TMA Midwest Honors AlixPartners, Career Education
AlixPartners and Career Education received the Turnaround Management Association’s Midwest Chapter’s Large Turnaround of the Year award. The AlixPartners team was led by Darin Facer and Keith Gillespie, managing directors in the firm’s Enterprise Improvement group.
AlixPartners and Career Education worked together to successfully execute a turnaround plan that, along with other actions, saw a reduction of operating expenses by $270 million and an improvement of net cash flow of $118 million in 2013, compared to 2012. Most importantly, the turnaround actions are seen as continuing educational opportunities for the more than 45,000 students who attend Career Education colleges, universities and institutes.
“We’re very proud of the team’s accomplishments and the fact that Career Education is on more solid financial footing today,” Facer said. “In today’s low-growth world, creating or even preserving economic value is always a struggle, but with a great working relationship with the Career Education leadership team, we were able to accomplish that together.”
Gillespie said, “AlixPartners’ tagline is ‘When it really matters,’ and I think, working hand-in-hand with the management team at Career Education, this engagement proved that motto true. Together, we acted quickly and decisively to improve financial performance while, importantly, maintaining and even enhancing the aspects of the business that are the most valued by students at Career Education institutions.”
“Including our work with AlixPartners, we’ve implemented changes that have created operational efficiencies,” said Career Education President and CEO Scott W. Steffey. “We’ve continued to right-size our infrastructure while still investing in high-priority areas, such as our innovative adaptive learning technology and the development of new and improved career-focused educational programs. We’re grateful for the role AlixPartners played.”
The award will be presented at the TMA’s Sixth Annual Executive Speaker Forum, an event featuring former Massachusetts Governor Mitt Romney as keynote speaker, held on November 24, 2014, in Chicago.