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Washington Post's share price plunges on education company troubles

Of course great newspaper companies cannot live by newspapers alone. Of course they need to diversify. But whoops! There goes the Washington Post share price to its lowest point in a year, with Moody's credit rating agency warning of a downgrade – and it's nothing to do with the news business. Some 62% of Post revenues last year come from the Kaplan private education empire it owns: 600 institutions in 30 countries, 1 million students, 31,000 staff. It's a profitable empire over two dozen major sites in the UK alone. Think Liverpool, Leicester and Bradford, as well as Holborn College. But in the US, its former students seem a bit slow at repaying their loans – repayment rates are 28% as opposed to 54% of alumni at public colleges – and federal financial aid is in jeopardy. So the share price plummets. And what can a crusading, transparent newspaper do about that?

Source: The Guardian ↗

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