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Corinthian to Sell Assets in Wind Down

Santa Ana-based Corinthian Colleges Inc. said it would sell some assets to raise money to fund the winding down of its operations and, separately, that it had paid back rent its landlord said it owed.

On Aug. 20, the company agreed to sell a portion of student loans, some equipment from its WyoTech unit, and real estate in Melbourne, Fla., for $20 million.

More than 90% of the total was the student loans, spokesperson Kent Jenkins said.

Federal consumer finance regulators have told the company that it needs to consult with them before selling any more loans, Jenkins said.

Corinthian lender Bank of America had previously said it would require the education company to sell the assets for at least $20 million, reports said.

Corinthian, in a separate action, said it repaid a missed lease payment to the owner of its headquarters, Equity Office Management LLC, which had filed suit earlier this month to recover $381,000.

Corinthian agreed in July to begin closing or selling schools and campuses as part of a shutdown of the company. At the time, it served 72,000 students at 107 campuses in the U.S. and Canada.

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