1,416		-		NM			1,416		-		NM
Asset Impairment Charge		-		75,039		NM			-		75,039		NM
Medical and Healthcare Operating Income
Excluding Charge for Asset Impairments	$	28,121	$	23,106		21.7	%	$	53,303	$	46,395		14.9	%