<SUBMISSION>
<ACCESSION-NUMBER>0001104659-07-064079
<TYPE>8-K
<PUBLIC-DOCUMENT-COUNT>5
<PERIOD>20070821
<ITEMS>5.02
<ITEMS>9.01
<FILING-DATE>20070822
<DATE-OF-FILING-DATE-CHANGE>20070821
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>CAREER EDUCATION CORP
<CIK>0001046568
<ASSIGNED-SIC>8200
<IRS-NUMBER>363932190
<STATE-OF-INCORPORATION>DE
<FISCAL-YEAR-END>1231
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>8-K
<ACT>34
<FILE-NUMBER>000-23245
<FILM-NUMBER>071071998
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>2895 GREENSPOINT
<STREET2>SUITE 600
<CITY>HOFFMAN ESTATES
<STATE>IL
<ZIP>60195
<PHONE>8477813600
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>2800 WEST HIGGINS ROAD
<STREET2>SUITE 790
<CITY>HOFFMAN ESTATES
<STATE>IL
<ZIP>60195
</MAIL-ADDRESS>
</FILER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>a07-22370_28k.htm
<DESCRIPTION>8-K
<TEXT>
<html>

<head>







</head>

<body lang="EN-US">

<div style="font-family:Times New Roman;">
 <div style="border:none;border-top:double windowtext 6.0pt;padding:0pt 0pt 0pt 0pt;"> <p style="border:none;line-height:normal;margin:0pt 0pt .0001pt;padding:0pt;"><a name="scotch"></a><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p> </div>

<p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">UNITED
STATES</font></b></p>

<p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">SECURITIES
AND EXCHANGE COMMISSION</font></b></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Washington,
D.C.&#160; 20549</font></b></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">FORM 8-K</font></b></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;font-weight:bold;">CURRENT REPORT</font></b></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="3" face="Times New Roman" style="font-size:12.0pt;font-weight:bold;">Pursuant to Section 13 or 15(d) of<br>
The Securities Exchange Act of 1934</font></b></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Date of Report
(Date of Earliest Event Reported):<b> August 21, 2007</b></font></p>

<p align="center" style="font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="5" face="Times New Roman" style="font-size:18.0pt;font-weight:bold;">Career Education Corporation<br>
</font></b>(Exact Name of Registrant as Specified in Charter)</p>

<div align="center">

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="font-size:10.0pt;line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><!-- SET mrlNoTableShading --><b>Delaware</b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">0-23245</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">36-3932190</font></b></p>
  </td>
 </tr>
 <tr>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(State or Other
  Jurisdiction</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Commission</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(IRS Employer</font></p>
  </td>
 </tr>
 <tr>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">of
  Incorporation)</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">File Number)</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Identification
  No.)</font></p>
  </td>
 </tr>
 <tr>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="65%" colspan="3" valign="top" style="padding:0pt .7pt 0pt .7pt;width:65.88%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">2895 Greenspoint Parkway, Suite 600, Hoffman
  Estates, IL</font></b></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">60169</font></b></p>
  </td>
 </tr>
 <tr>
  <td width="65%" colspan="3" valign="top" style="padding:0pt .7pt 0pt .7pt;width:65.88%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Address of
  Principal Executive Offices)</font></p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt .7pt;width:2.38%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="31%" valign="top" style="padding:0pt .7pt 0pt .7pt;width:31.74%;">
  <p align="center" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Zip Code)</font></p>
  </td>
 </tr>
</table>

</div>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Registrant&#146;s
telephone number, including area code <b>(847) 781-3600</b></font></p>

<p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(Former name or former address, if changed since last
report.)</font></p>

<p style="line-height:normal;margin:6.0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">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 (see General
Instruction A.2. below):</font></p>

<p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Wingdings" style="font-size:10.0pt;">o</font>
Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)</p>

<p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Wingdings" style="font-size:10.0pt;">o</font>
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)</p>

<p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Wingdings" style="font-size:10.0pt;">o</font>
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))</p>

<p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Wingdings" style="font-size:10.0pt;">o</font>
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))</p>


 <div style="border:none;border-bottom:double windowtext 6.0pt;padding:0pt 0pt 0pt 0pt;"> <p style="border:none;line-height:normal;margin:0pt 0pt .0001pt;padding:0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p> </div>
</div><br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 5.02
Departure of Directors or Certain Officers; Election of Directors; Appointment
of Certain Officers; Compensatory Arrangements of Certain Officers.</font></b></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">On August 21, 2007, Career Education Corporation (the &#147;Company&#148;)
issued a press release announcing the appointment of Michael J. Graham, age 47,
as the Company&#146;s Executive Vice President, Chief Financial Officer and
Treasurer effective on September 5, 2007. Mr. Graham succeeds Patrick K. Pesch,
who announced his retirement from the Company. As disclosed in the press
release, Mr. Pesch resigned from his position as a director of the Company on
August 21, 2007, and from his positions as the Company&#146;s Executive Vice
President, Chief Financial Officer and Treasurer, effective as of September 4,
2007.&#160; A copy of the Company&#146;s press
release is attached hereto as Exhibit 99.1, and the information contained
therein is incorporated herein by reference.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Mr. Graham has served as the chief financial officer
of the Terlato Wine Group, a privately-held company specializing in luxury wine
marketing and production, since July 2006.&#160;
From May 2005 until joining the Terlato Wine Group, Mr. Graham was
senior vice president and controller of RR Donnelley and Sons.&#160; From 2003 through 2005, he served as vice
president and controller of Sears, Roebuck and Co., and from 2000 through 2003
he served as chief financial officer of Aegis Communications Group.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">On August 13, 2007, the Company and Mr. Graham entered
into a letter agreement (the &#147;Letter Agreement&#148;) pursuant to which Mr. Graham
will serve as the Company&#146;s Executive Vice President and Chief Financial
Officer.&#160; Mr. Graham&#146;s employment is
at-will and may be terminated by either Mr. Graham or the Company at any
time.&#160; Under the Letter Agreement, Mr.
Graham will be paid a base salary of $390,000 per year, which will be reviewed
on an annual basis, and he will receive a $50,000 sign-on bonus. In addition,
Mr. Graham will be eligible to participate in the Company&#146;s Corporate Bonus
Program.&#160; Under this program, Mr. Graham&#146;s
target annual bonus will be 75% of his base salary.&#160; For 2007, Mr. Graham is guaranteed to receive
a minimum bonus of 75% of the pro rata portion of his 2007 base salary,
provided that he remains employed on December 31, 2007.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Letter Agreement further provides that on the
commencement date of Mr. Graham&#146;s employment with the Company<b>  </b>(the &#147;Grant Date&#148;), the Company will grant to Mr. Graham
6,000 shares of restricted stock and an option to purchase 12,500 shares of the
Company&#146;s common stock under the terms of the Career Education Corporation 1998
Employee Incentive Compensation Plan (the &#147;Compensation Plan&#148;), with an
exercise price equal to the stock price at the close of business on the Grant
Date.&#160; The restricted stock will vest on
the third anniversary of the Grant Date, subject to the terms of the restricted
stock agreement and the Compensation Plan, and the options will vest 25% per
year over four years.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Letter Agreement provides that in the event that
Mr. Graham&#146;s employment is terminated without cause (as defined in the
Compensation Plan) or if Mr. Graham voluntarily resigns for good reason (as
defined in the Letter Agreement), Mr. Graham is eligible to receive severance
benefits.&#160; If such termination occurs
during the first twelve months of employment, Mr. Graham will receive severance
benefits equal to one year of base salary, plus a pro-rated portion of his
target bonus, if earned.&#160; If such termination
occurs after the first twelve months of employment, he will receive severance
benefits pursuant to the CEC Severance Plan for Executive Level Employees.</font></p>


 <p style="line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Mr. Graham does not have any family relationship with
any executive officer or director of the Company, or with any person selected
to become an officer or a director of the Company.&#160; Neither Mr. Graham nor any member of his
immediate family is a party to any transactions or proposed transactions with
the Company.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Mr. Pesch has agreed to remain with the Company as an
employee and consultant to facilitate an orderly transition of responsibilities
to Mr. Graham.&#160; The Company and Mr. Pesch
have entered into a Termination and Consulting Agreement, dated August 21, 2007
(the &#147;Agreement&#148;), specifying the terms and conditions of Mr. Pesch&#146;s continued
employment and subsequent consultancy with the Company. Under the terms of the
Agreement, Mr. Pesch&#146;s employment with the Company will terminate as of the
earliest of the (i) 60th day following the commencement of Mr. Graham&#146;s
employment with the Company, (ii) December 31, 2007, (iii) the date on which
the Company terminates Mr. Pesch&#146;s employment due to death, disability or for
cause, or (iv) the date on which Mr. Pesch terminates his employment with the
Company (the &#147;Employment Termination Date&#148;). During the period between the date
of the Agreement and the Employment Termination Date, Mr. Pesch will continue
to earn an annual base salary of $440,000 and will be eligible to participate
in the benefit plans generally available to executive employees of the
Company.&#160; The Company will pay Mr. Pesch
a severance payment equal to $440,000.&#160;
In addition, if the Company achieves certain performance goals, Mr.
Pesch will be entitled to receive a pro rata amount of the bonus he would have
been entitled to receive under the Company&#146;s 2007 Executive Bonus Plan, based
on the period from January 1, 2007 through the Employment Termination Date.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Agreement also provides that Mr. Pesch will serve
as a consultant to the Company following the termination of his employment in
order to continue the effective transition of responsibilities to Mr. Graham.
Pursuant to the Agreement, beginning on the first day after the Employment
Termination Date through the earliest of June 30, 2008, or Mr. Pesch&#146;s death,
disability or notice to the Company (the &#147;Consulting Period&#148;), Mr. Pesch will
provide consulting services to the Company as requested by the Company&#146;s Chief
Executive Officer or Chief Financial Officer.&#160;
As consideration for the provision of these consulting services, the
Company will pay Mr. Pesch a consulting fee of $8,000 per month during the
Consulting Period.&#160; Mr. Pesch&#146;s existing
stock option and restricted stock awards will continue to vest in accordance
with their terms through the end of the Consulting Period.&#160; At the conclusion of the Consulting Period,
all of Mr. Pesch&#146;s unvested stock option and restricted stock awards will
terminate and be forfeited. The Agreement also provides that Mr. Pesch will be
subject to certain confidentiality, non-competition and non-solicitation
restrictions.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-autospace:none;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The descriptions of the terms of the Letter Agreement
and the Agreement contained herein do not purport to be complete and are
qualified in their entirety by reference to the Letter Agreement and the
Agreement, copies of which are attached as Exhibit 10.1 and Exhibit 10.2 to
this Current Report on Form 8-K, respectively, and are incorporated by
reference herein.</font></p>


 <p style="line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Item 9.01
Financial Statements and Exhibits.</font></b></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d) Exhibits</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:6.94%;">
  <p align="left" style="font-size:8.0pt;font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:left;"><!-- SET mrlNoTableShading -->Exhibit <br>
  Number</p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="90%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:90.68%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Description of Exhibits</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:6.94%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="90%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:90.68%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.94%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">10.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="90%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:90.68%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Letter Agreement between the Registrant and Michael
  J. Graham, dated August 13, 2007.</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.94%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="90%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:90.68%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.94%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">10.2</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="90%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:90.68%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Termination and Consulting Agreement by and among
  the Registrant, CEC Employee Group, LLC and Patrick K. Pesch, dated August
  21, 2007.</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.94%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="90%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:90.68%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.94%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">99.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="90%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:90.68%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Press release of Registrant, dated August 21, 2007,
  reporting the appointment of Michael J. Graham as Executive Vice President,
  Chief Financial Officer and Treasurer of the Registrant, and the retirement
  of Patrick K. Pesch as a director and as Executive Vice President, Chief
  Financial Officer and Treasurer of the Registrant.</font></p>
  </td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>


 <p style="line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">SIGNATURES</font></b></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Pursuant to the
requirements of the Securities Exchange Act of 1934, the Registrant has duly
caused this report to be signed on its behalf by the undersigned hereunto duly
authorized.</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="53%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:53.58%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="46%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:46.42%;">
  <p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt .0001pt;"><!-- SET mrlNoTableShading -->CAREER EDUCATION CORPORATION</p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="53%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:53.58%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.88%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="41%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:41.54%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="53%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:53.58%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.88%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="41%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:41.54%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="53%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:53.58%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.88%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="32%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:32.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Gary E. McCullough</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.7%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="53%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:53.58%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.88%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="41%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:41.54%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Gary E.
  McCullough</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="53%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:53.58%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.88%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="41%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:41.54%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">President and
  Chief Executive Officer</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="53%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:53.58%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.88%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="41%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:41.54%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="53%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:53.58%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.88%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="41%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:41.54%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
</table>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Dated: August 21,
2007</font></p>


 <p style="line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><u><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit
Index</font></u></b></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:6.42%;">
  <p align="left" style="font-size:8.0pt;font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:left;"><!-- SET mrlNoTableShading -->Exhibit Number</p>
  </td>
  <td width="2%" valign="bottom" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></b></p>
  </td>
  <td width="91%" valign="bottom" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:91.08%;">
  <p style="font-weight:bold;line-height:8.0pt;margin:0pt 0pt .0001pt;text-align:center;"><b><font size="1" face="Times New Roman" style="font-size:8.0pt;">Description of Exhibits</font></b></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:6.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="border:none;padding:0pt .7pt 0pt 0pt;width:91.08%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">10.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.08%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Letter Agreement between the Registrant and Michael
  J. Graham, dated August 13, 2007.</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.08%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">10.2</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.08%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Termination and Consulting Agreement by and among
  the Registrant, CEC Employee Group, LLC and Patrick K. Pesch, dated August
  21, 2007.</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.08%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="6%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:6.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">99.1</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.5%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="91%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:91.08%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Press release of Registrant, dated August 21, 2007,
  reporting the appointment of Michael J. Graham as Executive Vice President,
  Chief Financial Officer and Treasurer of the Registrant, and the retirement
  of Patrick K. Pesch as a director and as Executive Vice President, Chief
  Financial Officer and Treasurer of the Registrant.</font></p>
  </td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>


 <p style="line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">6</font></p>
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<p align="right" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit
10.1</font></b></p>

<p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Career Education
Corporation</font></p>

<p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2895 Greenspoint Parkway,
Suite 600</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Hoffman Estates,
Illinois 60169</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">August 13, 2007</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">To:</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font>Mr. Michael J. Graham</p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Dear Mike:</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">I am pleased to extend
this offer for the position of Executive Vice President, Chief Financial
Officer of Career Education Corporation.&#160;
Your position will be based in our corporate offices in Hoffman Estates,
and you will report to me.&#160; This is an
important Corporate Officer role and you will be part of our company&#146;s Senior
Leadership Team.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Following are the details
of your compensation package:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
base salary for this position is $32,500 per month (which equates to an annual
salary of $390,000).&#160; Your base salary
will be reviewed on an annual basis.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>A
sign-on bonus of $50,000 will be paid within 30 days of the start of your
employment provided you commence employment with CEC by September 15, 2007.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>You
are eligible to participate in the Corporate Bonus Program at the Company.&#160; Your target annual bonus will be 75% of base
salary earned and is typically paid in February or March of the year subsequent
to the year for which it is earned.&#160; Your
bonus for 2007 will be guaranteed to be a minimum of 75% of base salary earned
so long as you continue in our employment through December 31, 2007.&#160; Such bonus payment will be made no later than
March 15, 2008.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>You
are also eligible to participate in the Corporate Over Achievement Bonus
Plan.&#160; Payments under this plan are at
the discretion of the Chief Executive Officer and the Compensation Committee of
the Board of Directors based on company achievement in excess of budgeted
income.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The
Company will grant you 12,500 options under the terms of its 1998 Employee
Incentive Compensation Plan (the &#147;Compensation Plan&#148;) with an exercise price
equal to the stock price at the close of business on your first day of
employment.&#160; The options will vest 25%
per year over four years.&#160; Beginning in
2008 and thereafter, you will be eligible to participate in the company&#146;s
equity compensation programs.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>You
will be granted 6,000 shares of Restricted Stock.&#160;&#160;&#160; These 6,000 shares will vest on the third
anniversary of the grant date, subject to the terms of the restricted stock
agreement and the Compensation Plan.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>You
will earn vacation at a rate of 20 working days per year.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>You
will be eligible to participate in the benefit programs available to our
employees as soon as you meet the eligibility requirements of each plan.&#160; I have enclosed a summary of our plans for
your review.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>This
letter contains all agreements, and supersedes all other agreements, verbal and
written, pertaining to your employment with CEC.&#160; Employment at the Company is employment
at-will and may be terminated at the will of either you or the Company.</p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">1</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>All
grants of stock options and restricted stock are contingent upon formal
approval by the Compensation Committee of the CEC Board of Directors.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>During
the first twelve (12) months of your employment, in the event of either an
involuntary termination by CEC without cause (as defined in the Compensation
Plan) or a voluntary resignation for Good Reason (as defined below), you will
receive severance benefits equal to one (1) year of base salary, and pro-rated
target bonus, if earned, based on actual time worked in the position (such
bonus to be paid no later than March 15 of the year following termination of
employment).&#160; If you are a &#147;specified
employee&#148; (as described in Section 409A of the Internal Revenue Code) on the
date of any such termination, then any severance payment will be delayed until
the date that is six months following the date of your &#147;separation from service&#148;
(as defined under Section 409A of the Internal Revenue Code).&#160; For purposes hereof, &#147;Good Reason is defined
as a material diminution in duties or responsibilities inconsistent with your
position as Chief Financial Officer, or an elimination of, or material
reduction in benefits, including base salary and target bonus (other than an
elimination or reduction required by applicable law), provided under any
executive benefit plan, where such elimination or reduction is not generally
applicable to all plan participants.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>After
twelve (12) months of employment, you would be covered under the normal CEC
Severance Plan for Executive Level Employees (the &#147;Severance Plan&#148;).&#160; Benefits under the Severance Plan currently
consist of six-months annual base salary, and pro-rated target bonus, if
earned, based on actual time worked in the position.&#160; Notwithstanding Section I.C. of the Severance
Plan, you will be entitled to the benefits provided under Section II.A. of the
Severance Plan if you terminate your employment with the Company for Good
Reason (as defined above).</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Severance
benefits are conditioned upon a complete release of all claims against the Company.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 36.0pt;text-indent:-18.0pt;"><font size="2" face="Symbol" style="font-size:10.0pt;">&#183;</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Severance
benefits are not paid in event of death, disability, retirement, voluntary
resignation without Good Reason or termination for cause.</p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Please call me if you
wish to discuss this offer.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Mike, I am excited about
you joining me and the Career Education Corporation team.&#160; I know you have the skills and experience to
do a great job and to help me make a positive difference.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Sincerely,</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="19%" colspan="2" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:19.64%;">
  <p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt .0001pt;"><!-- SET mrlNoTableShading -->/s/ Gary E. McCullough</p>
  </td>
  <td width="23%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.28%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="30%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:30.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="26%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:26.7%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="42%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:42.92%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Gary E.
  McCullough</font></p>
  </td>
  <td width="30%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:30.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="26%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:26.7%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="100%" colspan="9" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">President and Chief Executive Officer</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="48%" colspan="5" valign="top" style="padding:0pt .7pt 0pt 0pt;width:48.8%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="51%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:51.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="48%" colspan="5" valign="top" style="padding:0pt .7pt 0pt 0pt;width:48.8%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Accepted and Agreed to:</font></p>
  </td>
  <td width="51%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:51.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="18%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:18.46%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/&nbsp; Michael J. Graham</font></p>
  </td>
  <td width="1%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:1.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="28%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:28.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="16%" colspan="2" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:16.66%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;August 13, 2007</font></p>
  </td>
  <td width="34%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:34.52%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="19%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:19.84%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Michael J.
  Graham</font></p>
  </td>
  <td width="28%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:28.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="51%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:51.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;Date</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="19%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:19.84%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="28%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:28.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="51%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:51.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="19%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:19.84%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Expected Start
  Date:</font></p>
  </td>
  <td width="32%" colspan="3" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:32.74%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;September
  5, 2007</font></p>
  </td>
  <td width="47%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:47.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr height="0">
  <td width="138" style="border:none;"></td>
  <td width="9" style="border:none;"></td>
  <td width="1" style="border:none;"></td>
  <td width="173" style="border:none;"></td>
  <td width="44" style="border:none;"></td>
  <td width="28" style="border:none;"></td>
  <td width="96" style="border:none;"></td>
  <td width="59" style="border:none;"></td>
  <td width="200" style="border:none;"></td>
 </tr>
</table>

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<p align="right" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit 10.2</font></b></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">TERMINATION
AND CONSULTING AGREEMENT</font></b></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">This TERMINATION
AND CONSULTING AGREEMENT (this &#147;<i>Agreement</i>&#148;) is
entered into this 21</font><font size="1" style="font-size:6.5pt;position:relative;top:-3.0pt;">st</font>&#160;day of August, 2007 between CAREER EDUCATION
CORPORATION, a Delaware corporation (&#147;<i>CEC</i>&#148;) and CEC
EMPLOYEE GROUP, LLC (<i>&#147;Employee Group&#148;</i>,
and, together with CEC, the <i>&#147;Company&#148;</i>) on
the one hand, and PATRICK K. PESCH, an individual resident of the State of
Illinois (the &#147;<i>Employee</i>&#148;), on the other hand.</p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The parties have
determined that it will be mutually beneficial for the Employee, currently the
Chief Financial Officer of the Company, to transition to a consulting
arrangement with the Company. In preparation for this transition, the Employee
has resigned from the Company&#146;s board of directors and this Agreement sets
forth the terms and conditions of Employee&#146;s continued service as an employee
and Chief Financial Officer of the Company, termination of service as an
employee and Chief Financial Officer of the Company and subsequent consultancy
with the Company, including the Employee&#146;s release of claims against the
Company upon termination of employment as set forth herein. In consideration of
the promises contained herein, the Company and the Employee do hereby covenant
and agree as follows:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 1.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Termination of Employment</u>.</p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">1.1</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Termination</font></u><font color="black" style="color:windowtext;">. The Employee&#146;s employment with the
Company will cease effective at the close of business on the &#147;<i>Employment Termination Date</i>,&#148; which means the earliest of
(a) the sixtieth day following the date on which the Employee&#146;s successor as
Chief Financial Officer commences employment with the Company (the &#147;<i>Expected End Date</i>&#148;) (b) December 31, 2007, (c) the date on
which the Company terminates the Employee&#146;s employment with the Company by
reason of Death or Disability or with Cause pursuant to section 8, and (d) the
date on which the Employee terminates his employment with the Company pursuant
to section 8.&#160; The Employee hereby
confirms that effective as of the close of business on the date prior to the
date on which the Employee&#146;s successor as Chief Financial Officer commences
employment with the Company, he will no longer hold any positions as an officer
or director of the Company, or any of its respective parents, subsidiaries and
Affiliates (as defined below) at any level, and he agrees to promptly execute
such documents and take such actions as may be necessary or requested by the
Company to evidence the foregoing.</font></p>

<p style="color:black;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">CEC and the Employee hereby acknowledge that
they remain bound by all of the terms of that certain indemnification agreement
between them executed by Employee in January, 1998, the terms of which survive
termination of employment and which the parties agree are enforceable and
remain in full force and effect pursuant to the terms of section 16 thereof.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">1.2</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Salary, Benefits and Expense Reimbursement
Prior to Termination</font></u><font color="black" style="color:windowtext;">. The Employee hereby acknowledges that from the date hereof until
the Employment Termination</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">1</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">Date (the &#147;<i>Employment
Period</i>&#148;) he will remain continuously employed by the Company on an
at-will basis.&#160; During the Employment
Period, Employee will continue to (a) earn an annual salary of $440,000 (paid
in substantially equal installments according to the normal payroll practices
of the Company), and (b) be eligible to participate in the benefit plans
generally available to executive employees of the Company pursuant to the
written terms of such benefit plans. The Company agrees to reimburse the
Employee, in accordance with the Company&#146;s regular expense reimbursement
processes, for any expenses incurred by the Employee through the Employment
Termination Date and are consistent with the Company&#146;s expense policy and
practice.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">1.3</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Benefits and Expense Reimbursement
Following the Employment Termination Date</font></u><font color="black" style="color:windowtext;">. The Employee hereby acknowledges that, after the
Employment Termination Date, he will no longer be entitled to participate in
any&nbsp;employee benefit plan sponsored or maintained by the Company, except
for (a) continuation coverage&nbsp;that may be elected under group health plans
maintained by the Company, which coverage is intended to satisfy the
requirements of Sections 601 through 608 of the Employee Retirement Income
Security Act of 1974, as amended (&#147;<i>ERISA</i>&#148;), and
(b) any benefit provided under the provisions of a pension plan (as defined in
Section 3(2) of ERISA) which is accrued and vested as of the Employment
Termination Date, any such benefit to be paid in accordance with the written
terms of such pension plan<b>. </b>&#160;In the event that Employee&nbsp;elects to
continue the&nbsp;benefit coverage&nbsp;described in clause (a) of&nbsp;the
preceding sentence, the following benefit coverage&nbsp;shall be continued for
the twelve (12) month period following the Employment Termination Date, upon
the same terms and conditions as&nbsp;such coverage (if any)&nbsp;is provided
to&nbsp;other actively employed&nbsp;key executives of the Company (including&nbsp;Employee&#146;s
cost of coverage)&nbsp;generally during such&nbsp;12-month period: (i) medical
plan including vision (normal); (ii) medical plan (execu-care) and (iii)
dental;&nbsp;<u>provided</u>, that&nbsp;the Employee does not become eligible
to receive similar benefits from a subsequent employer.&nbsp;&nbsp;&nbsp;After
the Employment Termination Date, the Employee will no longer be authorized to
incur any expenses, obligations or liabilities on behalf of the Company, except
as permitted by section 4.</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">2</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 2.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Payments</u>. In consideration of the Employee&#146;s
execution of and compliance with this Agreement, and subject to (a) the
Employee&#146;s valid execution and delivery of a general release in the form
attached hereto as Exhibit A (the &#147;<i>General Release</i>&#148;)
on the later of the Employment Termination Date or the 21st day after the
Employee&#146;s receipt of this Agreement and the General Release, (b) the
expiration of the revocation period described in paragraph 3 of the General
Release with no revocation by the Employee, and (c) the terms of section 8, the
Company shall, in the time frames set forth below, pay to the Employee the
amounts set forth in sections 2.1 and 2.2.&#160;
Such amounts shall be paid by check, mailed to the Employee&#146;s last known
address according to the Company&#146;s payroll records or upon the Employee&#146;s
request by direct deposit to the Employee&#146;s bank account.&#160; The parties agree that the monies set forth
in this section 2 constitute additional consideration, above and beyond
anything to which the Employee is already entitled, in exchange for the Employee&#146;s
execution of and compliance with this Agreement and the General Release
pursuant to their terms.</p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">2.1</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><font color="black" style="color:windowtext;">$440,000, paid in a lump sum on the
date that is six months after the Employment Termination Date.&#160; This amount is equal to the Employee&#146;s
current annual base salary.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">2.2</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><font color="black" style="color:windowtext;">An amount equal to the product of
(a) a fraction (i) the numerator of which is the number of days in the period
between January 1, 2007 and the Employment Termination Date, inclusive, and
(ii) the denominator of which is 365, and (b) the bonus, if any, that would
have been payable to the Employee had he remained an employee of the Company on
December 31, 2007 under the CEC Executive Bonus Plan. The amount described in
the preceding sentence shall be determined and paid in accordance with the
Company&#146;s regular practice with respect to determining annual bonus payments; <u>provided</u>,
that the amount, if any, payable pursuant to this section 2.2 shall be paid to
the Employee no later than March 15, 2008.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 3.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Consultancy</u>.</p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">3.1</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">General</font></u><font color="black" style="color:windowtext;">. Commencing on the first day after
the Employment Termination Date and ending on June 30, 2008 or an earlier date
pursuant to section 8 (the &#147;<i>Consulting Period</i>&#148;),
the Employee shall make himself available to provide consulting services to the
Company (in such capacity, the Employee is sometimes referred to herein as the &#147;<i>Consultant</i>&#148;). The consulting services to be provided by the
Consultant shall be as requested by the Chief Executive Officer or Chief
Financial Officer<b>  </b>of the Company, and may include,
but shall not be limited to, assistance in preparation for quarterly earnings
announcements and other contacts with shareholders and analysts, and the
provision of accounting and financial expertise. The scheduling of the time
that the Consultant shall provide such services will be mutually agreeable to
the parties; <u>provided</u>, that the Consultant shall not be required to
provide services in excess of thirty-two (32) hours in any calendar month,
unless the parties mutually agree that hours in excess of thirty-two (32) are
necessary. The Consultant shall perform such services at such locations as are
mutually agreeable to him and the Company. Should the Consultant perform
services for more than thirty-two (32) hours in any given month, the Company
shall compensate the Consultant for such additional hours at the rate of $250
per additional hour.</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">3</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">3.2</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Payment</font></u><font color="black" style="color:windowtext;">. In consideration for the provision
of such consulting services, the Company shall pay to the Consultant a
consulting fee of $8,000 per month during the Consulting Period, paid
semimonthly and pro rated for any partial month during the Consulting Period.
In addition, consistent with the provisions of the Company&#146;s 1998 Employee
Incentive Compensation Plan (the &#147;<u>Plan</u>&#148;) allowing grants of stock
options to consultants, and pursuant to determinations made by the Compensation
Committee of the Board of Directors of the Company, the Employee&#146;s existing
stock options awards and restricted stock awards will continue to vest during
the Consulting Period and be exercisable (as applicable), in accordance with
their terms as if the Consulting Period were a continuation of employment and
termination of employment does not occur until the end of the Consulting Period
(and, to the extent not vested at or prior to the end of the Consulting Period,
shall terminate and be forfeited at the end of the Consulting Period). For
avoidance of doubt, any period for exercise of stock option awards following
the Consulting Period shall be as provided for under the Plan and Option
Agreements applicable to such awards.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">3.3</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Status of Consultancy</font></u><font color="black" style="color:windowtext;">. The parties hereby agree and
acknowledge that the Consultant shall at no time during the Consulting Period
be an employee, representative, or agent of the Company or any of its
subsidiaries. During the Consulting Period, the Consultant shall be an
independent contractor and the Company shall exercise no immediate control over
the Consultant or the manner in which he performs his services under this
Agreement. The Consultant may not bind or sign any documents on behalf of the
Company or any of its subsidiaries. The Consultant shall be responsible for
payment of all taxes for remuneration received under section 3, including
federal and state income tax, Social Security tax, Unemployment Insurance tax,
and any other taxes as required under applicable law and regulations.</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">4</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 4.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Cooperation with Litigation</u>. From and
after the Employment Termination Date and with respect to matters as to which
he obtained knowledge during either his employment with the Company or during
the Consulting Period, the Employee agrees to cooperate fully, at the Company&#146;s
reasonable request, with the Company and any of its officers, directors,
attorneys or employees (a) in connection with the defense or prosecution of any
and all charges, complaints, claims, liabilities, obligations, promises,
agreements, demands and causes of action of any nature whatsoever, which are
asserted by any person or entity (including the Company) concerning or related
to any matter that arises out of or concerns events or occurrences during the
Employee&#146;s employment with the Company or the consultancy described in section
3, and (b) concerning requests for information about the business of the
Company or the Employee&#146;s involvement and participation therein (including as
Consultant). The Employee shall provide such cooperation consistent with his
other obligations and on reasonable notice and such cooperation is not intended
to be unreasonably burdensome nor to interfere with the Employee&#146;s ability to
transition into other personal or professional endeavors. To the extent such
cooperation occurs during the Consulting Period, such cooperation shall be
provided as part of the consulting services rendered pursuant to section 3 and
to the extent such cooperation does not exceed the thirty-two (32) hour per
calendar month limit set forth in section 3.1, shall not entitle the Employee
to any additional compensation. To the extent such cooperation occurs after the
termination of the Consulting Period, or to the extent that such cooperation
(together with ordinary consulting services provided hereunder) occurs during
the Consulting Period but exceeds the thirty-two (32) hour per calendar month
limit set forth in section 3.1, and in each case (i) is rendered at the written
request of the Company and (ii) does not include testimony given pursuant to a
lawfully issued and valid subpoena or notice of deposition (as opposed to
preparation for testimony with employees of the Company or counsel to the
Company), the Employee shall be entitled to compensation at a rate of $250 per
hour.&#160; The Employee shall be entitled to
reimbursement, upon receipt by the Company of suitable documentation, for
reasonable and necessary travel and other expenses not reimbursed or
reimbursable by a third party that he may incur at the specific request of the
Company and as approved in advance by the Company in accordance with its
policies and procedures established from time to time in connection with the
Employee&#146;s cooperation obligations under this section 4. Nothing in this
section should be construed as suggesting or implying that the Employee should
testify in any way other than truthfully or provide anything other than
accurate, truthful information.</p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">5</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="line-height:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The Employee has been individually named, along with CEC, as a
defendant in certain litigation brought by or on behalf of CEC shareholders,
including specifically: (A) <i>In re Career Education
Corporation Securities Litigation</i>, No. 03 C 8884 (N.D. Ill.)&#160; (formerly known as <i>Taubenfeld
v. Career Education Corporation, et al.</i>) and those actions
consolidated within that action; (B) <i>McSparran v. John M.
Larson, et al.</i>, No. 04 C 0041 (N.D. Ill.) (consolidated with <i>Ulrich v. John M. Larson, et al.</i>, 04 C 4778 (N.D. Ill.));
(C) <i>Xiao-Qiong Huang v. John M. Larson, et al.</i>,
04 CH 10579 (Cook County, Illinois); (D) <i>David Nicholas, Sr. v.
Robert E. Dowdell, et al.</i>, C.A. No. 819-N (Del. Ch.); or (E) <i>In re: Career Education Corporation Derivative Litigation</i>,
C.A. No. 1398-N (Del. Ch.) (consolidated cases originally filed as <i>Romero v. Robert E. Dowdell, et al. </i>and consolidated with <i>Neel v. Robert E. Dowdell, et al.</i>, C.A. No. 2151-N (Del.
Ch.)) (together &#147;the Shareholder Litigation&#148;). The Employee has retained
counsel at the law firm of Jones Day to represent him in the Shareholder
Litigation separate and apart from counsel representing CEC, and CEC has paid
for the Employee&#146;s reasonable attorneys&#146; fees and costs in defending the
Shareholder Litigation (the &#147;Costs&#148;).&#160;
Subject to the terms of this Agreement and the indemnification agreement
between the Employee and CEC dated as of January 1998 (and referred to in
section 1.1 above), including specifically CEC&#146;s right to reimbursement of the
Costs from the Employee under certain circumstances set forth therein and
pursuant to Delaware law, CEC shall continue to pay reasonable Costs associated
with representation of the Employee by Jones Day until the Shareholder
Litigation (or any settlement(s) thereof) and any appeals are concluded, even
if the Costs are incurred after termination of the Consulting Period.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 5.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Non-Competition; Non-Solicitation;
Non-Disparagement and Confidential Information</u>.</p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">5.1</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Non-Competition</font></u><font color="black" style="color:windowtext;">. During the period commencing on
the date hereof and continuing through December 31, 2008, the Employee shall
not own or engage in, either directly or indirectly, as an officer, manager,
employee, independent contractor, consultant, director, partner, sole
proprietor, stockholder, or in any other capacity, any business operating any
post-secondary, private trade or vocational schools, that offers classes,
courses or instruction in or is otherwise engaged in any curriculum or field of
study offered by any of the schools operated by the Company (the &#147;<i>Schools</i>&#148;) or any other curriculum or field of study that the
Company has expressed an interest in offering, during the Employee&#146;s employment
by the Company, whether through the Schools or through a potential acquisition
(the &#147;<i>Competitive Activities</i>&#148;).&#160; The Employee hereby acknowledges that the
Company intends to promote the Schools on an international basis and that the
geographical scope of this Agreement is intended to encompass all Competitive
Activities engaged in anywhere in the United States, its possessions and
territories and any other country where the Company and its subsidiaries are
promoting the Schools on the Employment Termination Date. Nothing herein shall
prevent the Employee from owning less than two percent (2%) of the capital
stock of a company whose stock is publicly traded and that is engaged in
Competitive Activities.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">5.2</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Non-Solicitation</font></u><font color="black" style="color:windowtext;">. During the period from the date
hereof through December 31, 2008, the Employee shall not, directly or
indirectly, individually or on behalf of</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">6</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">any Person (as defined below) solicit, aid or
induce (a) any then-current employee of the Company or its Affiliates to leave
the Company or its Affiliates in order to accept employment with or render
services for the Employee or such Person, or (b) any student, customer, client,
vendor, lender, supplier or sales representative of the Company or its
Affiliates or similar persons engaged in business with the Company or its
Affiliates to discontinue the relationship or reduce the amount of business
done with the Company or its Affiliates. &#147;<i>Person</i>&#148; means
any individual, a partnership, a corporation, an association, a limited
liability company, a joint stock company, a trust, a joint venture, an
unincorporated organization, a governmental entity, or any department, agency
or political subdivision thereof, or an accrediting body. &#147;<i>Affiliate</i>&#148;
means: (i) with respect to any natural Person, any individual related by blood
or marriage to such Person; and (ii) with respect to any other Person, any
Person controlling, controlled by or under common control with such Person.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">5.3</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Non-Disparagement</font></u><font color="black" style="color:windowtext;">. The Employee shall not disparage
the Company or its Affiliates to third parties in any manner likely to be
harmful to the Company or its Affiliates, their business reputation, or the
personal or business reputation of its directors, shareholders and/or employees.
Notwithstanding the preceding sentence, the Employee shall respond accurately
and fully to any question, inquiry, or request for information when required by
legal process, or when appropriately posed by a governmental entity. CEC agrees
that its executive officers and directors shall not disparage the Employee to
third parties in any manner likely to be harmful to Employee&#146;s personal or
business reputation. Notwithstanding the preceding sentence, CEC and its
directors, executive officers and employees shall respond accurately and fully
to any question, inquiry, or request for information when required by legal
process, or when appropriately posed by a governmental entity.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">5.4</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Confidential Information</font></u><font color="black" style="color:windowtext;">. The Employee acknowledges and
agrees that throughout and as an incident to his employment by the Company, he
has been and will be in possession of and exposed to Confidential Information
(as defined herein) relating to the Company, its Affiliates and each School,
and will continue to be in possession of and exposed to such Confidential
Information until the end of the Consulting Period. For purposes hereof, &#147;<i>Confidential Information</i>&#148; shall mean all proprietary or
confidential information concerning the business, finances, financial
statements, curricula, properties and operations of the Company, its Affiliates
and each School, including, without limitation, all student and prospective
student and supplier lists, know-how, trade secrets, business and marketing
plans, techniques, forecasts, projections, budgets, unpublished financial
statements, price lists, costs, computer programs, source and object codes,
algorithms, data, and other original works of authorship, along with all
information received from third parties and held in confidence by the Company,
its Affiliates and each School (including, without limitation, personnel files
and student records). At all times after the date hereof, the Employee will
hold the Confidential Information in the strictest confidence and will not
disclose or make use of (directly or indirectly) the Confidential Information
or any portion thereof to or on behalf of himself or any third party except (a)
as required in the performance of his duties as an employee of or consultant to
the Company, (b) as required by the order of any court or similar tribunal or
any other governmental body or agency of appropriate jurisdiction; <u>provided</u>,
that the Employee shall, to the extent practicable, give the Company prior
written notice of any such disclosure and shall cooperate with the Company in
obtaining a</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">7</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">protective order or such similar protection
as the Company may deem appropriate to preserve the confidential nature of such
information. The foregoing obligations to maintain the Confidential Information
shall not apply to any Confidential Information that is, or without any action
by the Employee becomes, generally available to the public. Within five
business days following the end of the Consulting Period, the Employee shall
return to the Company all physical embodiments of the Confidential Information
(regardless of form or medium, and including without limitation any
electronically stored embodiments of any Confidential Information) that are or
have been at any time from the date hereof through the end of the Consulting
Period, in the possession of or under the control of the Employee, and shall
not retain any originals or copies of any such embodiments.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">5.5</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Acknowledgements</font></u><font color="black" style="color:windowtext;">. The Employee fully understands the
nature and burdens of this section 5.&#160;
The Employee acknowledges that the provisions of this section 5 are
fair, reasonable, and not excessively broad, that they are necessary to protect
important and legitimate business interests of the Company, its Affiliates and
each School, and that in light of the Employee&#146;s education, experience, and
capabilities, he can honor all parts of this section 5 without being prevented
from earning a fully adequate livelihood for the Employee and his dependents
from now throughout any period during which his activities are restricted
hereunder.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">5.6</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Scope of Restriction</font></u><font color="black" style="color:windowtext;">. The parties have attempted to
limit the scope of the covenants set forth in this section 5 to the extent
necessary to give the Company the benefit of its bargain with respect to the
other provisions of this Agreement. The parties agree that if the scope and
duration of any such covenant would, but for this provision, be deemed by a
court of competent authority to be unreasonable or otherwise unenforceable,
such court may modify such covenants to the extent that such court determines to
be necessary in order to grant enforcement thereof as so modified.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">5.7</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Remedies</font></u><font color="black" style="color:windowtext;">. The parties recognize that the
Company will suffer irreparable injury in the event of any breach or threatened
or anticipated breach of the terms of this section 5 by the Employee, and that
the remedy at law for any such actual breach or threatened or anticipated
breach will be inadequate. Accordingly, in the event of any breach or
threatened or anticipated breach of the terms of this section 5 by the Employee
and/or any Persons acting for or in concert with him, the Company shall be
entitled, in addition to any other remedies and damages available and without
proof of monetary or immediate damage, to seek and obtain from any court of
competent jurisdiction a decree of specific performance and a temporary and
permanent injunction, without bond or other security, enjoining and restricting
the breach or threatened or anticipated breach.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">5.8</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Common Law of Torts or Trade Secrets</font></u><font color="black" style="color:windowtext;">. The parties agree that nothing in
this Agreement shall be construed to limit or negate the common law of torts or
trade secrets where it provides the Company with broader protection than that
provided herein.</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">8</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 6.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Return of Property</u>. The Employee
represents, warrants and covenants that he has returned to the Company (or will
return to the Company on or before the Employee Termination Date) all Company
property in his possession or control, including, without limitation, all
telephones, keys, access cards, security badges, credit cards, phone cards, equipment,
computer hardware (including but not limited to all computers, Blackberry
devices, and personal data assistants), all contents of all such hardware, all
passwords and codes needed to obtain access to or operate all or part of any
such hardware, all electronic storage devices (including but not limited to all
hard drives, disk drives, diskettes, CDs, CD-ROMs, DVDs, and DVD-ROMs), all
contents of all such electronic storage devices, all passwords and codes needed
to obtain access to or use all or part of any such electronic storage device,
all computer software and programs, financial information, accounting records,
computer printouts, manuals, data, materials, papers, books, files, documents,
records, policies, student information and lists, customer information and
lists, marketing information, specifications and plans, data base information
and lists, mailing lists, and notes, including but not limited to any property
describing or containing any Confidential Information, and agrees that he will
not retain any cop&#173;ies, dupli&#173;cates, reproductions or excerpts thereof in any
form whatsoever. Notwithstanding the foregoing, the Employee shall be permitted
to retain or obtain such property as the Company determines appropriate during
the Consulting Period for purposes of carrying out his responsibilities as set
forth in section 3, <u>provided</u> that the Employee shall return all such
retained property at the end of the Consulting Period, concurrently with the
return of all physical embodiments of any Confidential Information in
accordance with section 5.4</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 7.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Employee&#146;s Review of Agreement</u>. The
Employee acknowledges that he has carefully read this Agreement and the General
Release, that he fully understands all of their terms and conditions, and that
he has been advised by the Company to have this Agreement and the General
Release reviewed by legal counsel of his choice and has in fact done so. The
Employee is signing this Agreement voluntarily and with full knowledge of its
significance and acknowledges that he has not relied upon any representation or
statement, written or oral, not set forth in this Agreement. The Employee
further understands that he has until September 11, 2007 (twenty-one (21) days
from the original date of presentment of this Agreement) to consider whether or
not to execute this Agreement, although he may elect to sign it sooner.</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 8.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>Early Termination</u>.</p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">8.1</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Prior to Expected End Date</font></u><font color="black" style="color:windowtext;">. Notwithstanding any other part of
this Agreement, either party may terminate the Employee&#146;s employment with the
Company prior to the Expected End Date by providing notice to the other party.
Such notice shall include the date of termination (which date shall be not
earlier than ten business days after the notice is given unless the termination
is for reason of Death or Disability, in which case the termination shall be
effective immediately upon notice). The effect of such termination on the
provisions of this Agreement shall vary based on the reason for termination as
follows:</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:108.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">(a)</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Termination by the Company other
than for Cause, Death or Disability</font></u><font color="black" style="color:windowtext;">. If prior to the Expected End Date the Company
terminates the Employee&#146;s</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">9</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">employment other than for Cause (defined
below): (i) this Agreement shall remain in effect except that the Employee
shall not be required to perform services for the Company as an employee after
the Employment Termination Date; (ii) the Company shall continue to be
obligated to pay the Employee&#146;s salary (and, to the extent permitted under the
terms of the Company&#146;s benefit plans,&#160;
continue providing the Employee with benefits) as set forth in section
1.2 through the Expected End Date; (iii) the Employee shall be required to
perform consulting services as set forth in section 3 beginning upon such
termination, but the Company shall not be required to pay to the Employee the
consulting fee set forth in section 3.2 until the Expected End Date, whereupon
it shall be required to pay such consulting fee until the end of the Consulting
Period; (iv) the Company shall remain obligated to make the severance payments
described in section 2 in accordance with that section (if the Employee
complies with his obligation to deliver and not revoke the General Release as
set forth in section 2 and in the General Release); and (v) the Employee shall
remain bound by sections 4, 5 and 6.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:108.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">(b)</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Termination by the Employee or by
the Company for Cause, Death or Disability</font></u><font color="black" style="color:windowtext;">. If prior to the Expected End Date the Employee
terminates his employment with the Company or the Company terminates the
Employee&#146;s employment with the Company for Cause, the Company shall be released
from all of its obligations under sections 2 and 3. If the Company terminated
the Employee&#146;s employment prior to the Expected End Date due to Disability, the
Employee shall comply with section 4 to the extent practicable, shall comply
with section 5.4 but shall otherwise be released from his obligations under
section 5, and shall comply with section 6. If the Employee&#146;s employment under
this Agreement is terminated prior to the Expected End Date by Death, the
Company shall pay or cause to be paid, the amounts payable under sections 2.1
and 2.2 within thirty (30) days of the date of death, to such person or persons
as Employee shall have designated for that purpose in a notice filed with the
Company, or, if no such person shall have been so designated, to his estate.
Any amounts payable under sections 2.1 and 2.2 shall be in addition to any
payments or benefits that Employee&#146;s widow, beneficiaries or estate may be
entitled to receive pursuant to any pension plan, profit sharing plan, any
employee benefit plan, equity incentive plan or life insurance policy
maintained by the Company. Notwithstanding the foregoing, no amounts or
benefits shall be payable under the Company&#146;s severance plan.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">8.2</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Termination of Service as Consultant</font></u><font color="black" style="color:windowtext;">. The Employee&#146;s service as the
Consultant pursuant to section 3 shall terminate prior to June 30, 2008 upon
the Death or Disability of the Consultant or if the Employee notifies the
Company that he no longer wishes to perform the duties required of him as the
Consultant. Upon such termination, the Consultant shall no longer be obligated
to perform the consulting services set forth in section 3, the Company shall
not be required to pay the consulting fee set forth in section 3.2, and the
Consulting Period shall end as of the date of such termination (and no awards
shall continue to vest thereafter).&#160;
Notwithstanding the foregoing, in the event the Consultant terminates
the Consulting Period pursuant to this section 8.2, the Employee shall
nonetheless comply with section 4, to the extent practicable.</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">10</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">8.3</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Certain Definitions</font></u><font color="black" style="color:windowtext;">.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:108.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">(a)</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font><font color="black" style="color:windowtext;">&#147;<i>Cause</i>&#148; means
(i) commission of any material act of fraud by the Employee with respect to
which there is an admission of guilt or a conviction or final, civil judgment
that cannot be appealed; (ii) misappropriation of funds or embezzlement by the
Employee with respect to which there is an admission of guilt or a conviction;
(iii) the Employee&#146;s conviction on any felony criminal charges (excluding
vehicular crimes unless a prison term of thirty days or more is actually
imposed); (iv) willful misconduct or malfeasance in the performance of the
Employee&#146;s duties in any material respect; (v) any willful misrepresentation or
willful series of misrepresentations made by the Employee to the Company or its
board of directors in connection with the performance of his duties that is,
individually or in the aggregate, material; (vi) any material breach by the
Employee of this Agreement.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:108.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">(b)</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font><font color="black" style="color:windowtext;">&#147;<i>Death</i>&#148; means
the death of the Employee.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:108.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">(c)</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160; </font><font color="black" style="color:windowtext;">&#147;<i>Disability</i>&#148;
means, by reason of physical or mental illness or accident, the Employee&#146;s
substantial inability to perform his duties as an employee or as the Consultant
for a period of more than thirty days, with or without reasonable accommodation.
The determination of such inability shall be made by a physician reasonably
selected by the CEO and consented to by the Employee, whose consent shall not
be unreasonably withheld, whose determination shall be binding on the parties.</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;page-break-after:avoid;text-indent:36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 9.</font><font size="1" style="font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u>General Provisions</u>.</p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.1</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">No Admission of Liability</font></u><font color="black" style="color:windowtext;">. The parties agree that nothing
contained in this Agreement shall constitute or be treated as an admission of
liability, wrongdoing or violation of law whatsoever by any party to this
Agreement or any of the persons to be released from liability under the General
Release.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.2</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Confidentiality of Negotiations,
Etc.</font></u><font color="black" style="color:windowtext;"> The
Employee agrees to keep confidential the negotiations leading to this
Agreement, as well as the terms hereof, except as may be required to obtain
legal or tax advice or to enforce any right or obligation hereunder, in which
case the Employee shall require his consultants and advisors to maintain the
confidentiality of such negotiations and terms; <u>provided</u>, that the
Employee may disclose the terms of section 5 for the sole purpose of ensuring
that he and all other persons comply with them. The Employee acknowledges that
he has no interest in employment with the Company and further acknowledges that
the Company has not made any express or implied representation to him that he
will be entitled to be reemployed by Company in the future.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.3</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Waiver of Jury Trial</font></u><font color="black" style="color:windowtext;">. Each party hereto hereby waives
its respective rights to a jury trial of any claim or cause of action based
upon or arising out of this Agreement (including the General Release), any
dealings between them relating to the subject matter of this transaction and
the employment and/or consulting relationship between them. Each party hereto
also waives any bond or surety or security upon such bond that might, but for
this waiver, be</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">11</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">required of the other party. The scope of
this waiver is intended to be all-encompassing of any and all disputes that may
be filed in any court and that relate to the subject matter of this Agreement,
including without limitation, contract claims, tort claims, breach of duty
claims, and all other common law and statutory claims. Each party hereto
acknowledges that this waiver is a material inducement to enter into this
Agreement, which each has already relied on the waiver in entering into this
Agreement and that each will continue to rely on the waiver in their related
future dealings. Each party hereto further warrants and represents that each
has reviewed this waiver with its legal counsel, and that each knowingly and
voluntarily waives its or his jury trial rights following consultation with
legal counsel.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.4</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Consent to Jurisdiction and Venue</font></u><font color="black" style="color:windowtext;">. With respect to any action or
proceeding arising out of or relating to this Agreement, the General Release,
or the Employee&#146;s employment by or consulting to the Company, the parties
irrevocably consent to the jurisdiction of the state courts in Cook County,
Illinois or the federal court in Chicago, Illinois, agree that personal
jurisdiction and venue is proper and convenient in such courts, and agree not
to bring or pursue such an action or proceeding in any other court.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.5</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Governing Law</font></u><font color="black" style="color:windowtext;">. All issues and questions
concerning the construction, validity, enforcement and interpretation of this
Agreement and the General Release will be governed by and construed in
accordance with the laws of the State of Illinois, without giving effect to any
choice of law or conflict of law rules or provisions (whether of Illinois or
any other jurisdiction) that would cause the laws of any other jurisdiction other
than the State of Illinois to apply.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.6</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Severability</font></u><font color="black" style="color:windowtext;">. The provisions of this Agreement
shall be deemed severable and the invalidity, illegality or unenforceability of
any provision shall not affect or impair the validity, legality or
enforceability of the other provisions hereof. Moreover, if any one or more of
the provisions of this Agreement shall be held to be excessively broad as to
duration, activity or subject, such provision shall be construed by limiting
and reducing them so as to be enforceable to the maximum extent allowed by
applicable law.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.7</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Section 409A</font></u><font color="black" style="color:windowtext;">. It is intended that any income or
payments to the Employee provided pursuant to this Agreement will not be
subject to the additional tax, penalties and interest (a &#147;<i>Section 409A
Tax</i>&#148;) under Section 409A of the Internal Revenue Code of 1986, as
amended (&#147;<i>Section 409A</i>&#148;). The provisions of this
Agreement will be interpreted and construed in favor of complying with any
applicable requirements of Section 409A necessary in order to avoid the imposition
of a Section 409A Tax. The Company and the Employee agree to amend (including
retroactively) the Agreement in order to comply with Section 409A, including to
avoid the imposition of, or reduce the amount of, any Section 409A Tax. The
Employee shall reasonably cooperate to provide full effect to this provision
and the consent to any amendment described in the preceding sentence shall not
be unreasonably withheld.</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">12</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.8</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Counterparts</font></u><font color="black" style="color:windowtext;">. This Agreement may be executed in
one or more counterparts, each of which shall be deemed to be an original and
all of which shall constitute one and the same instrument.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.9</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Withholding</font></u><font color="black" style="color:windowtext;">. Notwithstanding any other
provision of this Agreement, the Company may withhold from amounts payable
under this Agreement all federal, state, local and foreign taxes that are
required to be withheld by applicable laws or regulations.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:12.0pt 0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.10</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Notices</font></u><font color="black" style="color:windowtext;">. For purposes of this Agreement,
all notices, requests, demands and other communications under this Agreement
shall be in writing and shall be deemed to have been given (a) when delivered
personally, or (b) if sent by a reputable overnight courier service, on the
date delivery is shown as made in such service&#146;s tracking system, and shall be
addressed as follows:</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt .0001pt 18.0pt;"><!-- SET mrlNoTableShading -->If to the Company:</p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Career Education Corporation</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2895 Greenspoint Parkway</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Suite 600</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Hoffman Estates, Illinois 60169</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Attention: General Counsel</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt 18.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">With copies to:</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Katten Muchin Rosenman LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">525 W. Monroe Street</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chicago, IL 60661</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Attention: Lawrence D. Levin</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:1.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">and</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Skadden, Arps, Slate, Meagher &amp; Flom LLP</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">333 W. Wacker Drive</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chicago, IL 60606</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Attention: Peter C. Krupp</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt 18.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">If to the
  Employee:</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">To the address set forth in the Company&#146;s records</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt 18.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt 18.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">With copies to:</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Morrissey &amp; Robinson</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">One Oakbrook Terrace, Suite 802</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Oakbrook Terrace, Illinois 60181</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Attention: Walter W. Morrissey</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">and</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Wildman Harrold</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">225 W. Wacker Drive</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Suite 3000</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chicago, IL&nbsp;
  60606</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="23%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:23.82%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="4%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:4.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="71%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:71.22%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Attention:&nbsp;
  James A. Christman</font></p>
  </td>
 </tr>
</table>

<p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">or to such other address
as either party may have furnished to the other in writing in accordance
herewith, except that notices of change of address shall be effective only upon
receipt.</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">13</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-indent:72.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">9.11</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><u><font color="black" style="color:windowtext;">Entire Agreement</font></u><font color="black" style="color:windowtext;">. This Agreement sets forth the
entire agreement of the parties hereto in respect of the subject matter
contained herein and supersedes all prior agreements, promises, covenants,
arrangements, communications, representations or warranties, whether oral or
written, between the parties hereto with respect to such subject matter. No
provision of this Agreement may be modified or discharged unless such
modification or discharge is authorized and agreed to in writing, signed by the
Employee and the Company.</font></p>

<p style="color:black;line-height:normal;margin:12.0pt 0pt;"><font size="2" color="black" face="Times New Roman"><font style="color:windowtext;font-size:10.0pt;">IN WITNESS WHEREOF,<b>  </b></font>the parties hereto have entered into this Agreement
as of the date first written above.</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt .0001pt;"><!-- SET mrlNoTableShading --><b>CAREER EDUCATION CORPORATION</b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="3%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:3.34%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="33%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:33.36%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Gary E.
  McCullough</font></p>
  </td>
  <td width="52%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:52.72%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Name: Gary E.
  McCullough</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Title: President
  and Chief Executive Officer</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CEC
  EMPLOYEE GROUP, LLC</font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="3%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:3.34%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By:</font></p>
  </td>
  <td width="33%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:33.36%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Gary E.
  McCullough</font></p>
  </td>
  <td width="52%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:52.72%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Name: Gary E.
  McCullough</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Title:
  Authorized Signatory</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PATRICK
  K. PESCH</font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="36%" colspan="2" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:36.68%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ Patrick K.
  Pesch</font></p>
  </td>
  <td width="52%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:52.72%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="89%" colspan="3" valign="top" style="padding:0pt .7pt 0pt 0pt;width:89.42%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Patrick K. Pesch</font></p>
  </td>
  <td width="2%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:2.38%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="8%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:8.2%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
</table>

<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">14</font></p>
</div><br><hr size="3" width="100%" noshade color="#010101" align="center">

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<div>


<p align="right" style="line-height:normal;margin:0pt 0pt .0001pt;text-align:right;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Exhibit A</font></u></p>

<p align="right" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:right;"><u><font size="2" face="Times New Roman" style="font-size:10.0pt;">Form of General
Release</font></u></p>

<p align="center" style="line-height:normal;margin:0pt 0pt 12.0pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">GENERAL
RELEASE</font></b></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">This GENERAL RELEASE (&#147;<i>Release</i>&#148;) is made and entered into by and between PATRICK K.
PESCH, an individual on his own behalf and on behalf of his agents, executors,
attorneys, administrators, heirs and assigns (collectively, the &#147;<i>Employee</i>&#148;) and CAREER EDUCATION CORPORATION, a Delaware
corporation (&#147;<i>CEC</i>&#148;), and CEC Employee Group,
LLC (&#147;<i>Employee Group</i>&#148;) a wholly owned
subsidiary of CEC, on the other hand. Capitalized terms used and not defined
herein shall have the meaning given such terms in that certain Termination and
Consulting Agreement dated August 21, 2007 (the &#147;<i>Agreement</i>&#148;)
between the Employee and the Company.</font></p>

<p style="line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Section 2 of the
Agreement requires that the Employee, in exchange for the right to receive the payments
from the Company described in section 2 thereof, execute and deliver this
Release on the Employment Termination Date. Therefore, in consideration of the
promises contained in the Agreement, the Employee hereby agrees with the
Company as follows:</font></p>

<p style="color:black;line-height:normal;margin:12.0pt 0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">1.
Except for the obligations of the Company specifically set forth in (i)
sections 2 and 3 of the Agreement and (ii) paragraph 3 of this Release, and in
exchange for the right to receive the payments described in section 2 of the
Agreement, the Employee voluntarily, knowingly and willingly waives, release
and forever discharges all known or unknown claims or causes of action against
the Company, its parents, subsidiaries, Affiliates and predecessors and each of
their assigns, successors, predecessors, officers, present and former
directors, employees, trustees, attorneys, insurers, stockholders and agents
(collectively &#147;<i>Releasees</i>&#148;), from and against any
and all claims, charges, damages, lawsuits, actions, causes of action and
liabilities whatsoever, whether known or unknown, absolute or contingent,
accrued or unaccrued, which against them the Employee or his agents, executors,
attorneys, administrators, heirs or assigns ever had, now have, or may
hereafter claim to have against any of the Releasees by reason of any matter,
cause or thing whatsoever arising on or before the date the Employee signs this
Release, whether or not previously asserted before any state or federal court
or before any state or federal agency or governmental entity, except as may not
otherwise be released by law. This Release also includes, but is not limited
to, any rights or claims relating in any way to the Employee&#146;s employment
relationship with the Company or the termination thereof, or arising under any
statute or regulation, including without limitation:</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 108.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>any
and all claims arising under the Age Discrimination in Employment Act, Title
VII of the Civil Rights Act of 1964, the Civil Rights Act of 1991, the Equal
Pay Act, the Americans with Disabilities Act, the Family and Medical Leave Act,
the Civil Rights Act of 1866 (42 U.S.C. &#167;&nbsp;1981), the Employee Retirement
Income Security Act (ERISA), the National Labor Relations Act, the Illinois
Human Rights Act, the Illinois Wage Payment and Collection Act, the Equal Pay
Law for Illinois, and/or any other federal, state, county, or local employment
law or regulation (including but not limited to claims of employment
discrimination based on race, color, creed, sex, national origin, religion,
age, ancestry, veteran </p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">15</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="line-height:normal;margin:0pt 0pt 12.0pt 108.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">status, pregnancy, disability, marital status, sexual
orientation, gender identity, familial status, whistleblower status,
retaliation and/or attainment of benefit plan rights);</font></p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 108.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>any
and all claims arising out of any other federal, state, or local statute, law,
constitution, ordinance or regulation;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 108.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>any
and all claims that the Company has violated its personnel policies,
procedures, handbooks, any covenant of good faith and fair dealing, or any
express or implied contract of any kind;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 108.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>any
and all claims alleging a violation of public policy, statutory or common law,
including but not limited to claims for personal injury; invasion of privacy;
retaliatory discharge; negligent hiring, retention or supervision; defamation;
intentional or negligent infliction of emotional distress or mental anguish;
intentional interference with contract; negligence; detrimental reliance; loss
of consortium to you or any member of your family; or promissory estoppel;</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 108.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(e)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>any
and all claims that the Company is in any way obligated for any reason to pay
damages, expenses, litigation costs (including attorneys&#146; fees), back pay,
front pay, disability or other benefits (other than accrued, vested benefits),
compensatory damages, punitive damages, and/or interest; and/or</p>

<p style="font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt 108.0pt;text-indent:-36.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(f)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>any
and all claims to employment, reemployment, reinstatement, or seniority with
the Company.</p>

<p style="color:black;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">The Employee represents that he has not
commenced or joined in any claim, charge, action or proceeding whatsoever
against the Company or any of the other Releasees, arising out of or relating
to any of the matters set forth in this Release. The Employee further agrees
that he will not be entitled to any personal recovery in, and shall not
commence or join, any action or proceeding whatsoever against the Company or
any of the Releasees for any of the matters set forth in this Release. The
Employee acknowledges that other than as set forth in paragraph 2 below, the
Company&#146;s obligations under the Agreement are in lieu of and in full
satisfaction of any and all amounts that might otherwise be payable to him or
for his benefit under any contract, agreement, plan, policy, program, practice
or otherwise, past or present, of the Company.</font></p>

<p style="color:black;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">The Employee further acknowledges that, other
than the Company&#146;s obligations under this Agreement, following the Employment
Termination Date, the Company shall have no further obligations to him, and
that he shall have no right to any other payments or benefits from the Company
with respect to his employment with the Company or the termination thereof.</font></p>

<p style="color:black;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">2. The provisions of paragraph 1 of this
Release shall not be construed to affect (i) the Employee&#146;s eligibility to
receive continuation coverage in the Company&#146;s medical plan(s) following the
Employment Termination Date pursuant to the Sections 601 through 608 of </font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">16</font></p> <br><hr size="3" width="100%" noshade color="#010101" align="center">

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<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">ERISA, provided that he timely elects such
coverage, (ii) the Employee&#146;s rights to benefits under the Company&#146;s 401(k)
plan to the extent that he is vested therein as of the Employment Termination
Date, (iii) the Employee&#146;s rights to indemnification under the Company&#146;s
certificate of incorporation or bylaws of the Company or the existing
Indemnification Agreement between the Employee and the Company, (iv) rights to
workers compensation, disability insurance benefits and life insurance benefits
(to the extent such benefits, by their terms, may be available after the
Employment Termination Date), (v) rights to vested benefits under the Company&#146;s
deferred compensation plan, and (vi) claims to enforce the Agreement. In
addition, the provisions of paragraph 1 shall not apply to: (a) any claim that
by law cannot be released; (b) any claim based on the allegations contained in
any of the following lawsuits (the &#147;<i>Lawsuits</i>&#148;): (A)
<i>In re Career Education Corporation Securities
Litigation</i>, No. 03 C 8884 (N.D. Ill.) (formerly known as <i>Taubenfeld v. Career Education Corporation, et al.</i>) or any
action consolidated within that action; (B) <i>McSparran v. John M.
Larson, et al.</i>, No. 04 C 0041 (N.D. Ill.) (consolidated with<i> Ulrich v. John M. Larson, et al.</i>, 04 C 4778 (N.D. Ill.));
(C) <i>Xiao-Qiong Huang v. John M. Larson, et al.</i>,
04 CH 10579 (Cook County, Illinois); (D) <i>David Nicholas, Sr. v.
Robert E. Dowdell, et al.</i>, C.A. No. 819-N (Del. Ch.); or (E) <i>In re: Career Education Corporation Derivative Litigation</i>,
C.A. No. 1398-N (Del. Ch.) (consolidated cases originally filed as <i>Romero v. Robert E. Dowdell, et al.</i> and consolidated with <i>Neel v. Robert E. Dowdell, et al.</i>, C.A. No. 2151-N (Del.
Ch.)); (c) any claim </font><font color="black" style="color:windowtext;">based on any false communications regarding the Lawsuits about the
Employee by the Company and/or its Affiliates to third parties, including
governmental agencies or the plaintiffs in the Lawsuits and their attorneys;
(d) any claim arising out of any lawsuit (other than the Lawsuits) that a third
party files against the Company and/or its Affiliates and the Employee prior to
the execution of this Release by the Employee; and (e) any claim based on any
investigation of the Company and/or its Affiliates by any governmental or
regulatory agency known to the Company as of August 21, 2007 or the settlement
or attempted settlement by the Company and/or its Affiliates of such
investigation.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-indent:0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">3.</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><font color="black" style="color:windowtext;">The Employee shall have a period of
seven days after he signs this Release to revoke it.&#160; To do so, the Employee must sign and send a
written notice of his decision to revoke this Release, addressed as described
in section 9.10 of the Agreement, and that notice must be received by the
Company at that address no later than the eighth day after the Employee signed
this Release.&#160; The Employee understands
that absent any such revocation, this Release shall become irrevocable and
effective immediately upon the expiration of such seven-day time period. The
Employee further understands that if he revokes this Release, the Company will
not be required to pay or provide to him any of the payments and benefits
described in the Agreement, including but not limited to that described in
section 2 thereof.</font></p>

<p style="color:black;font-family:Times New Roman;font-size:10.0pt;line-height:normal;margin:0pt 0pt 12.0pt;text-indent:0pt;"><font size="2" color="black" face="Times New Roman" style="color:windowtext;font-size:10.0pt;">4.</font><font size="1" color="black" style="color:windowtext;font-size:8.5pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font><font color="black" style="color:windowtext;">The Employee acknowledges that he
has carefully read this Release, that he fully understands all of its terms and
conditions, and that he has been advised by the Company to have this Release
reviewed by legal counsel of his choice and has in fact done so. The Employee
is signing this Release voluntarily and with full knowledge of its
significance, and acknowledges that in doing so he has not relied upon any
representation or statement, written or oral, not set forth in this Release or
the Agreement. The Employee acknowledges that he has had the opportunity to
take up to twenty-one days from the original date of presentment of this
Release to consider whether or not to execute it, and that although he may
elect to execute it sooner, he cannot do so earlier than the Employment
Termination Date.</font></p>


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<p style="line-height:normal;margin:0pt 0pt 24.0pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">PATRICK
K. PESCH</font></b></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;font-family:Times New Roman;width:100.0%;">
 <tr style="page-break-inside:avoid;">
  <td width="37%" colspan="3" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:37.68%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
  <td width="62%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:62.32%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="font-size:10.0pt;line-height:normal;margin:0pt 0pt .0001pt;"><!-- SET mrlNoTableShading -->Patrick K. Pesch</p>
  </td>
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  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">DATED: </font></p>
  </td>
  <td width="29%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:29.74%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
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  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
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  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
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  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CAREER
  EDUCATION CORPORATION</font></b></p>
  </td>
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  </td>
  <td width="33%" colspan="2" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:33.7%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="62%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:62.32%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Name:</font></p>
  </td>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Title:</font></p>
  </td>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
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  <td width="7%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:7.94%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">DATED: </font></p>
  </td>
  <td width="29%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:29.74%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="62%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:62.32%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
 </tr>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CEC
  EMPLOYEE GROUP, LLC</font></b></p>
  </td>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">&nbsp;</font></b></p>
  </td>
 </tr>
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  <td width="3%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:3.96%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">By: </font></p>
  </td>
  <td width="33%" colspan="2" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:33.7%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="62%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:62.32%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Name:</font></p>
  </td>
 </tr>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Title:</font></p>
  </td>
 </tr>
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  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr style="page-break-inside:avoid;">
  <td width="100%" colspan="4" valign="top" style="padding:0pt .7pt 0pt 0pt;width:100.0%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>
  </td>
 </tr>
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  <td width="7%" colspan="2" valign="top" style="padding:0pt .7pt 0pt 0pt;width:7.94%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">DATED: </font></p>
  </td>
  <td width="29%" valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0pt .7pt 0pt 0pt;width:29.74%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="62%" valign="top" style="padding:0pt .7pt 0pt 0pt;width:62.32%;">
  <p style="line-height:normal;margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
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  <td width="30" style="border:none;"></td>
  <td width="30" style="border:none;"></td>
  <td width="222" style="border:none;"></td>
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<p style="line-height:1.0pt;margin:0pt 0pt 12.0pt;"><font size="1" face="Times New Roman">&nbsp;</font></p>


 <p style="font-size:10.0pt;line-height:normal;margin:24.0pt 0pt .0001pt;text-align:center;"><font face="Times New Roman">18</font></p>
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<TYPE>EX-99.1
<SEQUENCE>4
<FILENAME>a07-22370_2ex99d1.htm
<DESCRIPTION>EX-99.1
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<head>






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<body lang="EN-US">

<div>

<p align="right" style="margin:0pt 0pt 12.0pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit
99.1</font></b></p>

<p style="margin:0pt 0pt 12.0pt;"><b><font size="2" face="Times New Roman" style="font-weight:bold;"><img width="213" height="80" src="g223702mmi001.jpg"></font></b></p>

<p style="margin:0pt 0pt 12.0pt;"><b><u><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">FOR IMMEDIATE RELEASE</font></u></b></p>

<p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Contact:</font></b></p>

<p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Media:</font></b></p>

<p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Lynne Baker</font></p>

<p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">847-851-7006</font></p>

<p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Andrea Meyer</font></p>

<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">847-585-3937</font></p>

<p style="margin:0pt 0pt .0001pt;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Investors:</font></b></p>

<p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Karen King</font></p>

<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">847-585-3899</font></p>

<p style="margin:0pt 0pt 12.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">www.careered.com</font></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Michael
J. Graham Joins Career Education Corporation as Chief Financial Officer</font></b></p>

<p align="center" style="margin:0pt 0pt 7.5pt;text-align:center;"><i><font size="2" face="Times New Roman" style="font-size:10.0pt;font-style:italic;">Patrick K. Pesch to Retire as
CFO, Treasurer, and Director</font></i></p>

<p style="margin:0pt 0pt 9.5pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">HOFFMAN ESTATES, Ill.&#151;(August
21, 2007)&#151;Career Education Corporation
(NASDAQ:CECO) today announced that Michael J. Graham has joined Career
Education as executive vice president, chief financial officer and treasurer.&#160; He succeeds Patrick Pesch, who is retiring
from these roles.&#160; Pesch has also
resigned from the company&#146;s board of directors.</font></p>

<p style="margin:0pt 0pt 10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Graham has deep and
diversified experience in a variety of public and private companies.&#160; Most recently, he has been the chief financial
officer of Terlato Wine Group, a privately-held company that specializes in the
marketing and production of luxury wines.&#160;
Graham also has experience working in publicly-traded companies,
including R.R. Donnelley, Sears Roebuck &amp; Co., and Aegis Communications
Group, where he served as chief financial officer.&#160; At R.R. Donnelley, a publicly-traded print
and print-related services provider with annual revenues of approximately $10
billion, Graham served as senior vice president and controller, managing a team
of more than 100 professionals.&#160; He
oversaw a range of functions including corporate and SEC accounting, corporate
financial planning and Sarbanes-Oxley compliance.&#160; His history of working on well-established
brands and large companies extends to Sears, where he was the vice president
and controller.&#160; He also spent seven
years at the Quaker Oats Company where he progressed through several financial
positions, and seven years with Coopers &amp; Lybrand in the audit practice.&#160; Graham holds an M.B.A. from the University of
Chicago Graduate School of Business, a B.S.C. in accounting from DePaul
University, and is a certified public accountant.</font></p>

<p style="margin:0pt 0pt 10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;We are extremely pleased
to have Mike Graham join our CEC team,&#148; said Gary McCullough, president and
chief executive officer of Career Education Corporation.&#160; &#147;Mike&#146;s experience in a variety of
publicly-traded companies, expertise in international business transactions,
mergers and acquisitions, and proven success in effectively managing and
establishing efficiencies in large financial departments will help strengthen
our management leadership as we move CEC forward.&#148;</font></p>

<p style="margin:0pt 0pt 10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Patrick Pesch has served
as executive vice president and chief financial officer of CEC since 1999 and
as a director since 1995.&#160; During his
tenure, the company&#146;s annual revenues surpassed $2 billion, and achieved a
compound annual growth rate in excess of 40 percent.&#160; Career Education Corporation has appeared in
growth company rankings in FORTUNE magazine, BusinessWeek and Crain&#146;s Chicago
Business.</font></p>

<p style="margin:0pt 0pt 10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;I am extremely proud of
the accomplishments of Career Education and feel quite fortunate to have played
a role in its tremendous growth. CEC has positively influenced the lives of
thousands of students through delivery of quality educational programs, which has
always been our top priority,&#148; said Pesch. &#147;The company is entering a new
chapter in its life and it is time for me to begin a new chapter in my
life.&#160; I look forward to being able to
spend more time with my family.&#148;</font></p>

<p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&#147;Pat Pesch has been a dedicated member of this organization and a
tremendous help to me personally since I joined Career Education five months
ago,&#148; said McCullough. &#147;We are grateful for his commitment, insight,
contributions and accomplishments on behalf of the company.&#160; We wish him the best as he takes this
well-deserved time with his family.&#148; Graham will join CEC on September 5,
2007.&#160; Pesch will remain employed by the
company for 60 days following Graham&#146;s arrival in order to assist in the
transition, and will serve as a consultant for CEC through June of 2008.</font></p>

<p style="margin:0pt 0pt .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0pt 0pt 10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">About Career Education
Corporation</font></p>

<p style="margin:0pt 0pt 10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The colleges, schools,
and universities that are part of the Career Education Corporation (CEC) family
offer high quality education to a diverse population of approximately 90,000
students across the world in a variety of career-oriented disciplines. The more
than 75 campuses that serve these students are located throughout the U.S. and
in Canada, France, Italy, and the United Kingdom, and offer doctoral, master&#146;s,
bachelor&#146;s, and associate degrees and diploma and certificate programs.
Approximately half of our students attend the web-based virtual campuses of
American InterContinental University Online and Colorado Technical University
Online.</font></p>

<p style="margin:0pt 0pt 10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">CEC is an industry
leader whose gold-standard brands are recognized globally. Those brands include
Le Cordon Bleu Schools North America; Harrington College of Design; Brooks
Institute of Photography; International Academy of Design &amp; Technology;
American InterContinental University; Colorado Technical University and
Sanford-Brown Institutes and Colleges. Through its schools, CEC is committed to
providing quality education, enabling students to graduate and pursue rewarding
careers.</font></p>

<p style="margin:0pt 0pt 10.0pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">For more information,
see the company&#146;s website at http://www.careered.com. The company&#146;s website
includes a detailed listing of individual campus locations and web links to its
more than 75 colleges, schools, and universities.</font></p>

<p align="center" style="margin:0pt 0pt .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">###</font></p>

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end
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</SUBMISSION>
