<SUBMISSION>
<ACCESSION-NUMBER>0000950133-04-003525
<TYPE>8-K
<PUBLIC-DOCUMENT-COUNT>4
<PERIOD>20040916
<ITEMS>1.01
<ITEMS>3.02
<ITEMS>9.01
<FILING-DATE>20040917
<DATE-OF-FILING-DATE-CHANGE>20040917
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>LAUREATE EDUCATION, INC.
<CIK>0000912766
<ASSIGNED-SIC>8200
<IRS-NUMBER>521492296
<STATE-OF-INCORPORATION>MD
<FISCAL-YEAR-END>1231
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>8-K
<ACT>34
<FILE-NUMBER>000-22844
<FILM-NUMBER>041035488
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>1001 FLEET STREET
<CITY>BALTIMORE
<STATE>MD
<ZIP>21202
<PHONE>4108436100
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>1001 FLEET STREET
<CITY>BALTIMORE
<STATE>MD
<ZIP>21202
</MAIL-ADDRESS>
<FORMER-COMPANY>
<FORMER-CONFORMED-NAME>SYLVAN LEARNING SYSTEMS INC
<DATE-CHANGED>19930929
</FORMER-COMPANY>
</FILER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>w02103e8vk.htm
<DESCRIPTION>FORM 8-K
<TEXT>
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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="center" style="font-size: 14pt"><B>UNITED STATES<BR>
SECURITIES AND EXCHANGE COMMISSION</B>

<DIV align="center" style="font-size: 12pt"><B>Washington, D.C. 20549</B>
</DIV>

<DIV align="center" style="font-size: 10pt"><HR align="center" size="1" noshade width="25%"></DIV>


<P align="center" style="font-size: 18pt"><B>FORM 8-K</B>


<P align="center" style="font-size: 10pt"><B>CURRENT REPORT<BR>
Pursuant to Section&nbsp;13 or 15(d) of the Securities Exchange Act of 1934</B>



<P align="left" style="font-size: 10pt">Date of Report (Date of
earliest event reported): <B>September&nbsp;16, 2004</B>


<P align="center" style="font-size: 24pt"><B>LAUREATE EDUCATION, INC.</B>

<DIV align="center" style="font-size: 10pt">(Exact name of registrant as specified in its charter)</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
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<TR valign="bottom">
    <TD width="30%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="30%">&nbsp;</TD>
</TR>
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<TR valign="bottom">
    <TD align="center" valign="top"><B>Maryland</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>0-22844</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>52-1492296</B></TD>
</TR>

<TR valign="bottom">
    <TD align="center" valign="top">(State or other jurisdiction
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(Commission
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">(IRS Employer</TD>
</TR>

<TR valign="bottom">
    <TD align="center" valign="top">of incorporation)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">File Number)
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Identification No.)</TD>
</TR>

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</DIV>



<P align="center" style="font-size: 10pt"><B>1001 Fleet Street, Baltimore, Maryland 21202</B>


<DIV align="center" style="font-size: 10pt">(Address of principal executive offices)&nbsp; &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ZIP Code)</DIV>



<P align="left" style="font-size: 10pt">Registrant&#146;s telephone number, including area code: <B>(410)&nbsp;843-6100</B>



<P align="center" style="font-size: 10pt"><HR size="1" noshade width="100%" align="center">


<DIV align="center" style="font-size: 10pt">(Former name or former address, if changed since last report.)</DIV>



<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:


<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<TD width="0%" nowrap align="left">&#091;&nbsp;&nbsp;&#093;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD> Written communications pursuant to Rule&nbsp;425 under the Securities Act (17 CFR 230.425)</TD>
</TR>

<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<TD width="0%" nowrap align="left">&#091;&nbsp;&nbsp;&#093;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD> Soliciting material pursuant to Rule&nbsp;14a-12 under the Exchange Act (17 CFR 240.14a-12)</TD>
</TR>

<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<TD width="0%" nowrap align="left">&#091;&nbsp;&nbsp;&#093;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD> Pre-commencement communications pursuant to Rule&nbsp;14d-2(b) under the
Exchange Act (17 CFR 240.14d-2(b))</TD>
</TR>

<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
<TD width="0%" nowrap align="left">&#091;&nbsp;&nbsp;&#093;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD> Pre-commencement communications pursuant to Rule&nbsp;13e-4(c) under the
Exchange Act (17 CFR 240.13e-4(c))</TD>
</TR>

</TABLE>

<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<P><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">



</TABLE>


<P align="left" style="font-size: 10pt"><B>Section&nbsp;1 &#150; Registrant&#146;s Business and Operations</B>



<P align="left" style="font-size: 10pt">Item&nbsp;1.01. Entry into a Material Definitive Agreement



<P align="left" style="font-size: 10pt">
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On September&nbsp;16, 2004, Laureate Education, Inc.
(the &#147;Company&#148;) and Laureate Acquisition Corporation, a newly-formed and wholly-owned subsidiary of
the Company (the &#147;Merger Sub&#148;), completed the acquisition of all of the remaining issued and
outstanding capital stock of Walden e-Learning, Inc., a Delaware corporation
(&#147;Walden&#148;), for consideration consisting of 2,500,000 shares of common stock,
par value $0.01, of the Company and Notes representing in the aggregate, $19.0
million. The acquisition was pursuant to an Agreement and Plan of
Merger dated September 16, 2004 (the &#147;Merger Agreement&#148;) by
and among the Company, the Merger Sub and Walden. The Company had previously owned approximately 51% of the issued and
outstanding capital stock of Walden.



<P align="left" style="font-size: 10pt"><B>Section&nbsp;3 &#151; Securities and Trading Markets</B>


<P align="left" style="font-size: 10pt">Item&nbsp;3.02. Unregistered Sales of Equity Securities



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On September&nbsp;16, 2004, the Company issued 2,500,000 shares of its common
stock, par value $0.01, to certain former stockholders of Walden pursuant to
the Merger Agreement. The shares were issued in partial consideration for the
acquisition of all of the remaining issued and outstanding capital stock of
Walden. The aggregate value of the shares issued was $87,325,000, based on the
closing price of the Company&#146;s common stock of $34.93 on September&nbsp;15, 2004.
There were no underwriting discounts or commissions. The issuance of the
shares was exempt from registration pursuant to Section&nbsp;4(2) of the Securities
Act of 1933, as amended, as a transaction made solely to accredited investors
and not involving a public offering.





<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt"><B>Section&nbsp;9 &#150; Financial Statements and Exhibits</B>


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Item&nbsp;9.01. Financial Statements and Exhibits


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">(c)&nbsp;Exhibits.


<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="right">2.1</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Agreement and Plan of Merger dated as of September&nbsp;16, 2004, by and
among Laureate Education, Inc., Laureate Acquisition Corporation and
Walden e-Learning, Inc.</TD>
</TR>

<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="right">10.1</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Stockholders Exchange and Registration Rights Agreement dated as of
September&nbsp;16, 2004, by and among Laureate Education, Inc. and certain of
the former stockholders of Walden e-Learning, Inc.</TD>
</TR>

<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="right">99.1</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>

Press Release dated September 16, 2004.
</TD>
</TR>


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<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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</TABLE>


<P align="center" style="font-size: 10pt">SIGNATURES



<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Pursuant to the requirements of the Securities Exchange Act of 1934, as
amended, the registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
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    <TD width="48%">&nbsp;</TD>
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    <TD width="2%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>

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<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">LAUREATE EDUCATION, INC.</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">/s/ Sean R. Creamer</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left"><HR size="1" noshade width="70%" align="left"></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Sean R. Creamer</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title:
</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Senior Vice President and
Chief Financial Officer</TD>
</TR>

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</DIV>



<P align="left" style="font-size: 10pt">Date: September&nbsp;17, 2004



<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<P align="center" style="font-size: 10pt"><B>INDEX TO EXHIBITS</B>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="75%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="17%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="78%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="left"><B>Exhibit No.</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center"><B>Description</B></TD>
</TR>

<!-- End Table Head -->
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<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;2.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Agreement and Plan of Merger dated as of September&nbsp;16, 2004,
by and among Laureate Education, Inc., Laureate Acquisition
Corporation and Walden e-Learning, Inc.*</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;10.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Stockholders Exchange and Registration Rights Agreement dated
as of September&nbsp;16, 2004, by and among Laureate Education,
Inc. and certain of the former stockholders of Walden
e-Learning, Inc.*</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">

<TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Exhibit&nbsp;99.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">

Press Release dated September 16, 2004.
</TD>
</TR>


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</DIV>



<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" nowrap align="right">*</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Certain of the Exhibits to this agreement have been omitted in reliance
upon the rules of the Securities and Exchange Commission. A copy will be
delivered to the Securities and Exchange Commission upon request.</TD>
</TR>

</TABLE>



<P align="center" style="font-size: 10pt">&nbsp;
</DIV>


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<TYPE>EX-2.1
<SEQUENCE>2
<FILENAME>w02103exv2w1.htm
<DESCRIPTION>EXHIBIT 2.1
<TEXT>
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<P align="right" style="font-size: 10pt">EXHIBIT 2.1






<P align="center" style="font-size: 10pt"><B>AGREEMENT AND PLAN OF MERGER</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This AGREEMENT AND PLAN OF MERGER (this &#147;Agreement&#148;) is made and entered
into as of September&nbsp;16, 2004 by and among Laureate Education, Inc., a
Maryland corporation (the &#147;Acquiror&#148;), Laureate Acquisition Corporation, a
Delaware corporation and a wholly-owned subsidiary of the Acquiror (the &#147;Merger
Subsidiary&#148;) and Walden e-Learning, Inc., a Delaware corporation (the
&#147;Company&#148;).


<P align="center" style="font-size: 10pt">RECITALS



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Acquiror, the Merger Subsidiary and the Company believe it is in the
best interests of their respective companies and the stockholders of their
respective companies that the Company and the Merger Subsidiary combine into a
single company through the statutory merger of the Company with and into the
Merger Subsidiary (the &#147;Merger&#148;), with the Merger Subsidiary surviving the
Merger.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the Merger, among other things, each outstanding share of
common stock, par value $0.01 per share, of the Company (the &#147;Company Common
Stock&#148;), other than those held by the Acquiror, shall be converted into (i)
shares of common stock, par value $0.01 per share, of the Acquiror (the
&#147;Acquiror Stock&#148;) and (ii)&nbsp;Notes (as defined in Section&nbsp;1.6(b) below) to be
issued by the Acquiror representing in the aggregate, $19&nbsp;million.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For United States federal income tax purposes, the Merger is intended to
qualify as a reorganization under the provisions of section 368(a) of the
United States Internal Revenue Code of 1986, as amended.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Acquiror, the Merger Subsidiary and the Company desire to make certain
representations and warranties and other agreements in connection with the
Merger.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, in consideration of the foregoing and the representations,
warranties, covenants and agreements set forth herein, and other good and
valuable consideration, the receipt and adequacy of which are hereby
acknowledged, the parties hereto hereby agree as follows:


<P align="center" style="font-size: 10pt">ARTICLE I



<P align="center" style="font-size: 10pt"><U>THE MERGER</U>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1 <U>The Merger</U>. At the Effective Time (as defined below) and subject to
and upon the terms and conditions of this Agreement, the Certificate of Merger
attached hereto as <U>Exhibit&nbsp;A</U> (the &#147;Certificate of Merger&#148;) and the applicable
provisions of the Delaware General Corporation Law (&#147;Delaware Law&#148;), the
Company shall be merged with and into the Merger Subsidiary, the separate
corporate existence of the Company shall cease and the Merger Subsidiary shall
continue as the surviving corporation. The Merger Subsidiary as the surviving
corporation after the Merger is hereinafter sometimes referred to as the
&#147;Surviving Corporation.&#148;


<P align="center" style="font-size: 10pt">-1-
</DIV>

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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.2 <U>Closing; Effective Time</U>. The closing of the transactions contemplated
hereby (the &#147;Closing&#148;) shall take place at the offices of Piper Rudnick LLP,
6225 Smith Avenue, Baltimore, Maryland 21209-3600, at 10:00&nbsp;a.m. local time on
the date hereof or as soon thereafter as practicable (said time and date of
closing being herein called the &#147;Closing Date&#148;). On the Closing Date, the
parties shall cause the Merger to be consummated by filing the Certificate of
Merger with the Delaware Secretary of State in accordance with the relevant
provisions of Delaware Law (the time and date of such filing being the
&#147;Effective Time&#148; and the &#147;Effective Date,&#148; respectively).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3
<U>Effect of the Merger</U>. At the Effective Time, the effect of the
Merger shall be as provided in this Agreement, the Certificate of Merger and
the applicable provisions of Delaware Law. Without limiting the generality of
the foregoing, and subject thereto, at the Effective Time, all the property,
rights, privileges, powers and franchises of the Company and the Merger
Subsidiary shall vest in the Merger Subsidiary as the Surviving Corporation,
and all debts, liabilities and duties of the Company and the Merger Subsidiary
shall become the debts, liabilities and duties of the Merger Subsidiary as the
Surviving Corporation.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.4 <U>Charter; Bylaws</U>. At the Effective Time, the Certificate of
Incorporation of the Merger Subsidiary, as in effect immediately prior to the
Effective Time, shall be the Certificate of Incorporation of the Surviving
Corporation until thereafter amended as provided by Delaware Law and such
Certificate of Incorporation. The Bylaws of the Merger Subsidiary, as in
effect immediately prior to the Effective Time, shall be the Bylaws of the
Surviving Corporation until thereafter amended. In connection with the Merger,
the Surviving Corporation shall change its name to &#147;Walden e-Learning, Inc.&#148;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.5 <U>Directors and Officers</U>. At the Effective Time, the directors of the
Merger Subsidiary immediately prior to the Effective Time shall be the
directors of the Surviving Corporation, to hold office until such time as such
directors resign, are removed or their respective successors are duly elected
or appointed and qualified. The officers of the Merger Subsidiary immediately
prior to the Effective Time shall be the officers of the Surviving Corporation,
to hold office until such time as such officers resign, are removed or their
respective successors are duly elected or appointed and qualified.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.6 <U>Effect on Capital Stock</U>. As of the Effective Time, by virtue of the
Merger and without any action on the part of the Company, the Acquiror or the
Merger Subsidiary:


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;<U>Cancellation of Company Common Stock Owned by Acquiror</U>. Each share of
Company Common Stock owned by the Acquiror issued and outstanding immediately
prior to the Effective Time (the &#147;Cancelled Shares&#148;) shall automatically be
cancelled and retired and shall cease to exist, and no Acquiror Stock, Notes or
other consideration shall be delivered or deliverable in exchange therefor.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;<U>Conversion
of Company Common Stock</U>. Each share of Company Common
Stock issued and outstanding immediately prior to the Effective Time (other
than the Cancelled Shares) shall be converted into and become the right to
receive (i)&nbsp;0.2551021 shares of Acquiror Stock and (ii)&nbsp;a note issued by the
Acquiror in the amount set forth on <U>Exhibit&nbsp;B</U> hereto representing a <I>pro rata</I>
portion of $19&nbsp;million, based on the number of shares of Company


<P align="center" style="font-size: 10pt">-2-
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<DIV style="font-family: 'Times New Roman',Times,serif">

<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Common Stock owned by such stockholder of the Company immediately prior to
the Effective Time, the form of such Note to be as set forth in <U>Exhibit&nbsp;C</U>
hereto (each, a &#147;Note&#148;) ((i) and (ii)&nbsp;collectively being, the &#147;Merger
Consideration&#148;). As of the Effective Time, all such shares of Company Common
Stock shall no longer be outstanding and shall automatically be cancelled and
retired and shall cease to exist, and each holder of a certificate representing
any such shares of Company Common Stock shall cease to have any rights with
respect thereto, except the right to receive the Merger Consideration, upon
surrender of such certificate(s) in accordance with <U>Section&nbsp;1.7</U> of this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;<U>Conversion of Merger Subsidiary Shares</U>. Each share of common stock,
par value $0.01 per share, of the Merger Subsidiary issued and outstanding
immediately prior to the Effective Time (the &#147;Converted Shares&#148;), shall be
converted into and shall become one duly authorized, validly issued, fully paid
and non-assessable share of common stock, par value $0.01 per share, of the
Surviving Corporation. Each certificate representing any Converted Shares
shall continue to evidence ownership of such shares of capital stock of the
Surviving Corporation.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;<U>Fractional Shares</U>. No fraction of a share of Acquiror Stock will be
issued, but in lieu thereof each holder of shares of Company Common Stock who
would otherwise be entitled to a fraction of a share of Acquiror Stock (after
aggregating all fractional shares of Acquiror Stock to be received by such
holder) shall receive from the Acquiror an amount of cash (rounded to the
nearest whole cent) equal to the product of (i)&nbsp;such fraction multiplied by
(ii)&nbsp;the closing price per share of the Acquiror Stock as reported by the
Nasdaq Stock Market on the trading day immediately preceding the Closing Date.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.7 <U>Surrender and Exchange of Certificates</U>.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;<U>Availability of Consideration</U>. At the Effective Time, the Acquiror
shall make available and pay in accordance with the terms hereof: (i)&nbsp;the
Merger Consideration and (ii)&nbsp;cash in an amount sufficient to permit payment of
cash in lieu of fractional shares.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;<U>Exchange Procedure</U>. Each of the stockholders of the Company other
than the Acquiror (collectively, the &#147;Stockholders&#148;) has delivered to the
Acquiror on the Closing Date the original certificates or appropriate
affidavits of loss therefor (the &#147;Certificates&#148;) representing all of his, her
or its shares of Company Common Stock, and the Acquiror has (i)&nbsp;instructed (and
shall not revoke such instruction to) its transfer agent to deliver promptly on
the Closing Date to the holder of such Certificate, in exchange therefor, a
certificate representing the number of whole shares of Acquiror Stock into
which such Company Common Stock is converted, (ii)&nbsp;delivered to the holder of
such Certificate, in exchange therefor, cash in immediately available funds to
an account designated by such stockholder in lieu of fractional shares, and
(iii)&nbsp;delivered to the holder of such Certificate, in exchange therefor, its
<I>pro rata </I>portion of the Notes deliverable to the Stockholders.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;<U>Distributions with Respect to Unexchanged Shares</U>. No dividends or
other distributions with respect to Acquiror Stock with a record date after the
Effective Date shall be paid to the holder of any unsurrendered Certificate
with respect to the shares of Acquiror Stock represented thereby until the
holder of record of such Certificate surrenders such Certificate.


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Subject to applicable law, following surrender of any such Certificate,
there shall be paid to the record holder of the certificates representing whole
shares of Acquiror Stock issued in exchange therefor, without interest, at the
time of such surrender, the amount of any such dividends or other distributions
with a record date after the Effective Date which would have been previously
payable (but for the provisions of this <U>Section&nbsp;1.7(c))</U> with respect to such
shares of Acquiror Stock.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)&nbsp;<U>Transfers of Ownership</U>. If any certificate for shares of Acquiror
Stock is to be issued in a name other than that in which the Certificate
surrendered in exchange therefor is registered, it shall be a condition of the
issuance thereof that (i)&nbsp;the Certificate so surrendered is properly endorsed
and otherwise in proper form for transfer, (ii)&nbsp;the Person requesting such
exchange will have paid to the Acquiror any transfer or other taxes required by
reason of the issuance of a certificate for shares of Acquiror Stock in any
name other than that of the registered holder of the Certificate surrendered,
or established to the satisfaction of the Acquiror that such tax has been paid
or is not payable and (iii)&nbsp;the Person requesting such exchange will have
provided to the Acquiror an opinion of counsel satisfactory to the Acquiror
that such exchange complies with all applicable federal and state securities
laws. For purposes of this Agreement, &#147;Person&#148; means any natural person,
corporation, partnership, limited liability company, proprietorship, other
business organization, trust, union, association or any governmental,
regulatory or administrative body, agency, subdivision or authority, any court
or judicial authority, or any public, private or industry regulatory authority,
whether national, Federal, state, local, foreign or otherwise (a &#147;Governmental
Authority&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)&nbsp;<U>No Liability</U>. Notwithstanding anything to the contrary in this
<U>Section&nbsp;1.7</U>, no party hereto or any of their respective agents shall be liable
to any Person for any amount properly paid to a public official pursuant to any
applicable abandoned property, escheat or similar law.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.8 <U>No Further Ownership Rights in Company Common Stock</U>. All shares of
Acquiror Stock issued in exchange for the surrender of Certificates for Company
Common Stock held by the Stockholders on the Closing Date in accordance with
the terms hereof shall be deemed to be in full satisfaction of all rights
pertaining to such shares of Company Common Stock, and there shall be no
further registration of transfers on the records of the Surviving Corporation
of shares of Company Common Stock which were held by the Stockholders
immediately prior to the Closing. If, after the Closing, Certificates are
presented to the Surviving Corporation for any reason, they shall be cancelled
and exchanged as provided in this <U>Article&nbsp;I</U>.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.9 <U>Exemption from Registration</U>. The shares of Acquiror Stock to be
issued in connection with the Merger will be issued in a transaction exempt
from registration under (a)&nbsp;the Securities Act of 1933, as amended (the
&#147;Securities Act&#148;), by reason of Rule&nbsp;506 promulgated thereunder, and (b)
applicable state securities laws.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.10 <U>Private Placement of Shares; Registration Rights; Legends</U>.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)&nbsp;<U>Private Placement of Shares</U>. All of the shares of Acquiror Stock
issued in exchange for the outstanding shares of Company Common Stock held by
the Stockholders in connection with the Merger will be subject to the
restrictions upon transfer of such shares as


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">imposed on unregistered shares by the rules of the Securities and Exchange
Commission. The Acquiror Stock issued in connection with the Merger will be
&#147;restricted securities&#148; under the Securities Act and Rule&nbsp;144 promulgated
thereunder and may only be sold or otherwise transferred pursuant to an
effective registration statement under the Securities Act and applicable state
securities laws or pursuant to an exemption from the registration requirements
of the Securities Act and applicable state securities laws.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)&nbsp;<U>Registration Rights Agreement</U>. From and after the Effective Time, the
Stockholders shall have the rights and be subject to the limitations set forth
in the Stockholders Exchange and Registration Rights Agreement attached hereto
as <U>Exhibit&nbsp;D</U> (the &#147;Registration Rights Agreement&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)&nbsp;<U>Legends</U>. Each certificate representing shares of Acquiror Stock
issued in connection with the Merger shall bear a legend describing the
restrictions described in <U>Section&nbsp;1.10(a)</U> and <U>Section&nbsp;1.10(b)</U>.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.11 <U>Taking of Necessary Action; Further Action</U>. If, at any time after
the Effective Time, any further action is necessary or desirable to carry out
the purposes of this Agreement and to vest the Surviving Corporation with full
right, title and possession to all assets, property, rights, privileges, powers
and franchises of the Company and the Merger Subsidiary, the officers and
directors of the Company and the Merger Subsidiary are fully authorized in the
name of their respective corporations or otherwise to take, and shall take, all
such lawful and necessary action, so long as such action is not inconsistent
with this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.12 <U>Tax Treatment</U>. For United States federal income tax purposes, the
parties intend to have the Merger qualify as a reorganization under the
provisions of section 368(a) of the United States Internal Revenue Code of
1986, as amended.


<P align="center" style="font-size: 10pt">ARTICLE II



<P align="center" style="font-size: 10pt"><U>REPRESENTATIONS AND WARRANTIES OF THE COMPANY</U>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company represents and warrants to the Acquiror that the following
representations and warranties are, as of the date hereof, true and correct.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1 <U>Organization and Existence</U>. The Company is a corporation duly
organized, validly existing and in good standing under the laws of the State of
Delaware. The Company has full corporate power and authority to own its
properties and carry on its business as it is now being conducted.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2 <U>Execution and Effect of Agreement</U>. The Company has the corporate
power and authority to enter into this Agreement, to perform its obligations
hereunder and to consummate the transactions contemplated hereby. The
execution and delivery of this Agreement by the Company and the consummation by
the Company of the transactions contemplated hereby have been duly authorized
by all necessary corporate action on the part of the Company, and no other
proceeding on the part of the Company is necessary to authorize the execution,
delivery and performance of this Agreement and the transactions contemplated


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">hereby. This Agreement has been duly executed and delivered by the
Company and constitutes the legal, valid and binding obligation of the Company,
enforceable against it in accordance with its terms, subject to applicable
bankruptcy, insolvency, fraudulent conveyance, reorganization, moratorium and
similar laws affecting creditors&#146; rights and remedies generally, and subject as
to enforceability, to general principles of equity, including principles of
commercial reasonableness, good faith and fair dealing (regardless of whether
enforcement is sought in a proceeding at law or in equity), and except as
limited by the unenforceability under certain circumstances under law or court
decisions of provisions providing for the indemnification of or contribution by
a party with respect to a liability where such indemnification or contribution
is contrary to public policy (the &#147;Bankruptcy and Equity Exceptions&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3 <U>No Violation</U>. Neither the execution or delivery of this Agreement by
the Company nor the consummation of the transactions contemplated hereby will
violate any statute, regulation, rule, injunction, judgment, order, decree,
ruling, charge or restriction of any Governmental Authority, or court to which
the Company is a party or to which it is bound or subject, or the provisions of
the Certificate of Incorporation or Bylaws of the Company.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4 <U>Consents</U>. No consent, waiver, approval, permit, authorization of,
declaration to or filing with any third party or Governmental Authority on the
part of the Company is required in connection with the execution and delivery
of this Agreement or the consummation of the transactions contemplated hereby,
except for the filing of the Certificate of Merger and any filings as may be
required under applicable federal and state securities laws.


<P align="center" style="font-size: 10pt">ARTICLE III



<P align="center" style="font-size: 10pt"><U>REPRESENTATIONS AND WARRANTIES OF ACQUIROR AND MERGER SUBSIDIARY</U>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Each of the Acquiror and the Merger Subsidiary hereby jointly and
severally represents and warrants to Company that the following representations
and warranties are, as of the date hereof, true and correct.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1 <U>Organization and Existence</U>. The Acquiror is a corporation duly
organized, validly existing and in good standing under the laws of the State of
Maryland. The Acquiror has full corporate power and authority to own its
properties and carry on its business as it is now being conducted. The Merger
Subsidiary is a corporation duly organized, validly existing and in good
standing under the laws of the State of Delaware and is a direct wholly-owned
subsidiary of the Acquiror.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2 <U>Execution and Effect of Agreement</U>. Each of the Acquiror and the
Merger Subsidiary has the corporate power and authority to enter into this
Agreement, to perform its obligations hereunder and to consummate the
transactions contemplated hereby. The execution and delivery of this Agreement
by each of the Acquiror and the Merger Subsidiary and the consummation by each
of the Acquiror and the Merger Subsidiary of the transactions contemplated
hereby have been duly authorized by all necessary corporate action on the part
of the Acquiror and the Merger Subsidiary, and no other proceeding on the part
of the Acquiror or the Merger Subsidiary is necessary to authorize the
execution, delivery and performance of this


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Agreement and the transactions contemplated hereby. This Agreement has
been duly executed and delivered by each of the Acquiror and the Merger
Subsidiary and constitutes the legal, valid and binding obligation of each of
the Acquiror and the Merger Subsidiary, enforceable against it in accordance
its terms, except as limited by the Bankruptcy and Equity Exceptions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3 <U>No Violation</U>. Neither the execution or delivery of this Agreement by
the Acquiror or the Merger Subsidiary nor the consummation of the transactions
contemplated hereby will violate any statute, regulation, rule, injunction,
judgment, order, decree, ruling, charge or restriction of any Governmental
Authority, or court to which the Acquiror or the Merger Subsidiary is a party
or to which either of them is bound or subject, or the provisions of (a)&nbsp;the
Articles of Incorporation or Bylaws of the Acquiror or (b)&nbsp;the Certificate of
Incorporation or Bylaws of the Merger Subsidiary.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4 <U>Consents</U>. No consent, waiver, approval, permit, authorization of,
declaration to or filing with any third party or Governmental Authority on the
part of the Acquiror or the Merger Subsidiary is required in connection with
the execution and delivery of this Agreement or the consummation of the
transactions contemplated hereby, except for the filing of the Certificate of
Merger and any filings as may be required under applicable federal and state
securities laws.


<P align="center" style="font-size: 10pt">ARTICLE IV



<P align="center" style="font-size: 10pt"><U>SURVIVAL</U>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.1 <U>Survival</U>. The representations, warranties, covenants and agreements
made by the parties in this Agreement shall survive the Closing and shall
continue in full force and effect without limitation after the Closing.


<P align="center" style="font-size: 10pt">ARTICLE V



<P align="center" style="font-size: 10pt"><U>GENERAL PROVISIONS</U>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1 <U>Cooperation</U>. The Company and the Acquiror shall each deliver or cause
to be delivered to the other on the Closing Date, and at such other times and
places as shall be reasonably agreed to, such additional instruments as the
other may reasonably request for the purpose of carrying out the transactions
contemplated by this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2 <U>Expenses</U>. Whether or not the transactions contemplated hereby are
consummated, the Acquiror shall pay all of its, the Company&#146;s and the Merger
Subsidiary&#146;s legal, accounting and other out-of-pocket expenses incident to the
transactions contemplated hereby.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.3 <U>Amendments and Waivers</U>. Any term of this Agreement may be amended,
supplemented or modified, only with the written consent of each of the parties
hereto, and the observance of any term of this Agreement may be waived (either
generally or in a particular instance and either retroactively or
prospectively), only with the written consent of the party


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">against whom the waiver is sought to be enforced. No waiver of any of the
provisions of this Agreement shall be deemed or shall constitute a waiver of
any other provision hereof (whether or not similar), nor shall such waiver
constitute a continuing waiver unless otherwise expressly provided.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4 <U>Successors and Assigns</U>. This Agreement shall be binding upon and
shall inure to the benefit of the parties hereto and their respective
successors and permitted assigns. This Agreement and all rights and
obligations hereunder may not be assigned or transferred without the prior
written consent of the other parties hereto. Nothing in this Agreement,
express or implied, is intended to confer upon any Person other than the
parties hereto or their respective successors and assigns any rights, remedies,
obligations, or liabilities under or by reason of this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5 <U>Third Party Beneficiaries</U>. The rights created by this Agreement are
only for the benefit of the parties hereto, and no Person (other than parties
to this Agreement or their respective successors or permitted assigns) shall
have or be construed to have any legal or equity right, remedy or claim under
or in respect of or by virtue of this Agreement or any provision herein
contained; <U><I>provided,</I></U> <U><I>however</I></U>, that the provisions of Sections&nbsp;1.6, 1.7, 1.9 and
1.10 are intended for the benefit of the Stockholders, and their respective
legal representatives, successors and assigns, and each may be enforced by such
Persons.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.6 <U>Choice of Law</U>. This Agreement shall be governed by and construed
under and the rights of the parties determined in accordance with the laws of
the State of Delaware (without reference to the choice of law provisions of the
State of Delaware) except with respect to matters of law concerning the
internal corporate affairs of any corporate entity which is a party to or the
subject of this Agreement, and as to those matters the law of the jurisdiction
under which the respective entity derives its powers shall govern.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.7 <U>Notices</U>. Unless otherwise provided, any notice required or permitted
under this Agreement shall be given in writing and shall be deemed effectively
given upon the earlier of (a)&nbsp;personal delivery to the party to be notified,
(b)&nbsp;receipt after deposit with the United States Post Office, by registered or
certified mail, postage prepaid return receipt requested, (c)&nbsp;the next business
day after dispatch via nationally recognized overnight courier or (d)
confirmation of transmission by facsimile (provided such transmission is also
contemporaneously sent via one of the methods specified in clauses (a), (b)&nbsp;or
(c)), all addressed to the party to be notified at the address indicated for
such party below, or at such other address as such party may designate by ten
(10)&nbsp;business days&#146; advance written notice to the other parties. Notices
should be provided in accordance with this Section at the following addresses:

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="80%">
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<TR valign="bottom">
    <TD width="35%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="60%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">If to the Acquiror or the
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">With a copy to (which shall not constitute notice):</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Company, to:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Laureate Education, Inc.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Piper Rudnick LLP</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">1001 Fleet Street
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">6225 Smith Avenue</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Baltimore, Maryland 21202
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Baltimore, Maryland 21209</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Fax: 410-843-8544
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Fax: 410-580-3001</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Attn: Robert W. Zentz, Esq.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Attn: Richard C. Tilghman, Jr., Esq.</TD>
</TR>

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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.8 <U>Severability</U>. If one or more provisions of this Agreement shall be
held invalid, illegal or unenforceable, such provision shall, to the extent
possible, be modified in such manner as to be valid, legal and enforceable but
so as to most nearly retain the intent of the parties, and if such modification
is not possible, such provision shall be severed from this Agreement. In
either case, the balance of this Agreement shall be interpreted as if such
provision were so modified or excluded, as the case may be, and shall be
enforceable in accordance with its terms.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.9 <U>Entire Agreement</U>. This Agreement, together with the exhibits and
schedules hereto, constitutes the entire agreement among the parties with
respect to the subject matter hereof and supersedes all prior understandings
and agreements, whether written or oral, and no party shall be liable or bound
to any other party in any manner by any warranties, representations or
covenants except as specifically set forth herein.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.10 <U>Construction</U>. The parties have participated jointly in the
negotiation and drafting of this Agreement. In the event an ambiguity or
question of intent or interpretation arises, this Agreement shall be construed
as if drafted jointly by the parties and no presumption or burden of proof
shall arise favoring or disfavoring any party by virtue of authorship of any
provision of this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.11 <U>Titles and Subtitles</U>. The titles and subtitles used in this
Agreement are used for convenience only and are not to be considered in
construing or interpreting this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.12 <U>Counterparts</U>. This Agreement may be executed in one or more
counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;IN WITNESS WHEREOF, the Acquiror, the Merger Subsidiary and the Company
have caused this Agreement to be executed and delivered, all as of the date
first written above.

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
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<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
</TR>

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<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">LAUREATE EDUCATION, INC.</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Robert W. Zentz</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><HR size="1" noshade width="100%" align="left"></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name: &nbsp;Robert W. Zentz</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title: &nbsp;Senior VP, General Counsel and Secretary</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">LAUREATE ACQUISITION CORPORATION</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Robert W. Zentz</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><HR size="1" noshade width="100%" align="left"></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name: &nbsp;Robert W. Zentz</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title: &nbsp;Vice President and Secretary</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" valign="top" align="left">WALDEN E-LEARNING, INC.</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">/s/ Robert W. Zentz</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top"><HR size="1" noshade width="100%" align="left"></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Name: &nbsp;Robert W. Zentz</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Title: &nbsp;Secretary and Treasurer</TD>
</TR>

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<TYPE>EX-10.1
<SEQUENCE>3
<FILENAME>w02103exv10w1.htm
<DESCRIPTION>EXHIBIT 10.1
<TEXT>
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<P align="right" style="font-size: 10pt">EXHIBIT&nbsp;10.1



<P align="center" style="font-size: 10pt"><B>STOCKHOLDERS EXCHANGE AND<BR>
REGISTRATION RIGHTS AGREEMENT</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This STOCKHOLDERS EXCHANGE AND REGISTRATION RIGHTS AGREEMENT (this
&#147;Agreement&#148;) is made and entered into as of
September&nbsp;16, 2004, by and among
Laureate Education, Inc., a Maryland corporation (the &#147;Company&#148;), and certain
of the former stockholders (the &#147;Stockholders&#148;) of Walden e-Learning, Inc., a
Delaware corporation (&#147;Walden&#148;).


<P align="center" style="font-size: 10pt"><B>RECITALS</B>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company, Laureate Acquisition Corporation, a Delaware corporation (the
&#147;Merger Subsidiary&#148;) and Walden have entered into an Agreement and Plan of
Merger dated as of September&nbsp;16, 2004 (the &#147;Merger Agreement&#148;), providing for
the merger of Walden with and into the Merger Subsidiary (the &#147;Merger&#148;), with
the Merger Subsidiary surviving the Merger and becoming a wholly-owned
subsidiary of the Company.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the Merger Agreement, the Stockholders will acquire, among
other things, approximately 2.5&nbsp;million shares of the common stock, par value
$0.01 per share, of the Company (the &#147;Shares&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An affiliate of the Stockholders has agreed that in consideration of the
registration rights, the representations, warranties and covenants of the
Company contained herein, subject to certain limitations, he shall not compete
with or solicit employees of the Company, all as described herein.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In connection with the Merger and the transactions contemplated hereby,
counsel to the Company is issuing an opinion to the Stockholders in the form
set forth in Exhibit&nbsp;A hereto.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;This Agreement is being entered into as a condition precedent to the
closing of the Merger and the parties desire that the Shares be subject to the
rights described herein.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NOW, THEREFORE, in consideration of the covenants and representations set
forth herein, and for other good and valuable consideration, the parties agree
as follows:


<P>
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<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="1%" nowrap align="right">1.</TD>
    <TD width="1%">&nbsp;</TD>
    <TD><U>REGISTRATION RIGHTS</U>.</TD>
</TR>

</TABLE>


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.1. <U>Definitions</U>. Capitalized terms used herein and not otherwise defined
shall have the meanings set forth in the Merger Agreement, as in effect on the
date hereof. As used in this Agreement:



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) &#147;Commission&#148; shall mean the Securities and Exchange Commission
or any other federal agency at the time administering the Securities Act
(as defined below).



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The terms &#147;register,&#148; &#147;registered&#148; and &#147;registration&#148; refer to a
registration effected by preparing and filing a registration statement or
similar document in


<P align="center" style="font-size: 10pt">&nbsp;
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<P align="left" style="margin-left:3%; font-size: 10pt">compliance with the Securities Act and the declaration or ordering
of effectiveness of such registration statement or similar document by
the Commission.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) &#147;Registrable Securities&#148; shall mean the Shares, as well as any
securities issued as a dividend or other distribution with respect to, or
in exchange or in replacement of, the Shares or in connection with a
stock split, combinations of securities, recapitalization, merger,
consolidation or other reorganization with respect to the Shares.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) &#147;Securities Act&#148; shall mean the Securities Act of 1933, as
amended, or any similar federal statute enacted hereafter, and the rules
and regulations promulgated thereunder, all as the same shall be in
effect from time to time.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) &#147;1934 Act&#148; shall mean the Securities Exchange Act of 1934, as
amended, or any similar federal statute enacted hereafter, and the rules
and regulations of the Commission thereunder, all as the same shall be in
effect from time to time.



<P align="left" style="margin-left:3%; font-size: 10pt">1.2. <U>Registration on Form S-3</U>.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) <U>Shelf Registration</U>. The Company shall prepare and file with the
Commission a registration statement on Form S-3 (the &#147;Registration
Statement&#148;) under the Securities Act covering the resale from time to
time of all of the Registrable Securities pursuant to Rule&nbsp;415 under the
Securities Act. The Company shall file the Registration Statement
promptly upon effectiveness of the Merger; provided, however, that in no
event shall such Registration Statement be filed later than one business
day after the date of the Merger. The Company shall use its commercially
reasonable best efforts to have the Registration Statement declared
effective as soon as practicable thereafter. Such Registration Statement
shall be made for an offering to be made on a continuous or delayed basis
(a so-called &#147;shelf registration statement&#148;).



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) <U>Registration Period</U>. The Company shall keep the Registration
Statement effective until the earlier of such time as (i)&nbsp;all the
Registrable Securities have been sold or (ii)&nbsp;the later of the time the
Registrable Securities are eligible to be sold without volume or other
restriction pursuant to Rule&nbsp;144 under the Securities Act or two years
from the effectiveness of the Registration Statement, subject to any
extensions as set forth herein (the &#147;Registration Period&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.3. <U>Registration Procedures</U>. In connection with the registration of any
Registrable Securities, the Company shall, as expeditiously as possible:



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Prepare and file with the Commission such pre-effective and
post-effective amendments and supplements to such Registration Statement
and the prospectus used in connection with such Registration Statement as
may be necessary to cause the Registration Statement to become effective,
to keep the Registration Statement continuously effective during the
Registration Period and not misleading, and as may otherwise be required
or applicable under, and to comply with the provisions of, the Securities
Act with respect to the disposition of all Registrable Securities covered
by such Registration Statement during the Registration Period.


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<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Furnish to the Stockholders such number of copies of a
prospectus, including a preliminary prospectus, and each amendment or
supplement thereto, in conformity with the requirements of the Securities
Act, and such other documents as they may reasonably request in order to
facilitate the disposition of Registrable Securities owned by them.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Promptly notify the Stockholders (i)&nbsp;when a prospectus or any
prospectus supplement or post-effective amendment is proposed to be filed
and, with respect to any post-effective amendment, when the same has
become effective, (ii)&nbsp;of any request by the Commission or any other
federal or state governmental authority for amendments or supplements to
a Registration Statement or related prospectus or for additional
information, (iii)&nbsp;of the issuance by the Commission of any stop order
suspending the effectiveness of a Registration Statement or the
initiation of any proceedings for that purpose, (iv)&nbsp;of the receipt by
the Company of any notification with respect to the suspension of the
qualification or exemption from qualification of any of the Registrable
Securities for sale in any jurisdiction, or the initiation or threatening
of any proceeding for such purpose, and (v)&nbsp;of the occurrence of any
event or circumstance that makes any statement made in such Registration
Statement or related prospectus or any document incorporated or deemed to
be incorporated therein by reference untrue in any material respect or
that requires the making of any changes in such Registration Statement,
prospectus or documents so that, in the case of the Registration
Statement and any amendment or supplement thereto, it will not contain
any untrue statement of a material fact or omit to state any material
fact required to be stated therein or necessary to make the statements
therein, not misleading, and that in the case of the prospectus, it will
not contain any untrue statement of a material fact or omit to state any
material fact required to be stated therein or necessary to make the
statements therein, in light of the circumstances under which they were
made, not misleading.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Make every reasonable effort to avoid the issuance of, or, if
issued, obtain the withdrawal of, any order suspending the effectiveness
of a Registration Statement, or the lifting of any suspension of the
qualification (or exemption from qualification) of any of the Registrable
Securities for sale in any jurisdiction, at the earliest practicable
moment.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) Upon the occurrence of any event contemplated by Section&nbsp;1.3(c),
as promptly as practicable, prepare and deliver to the Stockholders any
required supplement or amendment, including a post-effective amendment,
to the Registration Statement or a supplement to the related prospectus
or any document incorporated or deemed to be incorporated therein by
reference, and file any other required document so that, as thereafter
delivered, the prospectus contained in the Registration Statement will
not contain an untrue statement of a material fact or omit to state a
material fact required to be stated therein or necessary to make the
statements therein, in light of the circumstances under which they were
made, not misleading. The Company will promptly deliver copies of such
revised prospectus to the Stockholders. Following receipt of the revised
prospectus, the Stockholders will be free to resume making offers of the
Registrable Securities. The Company will extend the period during which
the Registration Statement must be kept effective pursuant to this
Agreement by the number


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<P align="left" style="margin-left:3%; font-size: 10pt">of days during the period from and including the date of giving such
notice to and including the date when the Stockholders shall have
received copies of the revised prospectus.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f) Use its commercially reasonable best efforts to cause all
Registrable Securities registered by such Registration Statement to be
listed on the Nasdaq National Market or such other securities exchange or
automated quotation system, if any, on which similar securities issued by
the Company are then listed. The Company will provide and cause to be
maintained a transfer agent and registrar for all Registrable Securities
covered by the Registration Statement not later than the effective date
of such Registration Statement.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g) Use its commercially reasonable best efforts to cause all
Registrable Securities covered by such Registration Statement to be
registered or qualified under the securities or &#147;blue sky&#148; laws of such
states as the Stockholders shall reasonably request and do any and all
other acts and things that may be necessary or desirable to enable the
Stockholders to consummate the public sale or other disposition of the
Registrable Securities covered by the Registration Statement in such
jurisdictions.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h) The Company will use its commercially reasonable best efforts to
comply with the Securities Act, the 1934 Act and any other applicable
rules and regulations of the Commission, and make available to its
securities holders, as soon as reasonably practicable, an earning
statement covering the period of at least 12&nbsp;months after the effective
date of such Registration Statement, which earning statement shall
satisfy Section 11(a) of the Securities Act and any applicable
regulations thereunder, including Rule&nbsp;158.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Company shall cooperate with the Stockholders to facilitate
the timely preparation and delivery of certificates representing the
Registrable Securities to be sold pursuant to the Registration Statement
free of any restrictive legends and in such denominations and registered
in such names as the Stockholders may request a reasonable period of time
prior to sales of the Registrable Securities pursuant to the Registration
Statement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.4. <U>Obligation to Furnish Information</U>. It shall be a condition precedent
to the obligations of the Company to take any action pursuant to this Agreement
with respect to the Registrable Securities of a Stockholder that such
Stockholder shall have furnished to the Company such information regarding it,
the Registrable Securities held by it, and the intended method of disposition
of such Registrable Securities as the Company shall reasonably request in
writing and as shall be required in connection with the action to be taken by
the Company.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.5. <U>Delay or Suspension of Shelf Registration</U>. If at any time after a
Registration Statement has become effective, the Company is engaged in any
plan, proposal or agreement with respect to any financing, acquisition,
recapitalization, reorganization or other material transaction or development
the public disclosure of which would be would be detrimental to the Company,
then the Company may direct that use of the prospectus contained in the
Registration Statement be suspended for a period of up to 60&nbsp;days. The Company
will notify all Stockholders


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">of the delay or suspension. In the case of notice suspending an effective
Registration Statement, each Stockholder will immediately discontinue any sales
of Registrable Securities pursuant to such Registration Statement until such
Stockholder has received copies of a supplemented or amended prospectus or
until such Stockholder is advised in writing by the Company that the
then-current prospectus may be used and has received copies of any additional
or supplemental filings that are incorporated or deemed incorporated by
reference in such prospectus. The Company may exercise the rights provided by
this Section&nbsp;1.5 on only one occasion within any 365-day period.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.6. <U>Expenses of Registration</U>. All expenses incurred in connection with
the registration pursuant to this Agreement (excluding any underwriters&#146;
discounts and commissions and the fees and disbursement of counsel for the
Stockholders), including, without limitation all registration and qualification
fees, and fees and disbursements of counsel for the Company, shall be borne by
the Company.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.7. <U>Indemnification</U>.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) To the full extent permitted by law, the Company will, and
hereby does indemnify and hold harmless each Stockholder, each director,
officer, partner, employee, or agent for each Stockholder, any
underwriter (as defined in the Securities Act) for each Stockholder, and
each Person, if any, who controls each Stockholder or underwriter within
the meaning of the Securities Act, against any losses, claims, damages or
liabilities, joint or several, to which they may become subject under the
Securities Act, the 1934 Act, applicable state securities laws or
otherwise insofar as such losses, claims, damages or liabilities (or
actions in respect thereof) arise out of or are based on any untrue or
alleged untrue statement of any material fact contained in such
registration statement, including any preliminary prospectus or final
prospectus contained therein or any amendments or supplements thereto, or
arise out of or are based upon the omission or alleged omission to state
therein a material fact required to be stated therein in light of the
circumstances under which they were made or necessary to make the
statements therein not misleading or arise out of any violation by the
Company of any rule or regulation promulgated under the Securities Act
applicable to the Company and relating to action or inaction required of
the Company in connection with any such registration; and will reimburse
each such Person for any legal or other expenses reasonably incurred by
them in connection with investigating or defending any such loss, claim,
damage, liability or action. The indemnity agreement contained in this
Section&nbsp;1.7 shall not apply to amounts paid in settlement of any such
loss, claim, damage, liability, or action if such settlement is effected
without the consent of the Company (which consent shall not be
unreasonably withheld) nor shall the Company be liable to a Stockholder,
underwriter or controlling Person for any such loss, claim, damage,
liability or action to the extent that it arises out of or is based upon
an untrue statement or an alleged untrue statement or omission or alleged
omission made in connection with such registration statement, preliminary
prospectus, final prospectus, or amendments or supplements thereto, in
reliance upon and in conformity with written information furnished
expressly for use in connection with such registration by or on behalf of
such Stockholder, underwriter or controlling Person.


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<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) To the full extent permitted by law, each Stockholder will
indemnify and hold harmless the Company, each of its directors, each of
its officers who have signed the registration statement, each person, if
any, who controls the Company within the meaning of the Securities Act,
and any underwriter for the Company (within the meaning of the Securities
Act), against any losses, claims, damages or liabilities, joint or
several, to which the Company or any such director, officer, controlling
Person or underwriter may become subject, under the Securities Act and
applicable state securities laws, insofar as such losses, claims, damages
or liabilities (or actions in respect thereof) arise out of or are based
upon any untrue statement or alleged untrue statement of any material
fact contained in such registration statement, including any preliminary
prospectus or final prospectus contained therein or any amendments or
supplements thereto, or arise out of or are based upon the omission or
alleged omission to state therein a material fact required to be stated
therein or necessary to make the statements therein not misleading in
light of the circumstances, in each case to the extent, but only to the
extent, that such untrue statement or alleged untrue statement or
omission or alleged omission was made in such registration statement,
preliminary or final prospectus, or amendments or supplements thereto, in
reliance upon and in conformity with written information furnished by
such Stockholder expressly for use in connection with such registration.
The indemnity agreement contained in this Section&nbsp;1.7 shall not apply to
amounts paid in settlement of any such loss, claim, damage, liability, or
action if such settlement is effected without the consent of the
Stockholders (which consent shall not be unreasonably withheld).



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In no event shall the liability of any Stockholder under Section
1.7(b) be greater than the lesser of (a)&nbsp;their pro rata portion of any
liability based on the total liability of all Stockholders, or (b)&nbsp;the
dollar amount of the net proceeds (after deducting underwriter&#146;s
discounts, if any, and commissions and all other expenses paid by such
Stockholder in connection with the registration in question) received by
such Stockholder upon the sale of the Registrable Securities giving rise
to such indemnification obligation.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Promptly after receipt by an indemnified party under this
Section&nbsp;1.7 of notice of the commencement of any action or actual
knowledge of a claim that would, if asserted, give rise to a claim for
indemnity hereunder, such indemnified party will, if a claim in respect
thereof is to be made against any indemnifying party under this Section
1.7, notify the indemnifying party in writing of the commencement thereof
or knowledge thereof and the indemnifying party shall have the right to
participate in, and, to the extent the indemnifying party so desires,
jointly with any other indemnifying party similarly noticed, to assume
the defense thereof with counsel mutually satisfactory to the parties.
The failure to notify an indemnifying party promptly of the commencement
of any such action or of the knowledge of any such claim, if materially
prejudicial to his ability to defend such action, shall relieve such
indemnifying party of any liability to the indemnified party under this
Section&nbsp;1.7, but the omission so to notify the indemnifying party will
not relieve him of any liability that he may have to any indemnified
party otherwise than under this Section. The indemnified party may
participate in such defense at such party&#146;s expense; provided, however,
that the indemnifying party will pay such expense if representation of
such indemnified party by the counsel retained by the indemnifying party
would be inappropriate due to actual or potential conflict of interests


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<P align="left" style="margin-left:3%; font-size: 10pt">between the indemnified party and any other party represented by
such counsel in such proceeding. If, within 30&nbsp;days after receipt of the
notice, such indemnifying party has not elected to assume the defense of
the action, such indemnifying party will be responsible for any legal or
other expenses reasonably incurred by such indemnified party in
connection with the defense of the action, suit, investigation, inquiry
or proceeding. An indemnifying party may not, in the defense of any such
claim or litigation, consent to the entry of a judgment or enter into a
settlement without the consent of the indemnified party.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) If the indemnification provided for in this Section&nbsp;1.7 is for
any reason, other than pursuant to the terms thereof, held to be
unavailable to an indemnified party in respect of any losses, claims,
damages or liabilities (or actions in respect thereof) referred to
therein, then each indemnifying party shall, in lieu of indemnifying such
indemnified party, contribute to the amount paid or payable by such
indemnified party as a result of such losses, claims, damages or
liabilities (or actions in respect thereof) in such proportion as is
appropriate to reflect the relative fault of the Company and each
Stockholder in connection with the statements or omission which resulted
in such losses, claims, damages, liabilities (or actions in respect
thereof), as well as any other relevant equitable considerations. The
relative fault shall be determined by reference to, among other things,
whether the untrue or alleged untrue statement of a material fact relates
to information supplied by the Company or each Stockholder and the
parties&#146; relative intent, knowledge, access to information and
opportunity to correct or prevent such statement or omission. The
Company and each Stockholder agree that it would not be just and
equitable if contribution pursuant to this Section&nbsp;1.7(e) were determined
by pro rata allocation or by any other method of allocation which does
not take account of the equitable considerations referred to above in
this Section&nbsp;1.7(e). The amount paid or payable by an indemnified party
as a result of the losses, claims, damages or liabilities (or actions in
respect thereof) referred to above in this Section&nbsp;1.7(e) shall be deemed
to include any legal or other expenses reasonably incurred by such
indemnified party in connection with investigating or defending any such
action or claim, but shall be subject, in the case of a Stockholder, to
the limitation of the Section&nbsp;1.7(c) above. No person guilty of
fraudulent misrepresentation within the meaning of Section 11(f) of the
Securities Act shall be entitled to contribution from any person who was
not guilty of such fraudulent misrepresentation. No party shall be liable
for contribution with respect to any loss, claim, damage, liability, or
action if such settlement is effected without the prior written consent
of such party, which consent shall not be reasonably withheld.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.8. <U>Rule&nbsp;144 and Form S-3</U>. With a view to making available to the
Stockholders the benefits of Rule&nbsp;144 promulgated under the Securities Act and
any other rule or regulation of the Commission that may at any time permit such
Stockholder to sell securities of the Company to the public without
registration and with a view to making it possible for the Stockholders to
register the Registrable Securities pursuant to a registration statement on
Form S-3, the Company agrees to use its commercially reasonable best efforts to
file the reports required to be filed by it (if so required) under the
Securities Act and the 1934 Act in a timely manner and, if at any time the
Company is not required to file such reports, it will, upon the request of any
Stockholder, use its commercially reasonable best efforts to make publicly
available other information so long as necessary to permit sales pursuant to
Rule&nbsp;144 under the Securities Act. The Company further


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">covenants that it will take such further action as any Stockholder may
reasonably request, all to the extent required from time to time to enable such
Stockholder to sell Registrable Securities without registration under the
Securities Act pursuant to the exemptions provided by Rule&nbsp;144 under the
Securities Act. In addition, the Company shall take such action, including the
voluntary registration of its Common Stock under Section&nbsp;12 of the 1934 Act, as
will permit the Stockholders to use Form S-3 for the sale of their Registrable
Securities. Upon the request of any Stockholder, the Company will deliver to
such Stockholder a written statement as to whether it has complied with such
information requirements set forth above and its qualification as a registrant
whose securities may be resold pursuant to Form S-3.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.9. <U>Grant of Other Registration Rights</U>. From time to time, the Company
may grant registration rights to any other holder of any of the capital stock
of the Company; <I>provided</I>, that such rights do not conflict with the rights
granted hereunder.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.10. <U>Transfer of Rights</U>. The right to cause the Company to register
Registrable Securities and the other rights under this Section&nbsp;1 may be
assigned by any Stockholder to a Permitted Transferee (as defined below), and
by such Permitted Transferee to a subsequent Permitted Transferee. Any
transferee to whom rights under this Section&nbsp;1 are assigned will (x)&nbsp;as a
condition to such transfer, deliver to the Company a written instrument by
which such transferee agrees to be bound by the obligations imposed upon the
Stockholders under this Section&nbsp;1 to the same extent as if such transferee were
a Stockholder under this Agreement and (y)&nbsp;be deemed to be a Stockholder under
this Section&nbsp;1. Any Person to whom any of the Registrable Securities are
transferred shall be a &#147;Permitted Transferee.&#148;


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.11 <U>Volume Limitation</U>. No Stockholder shall offer, sell, contract to
sell, pledge or otherwise dispose of, directly or indirectly, in excess of
500,000 Registrable Securities in any 90-day period, enter into a transaction
which would have the same effect, or enter into any swap, hedge or other
arrangement that transfers, in whole or in part, any of the economic
consequences of ownership of Registrable Securities in excess of the foregoing
limit, whether any such aforementioned transaction is to be settled by delivery
of the Registrable Securities, in cash or otherwise (any of the foregoing, a
&#147;Transfer&#148;), or publicly disclose the intention to make any Transfer in excess
of the foregoing limit, <U><I>unless</I></U> such Stockholder (a)&nbsp;engages an investment
banking firm that is reasonably acceptable to the Company to assist with all
Transfers during such 90-day period, (b)&nbsp;provides the Company with at least 10
business days prior written notice of such Stockholder&#146;s intent to make such
Transfer, which notice shall describe the proposed Transfer and investment
banking firm, and (c)&nbsp;consummates all Transfers during such 90-day period in
the manner and through the investment banking firm described in such notice.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">2. <U>REPRESENTATIONS AND WARRANTIES OF THE STOCKHOLDERS</U>. Each of the
Stockholders hereby severally represents and warrants to the Company, solely as
to himself, herself or itself and not with respect to any other Stockholder,
that the following representations and warranties are, as of the date hereof,
true and correct.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.1. <U>Title; Agreements</U>. As of the date hereof, immediately prior to the
Merger, such Stockholder (a)&nbsp;holds of record and beneficially the number of
shares of common stock, par value $.01 per share, of Walden set on Schedule
2.1, free and clear of any lien, security interest, mortgage, pledge,
hypothecation, charge, preemptive right, voting trust, imposition, covenant,


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">condition, right of first refusal, easement or conditional sale or other
title retention agreement or other restriction (an &#147;Encumbrance&#148;) other than as
set forth in the Amended and Restated Stockholders Agreement dated as of
February&nbsp;2, 2001 (the &#147;Walden Stockholders Agreement&#148;) by and among Walden,
Sylvan Ventures LLC, a Delaware limited liability company and certain other
stockholders of Walden, (b)&nbsp;is not a party to any voting trust, proxy or other
agreement or understanding with respect to any capital stock of Walden (other
than as set forth in the Walden Stockholders Agreement) and (c)&nbsp;owns no other,
and has no other right to purchase, any equity interests in Walden.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.2. <U>Execution and Effect of Agreement</U>. Such Stockholder has the full
right, power and authority to execute and deliver this Agreement and to perform
his, her or its obligations hereunder, and to consummate the transactions
contemplated hereby. The execution and delivery of this Agreement by such
Stockholder, and the consummation by such Stockholder of the transactions
contemplated hereby have been duly authorized by all necessary action and no
other proceeding on the part of such Stockholder is necessary to authorize the
execution, delivery and performance of this Agreement and the transactions
contemplated hereby. This Agreement has been duly executed and delivered by
such Stockholder and constitutes the legal, valid and binding obligation of
such Stockholder, enforceable against such Stockholder in accordance with its
terms, subject to applicable bankruptcy, insolvency, fraudulent conveyance,
reorganization, moratorium and similar laws affecting creditors&#146; rights and
remedies generally, and subject as to enforceability, to general principles of
equity, including principles of commercial reasonableness, good faith and fair
dealing (regardless of whether enforcement is sought in a proceeding at law or
in equity), and except as limited by the unenforceability under certain
circumstances under law or court decisions of provisions providing for the
indemnification of or contribution by a party with respect to a liability where
such indemnification or contribution is contrary to public policy (the
&#147;Bankruptcy and Equity Exceptions&#148;).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.3. <U>No Violation</U>. Neither the execution or delivery of this Agreement by
such Stockholder nor the consummation of the transactions contemplated hereby
will violate (a)&nbsp;any statute, regulation, rule, injunction, judgment, order,
decree, ruling, charge or restriction of any government, Governmental
Authority, or court to which such Stockholder is a party or to which such
Stockholder is bound or subject or (b)&nbsp;the organizational documents, if
applicable, of such Stockholder.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.4. <U>Litigation; Claims</U>. There is no litigation, claim, proceeding or
government investigation pending or to the knowledge of such Stockholder
threatened against such Stockholder which could reasonably be expected to have
a material adverse effect on the transactions contemplated by this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.5. <U>Consents</U>. No consent, approval, permit, authorization of,
declaration to or filing with any third party or Governmental Authority on the
part of such Stockholder is required in connection with the execution and
delivery by such Stockholder of this Agreement or the consummation of the
transactions contemplated hereby.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.6. <U>No Brokers</U>. Neither the Stockholder nor any Person acting on behalf
of such Stockholder has any liability or obligation to pay any fees or
commissions to any broker, finder


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">or agent with respect to the transactions contemplated by this Agreement
for which the Company could become liable or obligated.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.7. <U>Investment Representations</U>.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Such Stockholder has knowledge and experience in financial and
business matters sufficient to enable it to evaluate the merits and risks
of an investment in the Company and was not formed for the purpose of
investing in the Shares. Such Stockholder has assets sufficient to
enable it to bear the economic risk of its investment in the Shares and
either (i)&nbsp;if it is a trust, has assets in excess of $5&nbsp;million and the
purchase of the Shares is directed by a Person who has such knowledge and
sophistication in financial and business matters that he is capable of
evaluating the merits and risks of investing in the Shares, (ii)&nbsp;with
respect to a natural Person, has sufficient income and/or net worth to
meet the requirements of an &#147;accredited investor&#148; as defined in Rule&nbsp;501
under the Securities Act, and (iii)&nbsp;with respect to a partnership, has
only &#147;accredited investors&#148;, as defined in Rule&nbsp;501 under the Securities
Act, as partners. Such Stockholder is acquiring the Shares for its own
account, and not with a view to, or for sale in connection with, any
distribution thereof.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Such Stockholder understands that the Shares have not been
registered under the Securities Act by reason of its issuance in a
transaction exempt from the registration requirements of the Securities
Act pursuant to the exemption provided in Section&nbsp;4(2) thereof, that the
Shares have not been registered under applicable state securities laws by
reason of their issuance in a transaction exempt from such registration
requirements, and that the Shares may not be sold or otherwise disposed
of unless registered under the Securities Act and applicable state
securities laws, or exempted from registration, and that the certificates
representing the Shares will bear the legends required by applicable
securities and blue sky laws. Such Stockholder further understands that,
until registered, the Shares to be issued in connection with the Merger
will be subject to the limitations on transfer contained in Rule&nbsp;144
promulgated under the Securities Act.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.8. <U>Stockholder&#146;s Acknowledgement as to Information</U>.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Such Stockholder or representatives of such Stockholder have received from
the Company or the Company has made available such information, including the
Company&#146;s Annual Report on Form 10-K for the year ended December&nbsp;31, 2003, and
Quarterly Reports on Form 10-Q for the quarterly periods ended March&nbsp;31, 2004
and June&nbsp;30, 2004, as they have requested with respect to the Company as such
Stockholder has deemed necessary and relevant in connection with the
transactions contemplated by this Agreement, and such Stockholder has had the
opportunity, directly or through such representatives, to ask questions of and
receive answers from Persons acting on behalf of the Company necessary to
verify the information so obtained.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.9 <U>Tax Matters</U>. Such Stockholder does not have any present intent to
tender, sell or otherwise transfer any of the Shares to the Company and will
not tender, sell or otherwise transfer any of the Shares to the Company for a
period of two years after the Closing. Such


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">Stockholder is not aware of any agreement, plan or other circumstance that
would prevent the Merger from qualifying under section 368(a) of the Code.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">3. <U>REPRESENTATIONS AND WARRANTIES OF COMPANY</U>. The Company hereby represents
and warrants to the Stockholders that the following representations and
warranties are, as of the date hereof, true and correct.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.1. <U>Organization and Existence</U>. The Company is a corporation duly
organized, validly existing and in good standing under the laws of the State of
Maryland. The Company has full corporate power and authority to own its
properties and carry on its business as it is now being conducted. The Merger
Subsidiary is a corporation duly organized, validly existing and in good
standing under the laws of the State of Delaware and is a direct wholly-owned
subsidiary of the Company.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.2. <U>Execution and Effect of Agreement</U>. The Company has the corporate
power and authority to enter into this Agreement, to perform its obligations
hereunder and to consummate the transactions contemplated hereby. The
execution and delivery of this Agreement by the Company and the consummation by
the Company of the transactions contemplated hereby have been duly authorized
by all necessary corporate action on the part of the Company, and no other
proceeding on the part of the Company is necessary to authorize the execution,
delivery and performance of this Agreement and the transactions contemplated
hereby. This Agreement has been duly executed and delivered by the Company and
constitutes the legal, valid and binding obligation of the Company, enforceable
against it in accordance with its terms, except as limited by the Bankruptcy
and Equity Exceptions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.3. <U>Execution and Effect of Merger Agreement</U>. Each of the Company, the
Merger Subsidiary and Walden has the corporate power and authority to enter
into the Merger Agreement, to perform its obligations thereunder and to
consummate the transactions contemplated thereby. The execution and delivery
of the Merger Agreement by the Company, the Merger Subsidiary and Walden and
the consummation by the Company, the Merger Subsidiary and Walden of the
transactions contemplated thereby have been duly authorized by all necessary
corporate action on the part of the Company, the Merger Subsidiary and Walden,
and no other proceeding on the part of the Company, the Merger Subsidiary and
Walden is necessary to authorize the execution, delivery and performance of the
Merger Agreement and the transactions contemplated thereby. The Merger
Agreement has been duly executed and delivered by each of the Company, the
Merger Subsidiary and Walden and constitutes the legal, valid and binding
obligation of each of the Company, the Merger Subsidiary and Walden,
enforceable against it in accordance with its terms, except as limited by the
Bankruptcy and Equity Exceptions.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.4. <U>No Violation</U>. Neither the execution or delivery of this Agreement by
the Company nor the consummation of the transactions contemplated hereby
(including the Merger) will violate any statute, regulation, rule, injunction,
judgment, order, decree, ruling, charge or restriction of any Governmental
Authority, or court to which the Company or the Merger Subsidiary is a party or
to which any of them is bound or subject, or the provisions of (a)&nbsp;the Articles
of Incorporation or Bylaws of the Company or (b)&nbsp;the Certificate of
Incorporation or Bylaws of the Merger Subsidiary.


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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.5. <U>Consents</U>. No consent, waiver, approval, permit, authorization of,
declaration to or filing with any third party or Governmental Authority on the
part of the Company or the Merger Subsidiary is required in connection with the
execution and delivery of this Agreement or the consummation of the
transactions contemplated hereby (including the Merger), except for the filing
of the Certificate of Merger and any filings as may be required under
applicable federal and state securities laws.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.6. <U>No Brokers</U>. None of the Company, the Merger Subsidiary or any Person
acting on behalf of the Company or the Merger Subsidiary has any liability or
obligation to pay any fees or commissions to any broker, finder or agent with
respect to the transactions contemplated by this Agreement (including the
Merger) for which any Stockholder could become liable or obligated, nor has any
such Person taken any action on which a claim for any such payment could be
based.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.7. <U>Securities and Exchange Commission Filings; Financial Statements</U>.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Company has filed all reports, schedules, forms, statements
and other documents required to be filed by it with the Commission since
December&nbsp;31, 2000 (collectively, including all exhibits thereto, filed
since such date, the &#147;Company SEC Reports&#148;). As of the respective dates
they were filed, (i)&nbsp;the Company SEC Reports complied in all material
respects with the requirements of the Securities Act or the 1934 Act, as
the case may be, and (ii)&nbsp;none of the Company SEC Reports contained any
untrue statement of a material fact or omitted to state a material fact
required to be stated therein or necessary in order to make the
statements made therein, in the light of the circumstances under which
they were made, not misleading.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Each of the consolidated financial statements (including, in
each case, any notes thereto) contained in the Company SEC Reports was
prepared in accordance with United States Generally Accepted Accounting
Principles applied on a consistent basis throughout the periods indicated
(except as may be indicated in the notes thereto or, in the case of
unaudited statements, as permitted by Form 10-Q under the 1934 Act) and
each presented or will present fairly, in all material respects, the
consolidated financial position, results of operations and cash flows of
the Company and the consolidated subsidiaries of the Company as at the
respective dates thereof and for the respective periods indicated
therein, except as otherwise noted therein (subject, in the case of
unaudited statements, to normal and recurring year-end adjustments which
are not expected to be material, individually or in the aggregate).



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) As of the date hereof, the Company meets the &#147;registrant
eligibility&#148; requirements set forth in the general instructions
applicable to registration statements on Form S-3 covering the resale of
the Shares issuable pursuant to this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.8. <U>Capitalization</U>. (a)&nbsp;As of August&nbsp;2, 2004, the authorized capital
stock of the Company consists of 10&nbsp;million shares of preferred stock, none of
which were issued or outstanding and 90&nbsp;million shares of common stock, of
which 45,667,125 shares were issued and outstanding. All of the issued and
outstanding shares of common stock are validly issued, fully


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<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">paid and nonassessable. All Shares issued in connection with the Merger
are validly issued, fully paid and nonassessable.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.9.
<U>Tax Matters</U>. Neither the Company nor any of its affiliates has any
present intent to (a)&nbsp;redeem or repurchase any of the Shares or (b)&nbsp;cause
Walden to cease its current business or operations. The Company is not aware
of any agreement, plan or other circumstance that would prevent the Merger from
qualifying under section 368(a) of the Code.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.10. <U>Operations of Merger Sub</U>. Merger Sub is a direct, wholly owned
subsidiary of Parent, was formed solely for the purpose of engaging in the
transactions contemplated by this Agreement, has engaged in no other business
activities and has conducted its operations only as contemplated by this
Agreement.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">4. <U>SURVIVAL</U>. The representations, warranties, covenants and agreements made by
the parties in this Agreement shall survive the Closing and shall continue in
full force and effect without limitation after the Merger.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">5. <U>GENERAL PROVISIONS</U>.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.1. <U>Cooperation</U>. The Company and the Stockholders shall each deliver or
cause to be delivered to the other on the closing date under the Merger
Agreement, and at such other times and places as shall be reasonably agreed to,
such additional instruments as the other may reasonably request for the purpose
of carrying out the transactions contemplated by this Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.2. <U>Press Releases; Confidentiality</U>.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Don E. Ackerman, individually (the &#147;Principal Investor&#148;),
recognizes and acknowledges that he has in the past and may currently
have,
access to certain confidential information of the Company and its
affiliates that is valuable, special and unique to the business of the
Company and its affiliates. The Principal Investor agrees that for a
period of two (2)&nbsp;years, he will not disclose such confidential
information to any Person for any purpose or reason whatsoever, except
(i)&nbsp;to the Stockholders or any authorized representatives of the
Stockholders who need to know information in connection with the
transactions contemplated hereby and by the Merger Agreement, who have
been informed of the confidential nature of such information and who have
agreed to keep such information confidential as provided hereby and (ii)
to counsel and other advisors, provided that such advisers (other than
counsel) agree to the confidentiality provisions of this Section, unless
(A)&nbsp;such information becomes known to the public generally through no
fault of any Stockholders, was developed by the Principal Investor
without reliance on otherwise confidential information, or is acquired
from a person who is not known by the Principal Investor to be in breach
of an obligation of confidentiality to the Company, (B)&nbsp;disclosure is
required by law or the order of any Governmental Authority under color of
law, provided, that prior to disclosing any information pursuant to this
clause (B), the Principal Stockholder shall, if possible, give prior
written notice thereof to the Company and provide the Company with the
opportunity to contest such disclosure, (C)&nbsp;the disclosing party
reasonably believes that such disclosure is required in connection with


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<P align="left" style="margin-left:3%; font-size: 10pt">the defense of a lawsuit against the disclosing party, or (D)&nbsp;in
connection the enforcement of the Stockholders&#146; rights hereunder or under
the Merger Agreement.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Stockholders acknowledge and agree that the Company will be
required to publicly disclose this Agreement and the transactions
contemplated by this Agreement following the Closing pursuant to
applicable securities rule and regulations and exchange requirements.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) In the event of a breach or threatened breach by the Principal
Investor of the provisions of this Section&nbsp;5.2, the Company shall be
entitled to an injunction restraining the Principal Investor from
disclosing, in whole or in part, such confidential information. Nothing
herein shall be construed as prohibiting the Company from pursuing any
other available remedy for such breach or threatened breach, including
the recovery of damages.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">5.3. <U>Non-Competition and Non-Solicitation</U>.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) The Principal Investor recognizes that he has been instrumental
in the success of Walden&#146;s and its
affiliates&#146; on-line and higher education business (the
&#147;Business&#148;) and in establishing and maintaining the Business&#146; customer,
supplier and employee relationships as well as having had access to,
acquiring and assisting in developing confidential and proprietary
information relating to Walden, all of which are critical to the
Business. This includes information with respect to the Business&#146; present
and prospective products, services, clients, customers, subcontractors,
suppliers, pricing, cost and financial information and sales and
marketing methods.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) The Principal Investor accordingly agrees that, without the
express prior written consent of the Company, for a period of three years
after the Closing Date, anywhere in the world:



<P align="left" style="margin-left:6%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) The Principal Investor will not directly or indirectly
engage in or conduct any business which directly or indirectly
competes with the Business.



<P align="left" style="margin-left:6%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii) The Principal Investor will not directly or indirectly
intentionally solicit, induce or accept for itself, or for anyone
other than the Company, any of the present or past clients or
customers of Walden or its affiliates in connection with the
performance of services substantially similar to the Business.



<P align="left" style="margin-left:6%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii) The Principal Investor will not intentionally interfere
with, attempt to interfere with or disparage either the Company&#146;s
or Walden&#146;s relationship with any vendor, client, customer,
contractor, supplier, employee, agent or consultant (or the terms
relating to such relationships) of the Business.



<P align="left" style="margin-left:3%; font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) The limitations described in Section&nbsp;5.3(b) shall apply to the
Principal Investor in his capacity as a general partner, stockholder,
consultant, joint venturer,


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<P align="left" style="margin-left:3%; font-size: 10pt">investor, lender, or in any other capacity whatsoever in which the
Principal Investor has decision-making authority (other than as the
holder of not more than five percent of the total outstanding stock of a
publicly held company).


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.4. <U>Consent to Merger; Termination of Walden Stockholders Agreement</U>.
Pursuant to Section&nbsp;7.15(a) of the Contribution Agreement dated as of March&nbsp;27,
2001 by and among Walden, the contributors named therein, the Ackerman
Representative named therein and Walden e-Learning, Inc., a Florida
corporation, Don E. Ackerman, as the Ackerman Representative named therein,
consents to the transactions contemplated by the Merger Agreement, including
without limitation, the Merger. Additionally, pursuant to Section&nbsp;7.6(a) of
the Walden Stockholders Agreement, by execution hereof, the parties agree that
the Walden Stockholders Agreement shall terminate upon the effective time of
the Merger.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.5. <U>Expenses</U>. Whether or not the transactions contemplated hereby are
consummated, (a)&nbsp;the Company shall pay all of its, Walden&#146;s and the Merger
Subsidiary&#146;s legal, accounting and other out-of-pocket expenses incident to the
transactions contemplated hereby, and (b)&nbsp;the Stockholders shall pay all of
their own legal, accounting and other out-of-pocket expenses incident to the
transactions contemplated hereby.


<P align="left" style="margin-left: 0%; text-indent: 0%; margin-right: 0%; font-size: 10pt">6. <U>MISCELLANEOUS</U>.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.1. <U>Notices</U>. All notices or requests provided for or permitted to be
given pursuant to this Agreement must be in writing and may be given or served
by (a)&nbsp;depositing the same in the United States mail, addressed to the party to
be notified, postage paid, and registered or certified with return receipt
requested, or (b)&nbsp;by delivering such notice in person to such party. Notices
so deposited in the mail shall be deemed to have been given or served on the
date on which the party actually received or refused such written notice, as
shown by the date or postmark of any return receipt indicating the date of
delivery or attempted delivery to such receiving party. The addresses of the
parties hereto for all purposes of this Agreement are:

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>

<!-- End Table Head -->
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<TR valign="bottom">
    <TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">If to the Company:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">With a copy (which shall not
constitute notice) to:</TD>
</TR>

<TR valign="bottom">
    <TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">

<TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Laureate Education, Inc.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Piper Rudnick LLP</TD>
</TR>

<TR valign="bottom">
    <TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">1001 Fleet Street
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">6225 Smith Avenue</TD>
</TR>

<TR valign="bottom">
    <TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Baltimore, Maryland 21202
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Baltimore, Maryland 21209</TD>
</TR>

<TR valign="bottom">
    <TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Fax: 410-843-8544
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Fax: 410-580-3001</TD>
</TR>

<TR valign="bottom">
    <TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">Attn: Robert W. Zentz, Esq.
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Attn: Richard C. Tilghman, Jr., Esq.</TD>
</TR>

<TR valign="bottom">
    <TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD colspan="2" valign="top"><DIV style="margin-left:0px; text-indent:-0px">If to the Stockholders:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">With a copy (which shall not constitute notice) to:</TD>

</TR>
<TR><TD>&nbsp;</TD></TR>




<TR valign="bottom">

<TD valign="top" nowrap><DIV style="margin-left:0px; text-indent:-0px">Ackerman-Walden
Limited Partnership<BR>
c/o Chandelle Ventures, Inc.<BR>
24311 Walden Center Drive<BR>
Bonita Springs, FLorida 34134<BR>
Attn:&nbsp; Don E. Ackerman<BR>
&nbsp;<BR>
And:<BR>
&nbsp;
</DIV></TD>
<TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" nowrap>&nbsp;<BR>
&nbsp;</TD>

<TD>&nbsp;</TD>
</TR>

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<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="5%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>

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<TR valign="bottom">
<TD valign="top" nowrap><DIV style="margin-left:0px; text-indent:-0px">
Virginia Jean Ackerman<BR>
8477 Bay Colony Drive<BR>
Naples, Florida 34108
</DIV></TD>
<TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top" nowrap>Ropes &#038; Gray LLP<BR>
45 Rockefeller Plaza<BR>
New York, New York 10111<BR>
Fax:&nbsp; 212-841-5725<BR>
Attn:&nbsp; William J. Hewitt, Esq.</TD>

<TD>&nbsp;</TD>
</TR>




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</TABLE>
</DIV>



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;By giving to the other parties at least five days&#146; written notice thereof,
any party hereto shall have the right from time to time and at any time during
the term of this Agreement to change his respective address and each party shall have the right to
specify as his address any other address within the United States of America.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.2. <U>Remedies</U>. In case any one or more of the covenants and/or agreements
set forth in this Agreement shall have been breached by the Company or the
Stockholders, any of the Stockholders or the Company (as the case may be) may
proceed to protect and enforce its rights either by suit in equity and/or by
action at law, including, but not limited to, an action for damages as a result
of any such breach and/or an action for specific performance or injunctive
relief with respect to any such covenant or agreement contained in this
Agreement.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.3. <U>Binding Agreement</U>. This Agreement and each provision herein shall be
binding upon and applicable to, and shall inure to the benefit of, the Company,
the Stockholders, and their respective permitted assigns and legal
representatives.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.4. <U>Consents and Waivers</U>. No consent or waiver, express or implied, by
any party hereto of the breach, default or violation by any other party hereto
of his obligations hereunder shall be deemed or construed to be a consent or
waiver to or of any other breach, default or violation of the same or any other
obligations of such party hereunder. Failure on the part of any party hereto
to complain of any act of any of the other parties or to declare any of the
other parties hereto in default, irrespective or how long such failure
continues, shall not constitute a waiver by such party of his rights hereunder.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.5. <U>Applicable Law</U>. This Agreement and all questions relating to its
validity, interpretation and performance shall be governed by and construed in
accordance with the laws of the State of Delaware.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.6. <U>Prior Agreements; Amendments</U>. This Agreement supersedes any prior or
contemporaneous understanding or agreement among the parties respecting the
subject matter hereof. There are no arrangements, understandings or
agreements, oral or written, among the parties hereto relating to the subject
matter of this Agreement, except those fully expressed herein or in documents
executed contemporaneously herewith, including the Merger Agreement as in
effect on the date hereof. No change or modification of this Agreement shall
be valid or binding upon the parties hereto unless such change or modification
or waiver shall be in writing and signed by Stockholders holding at least
two-thirds of the Registrable Securities then-outstanding, and such change or
modification shall be binding on all holders of Registrable Securities
then-outstanding.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.7. <U>Captions</U>. The captions used in this Agreement are for convenience
only and shall not be construed in interpreting this Agreement. Whenever the
context so required, the neuter shall include the feminine and masculine, and
the singular shall include the plural, and conversely.



<P align="center" style="font-size: 10pt">- 16 -
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<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.8. <U>Headings</U>. All Section headings herein have been inserted for
convenience of reference only and shall in no way modify or restrict any of the
terms or provisions hereof.


<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.9. <U>Counterparts</U>. This Agreement may be signed in any number of
counterparts, each of which shall be an original for all purposes, but all of
which taken together shall constitute only one agreement. This Agreement shall
become binding when one or more counterparts hereof, individually or taken together, shall bear the signatures of all
of the parties reflected hereon as the signatories.


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<DIV style="font-family: 'Times New Roman',Times,serif">




<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>IN WITNESS WHEREOF</B>, the parties hereto have caused this Agreement to be
executed and delivered on the date first above written.

<DIV align="center">
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<TR valign="bottom">
    <TD width="48%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="46%">&nbsp;</TD>
<TD></TD>
</TR>

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<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">LAUREATE EDUCATION, INC.</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
<TD>&nbsp;&nbsp;/s/ Robert W. Zentz</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
<TD><HR align="left" noshade size="1" width="75%"></TD>
</TR>


<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">

</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Name: &nbsp;Robert W. Zentz</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Title: &nbsp;Senior VP, General Counsel and Secretary</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">STOCKHOLDERS:</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Ackerman-Walden Limited Partnership</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">By: Ackerman-Walden, Inc., its General Partner</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">By:</TD>
<TD>&nbsp;&nbsp;/s/ Don E. Ackerman</TD>
</TR>
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
<TD><HR align="left" noshade size="1" width="75%"></TD>
</TR>


<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Name: &nbsp;Don E. Ackerman</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Title: &nbsp;President</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;&nbsp;/s/ Virginia Jean Ackerman<HR align="left" size="1" noshade width="75%"></TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Virginia Jean Ackerman</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">PRINCIPAL INVESTOR</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Solely with respect to Sections&nbsp;5.2 and 5.3</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;</TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">&nbsp;&nbsp;/s/ Don E. Ackerman<HR align="left" size="1" noshade width="75%"></TD>
<TD></TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left" valign="top">Don E. Ackerman</TD>
<TD></TD>
</TR>

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</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99.1
<SEQUENCE>4
<FILENAME>w02103exv99w1.htm
<DESCRIPTION>EXHIBIT 99.1
<TEXT>
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<HEAD>
<TITLE>exv99w1</TITLE>
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<DIV style="font-family: 'Times New Roman',Times,serif">



<P align="right" style="font-size: 10pt"><B>Exhibit&nbsp;99.1</B>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="50%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="45%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px"><B>Laureate Education Contacts:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Sean Creamer
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Chris Symanoskie</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">Chief Financial Officer
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Director, Investor Relations</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">(410) 843-8991
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(410) 843-6394</TD>
</TR>

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</TABLE>
</DIV>



<P align="center" style="font-size: 10pt"><B>LAUREATE EDUCATION ACQUIRES REMAINING 49% INTEREST IN<br>WALDEN UNIVERSITY</B>



<P align="center" style="font-size: 10pt"><B>Now Wholly-Owned, Walden becomes Centerpiece of Laureate Online</B>


<P align="left" style="font-size: 10pt"><B>BALTIMORE, MD &#151; September&nbsp;16, 2004 </B>&#151; Laureate Education, Inc., (NASDAQ:LAUR),
today announced the acquisition of the remaining 49% interest in Walden
University, giving the Company 100% ownership of its fastest growing
subsidiary. Walden University will be the centerpiece of Laureate Online, the
new name of the Company&#146;s online higher education division, previously referred
to as Online Higher Education (OHE).


<P align="left" style="font-size: 10pt">Douglas Becker, Chairman and Chief Executive Officer of Laureate Education
stated, &#147;Having acquired 51% of Walden in two prior transactions, we always
intended to own 100% of the university. Today&#146;s acquisition of the remaining
shares now gives us complete control and the ability for Walden to participate
with our other online and campus-based initiatives, such as the introduction of
Walden degree programs into international markets.&#148;


<P align="left" style="font-size: 10pt">Laureate Education acquired the remaining 49% of Walden University from the
minority shareholders in exchange for 2.5&nbsp;million shares of Laureate Education
common stock plus $19&nbsp;million in notes payable in the first quarter of 2005.
The initial 51% stake was previously acquired for a total of $40.8&nbsp;million.
Walden currently has $57&nbsp;million in cash.


<P align="left" style="font-size: 10pt">Since the Company&#146;s initial investment in Walden University in February&nbsp;2000,
the Company has increased the number of academic offerings and expanded student
services resulting in a tenfold increase in student enrollments to nearly
11,000 students as of June&nbsp;30, 2004. For the six-month period ended June&nbsp;30,
2004, Walden University revenues increased 74% over the same period last year.


<P align="left" style="font-size: 10pt">&#147;Our original investment in Walden was a strategic decision intended to provide
us better growth and control in our Canter teacher education division, which
does not have its own accreditation and worked with a variety of university
partners. We have been very successful in establishing Walden as the primary
Canter partner, as over 60% of all Canter students are currently enrolled
through Walden. In addition, the many other program areas at Walden have grown
exponentially. Today&#146;s news enables us to fulfill our strategic plan and
realize the full potential of Walden, illustrating our commitment to building
on the existing investment and growth in Walden,&#148; stated Paula Singer,
President of Laureate Online.



<P align="center" style="font-size: 10pt">&nbsp;
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<P align="left" style="font-size: 10pt">&#147;With nearly 35&nbsp;years of experience, Walden University is the leading provider
of doctoral degrees at a distance and one of the oldest accredited online
universities. No other fully online university possesses the academic quality
and customer focus of Walden University,&#148; added Ms.&nbsp;Singer.


<P align="left" style="font-size: 10pt">The completed acquisition is not expected to impact the Company&#146;s 2004
earnings. The transaction is expected to be modestly accretive to Laureate&#146;s
2005 earnings.



<P align="left" style="font-size: 10pt">Conference Call and Webcast



<P align="left" style="font-size: 10pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The management team of Laureate Education plans to hold a conference call with
the investment community to discuss today&#146;s announcement. Investors, media,
and the general public are invited to participate using the following
instructions:

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="55%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="38%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="57%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">DATE:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Friday, September&nbsp;17, 2004</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">TIME:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">11:00&nbsp;a.m. (Eastern Time)</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">DOMESTIC:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(800) 810-0924</TD>
</TR>

<TR valign="bottom">
    <TD valign="top"><DIV style="margin-left:0px; text-indent:-0px">INTERNATIONAL:
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">(913) 981-4900</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>


<P align="left" style="font-size: 10pt">Related presentation materials and a live webcast of the call may be accessed
by visiting the Investor Relations section of the Company&#146;s website,
www.laureate-inc.com. A replay will also be available approximately one hour
after the call through the Company&#146;s Investor Relations website.



<P align="left" style="font-size: 10pt"><B>About Walden University</B>


<P align="left" style="font-size: 10pt">Since 1970, Walden University has offered busy professionals the opportunity to
earn advanced degrees through distance learning. Today, this comprehensive,
online university offers master&#146;s and doctoral degrees in education,
management, psychology, and health and human services, as well as bachelor&#146;s
degree completion programs in business. Through its applied-research approach,
led by distinguished faculty members, Walden prepares its graduates to achieve
professional excellence and serve their fields, organizations and communities
more effectively.



<P align="left" style="font-size: 10pt"><B>About Laureate Education, Inc.</B>


<P align="left" style="font-size: 10pt">Laureate Education Inc. (NASDAQ:LAUR) is focused exclusively on providing a
superior university experience to over 130,000 students through the leading
global network of accredited campus-based and online universities. Addressing
the rapidly growing global demand for higher education, Laureate offers a broad
range of career-oriented undergraduate and graduate programs through
campus-based universities located in Latin America and Europe. Through online
universities, Laureate offers the growing population of non-traditional,
working-adult students the convenience and flexibility of distance learning to
pursue undergraduate, master&#146;s and doctorate degree programs in major career
fields including engineering, education, business, and healthcare.



<P align="left" style="font-size: 10pt"><B>Forward Looking Statements</B>


<P align="left" style="font-size: 10pt">This release includes information that could constitute forward-looking
statements made pursuant to the safe harbor provision of the Private Securities
Litigation Reform Act of 1995. Any such forward-looking statements may involve
risk and uncertainties. Although the Company believes that the expectations
reflected in such forward-looking statements are based upon reasonable
assumptions, the Company&#146;s actual results could differ materially from those
described in the forward-looking statements.


<P align="left" style="font-size: 10pt">The following factors might cause such a difference:



<P>
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="5%" nowrap align="right">&#149;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Company&#146;s operations can be materially affected by competition
in its target markets and by overall market conditions, among other
factors.</TD>
</TR>

<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="5%" nowrap align="right">&#149;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Company&#146;s foreign operations, in particular, are subject to
political, economic, legal, regulatory and currency-related risks.</TD>
</TR>

</TABLE>

<P align="left" style="font-size: 10pt">Additional information regarding these risk factors and uncertainties is
detailed from time to time in the Company&#146;s filings with the Securities and
Exchange Commission, including, but not limited to, our most recent Forms 10-K
and 10-Q, available for viewing on our website. (To access this information on
our website, please click on &#147;Investor Relations,&#148; &#147;SEC Filings&#148;)



<P align="center" style="font-size: 10pt">###




<P align="center" style="font-size: 10pt">&nbsp;
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