Summary Notice of Settlement Announced by Labaton Sucharow LLP -- CECO


NEW YORK, July 16, 2008 (PRIME NEWSWIRE) -- Labaton Sucharow LLP Announces the Notice of Pendency and Settlement of Class Action Involving Career Education Corporation (Nasdaq:CECO)

UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

IN RE CAREER EDUCATION CORPORATION SECURITIES LITIGATION

No. 03 C 8884

SUMMARY NOTICE OF SETTLEMENT

TO: ALL PERSONS OR ENTITIES WHO, DURING THE PERIOD FROM APRIL 22, 2002 THROUGH FEBRUARY 15, 2005, INCLUSIVE, PURCHASED OR OTHERWISE ACQUIRED CAREER EDUCATION CORPORATION ("CEC") SECURITIES INCLUDING COMMON STOCK AND OPTIONS.

YOU ARE HEREBY NOTIFIED that, pursuant to an Order of the United States District Court for the Northern District of Illinois, a hearing will take place on September 18, 2008, at 10:00 a.m., before the Honorable Joan Humphrey Lefkow, at the United States District Court for the Northern District of Illinois, Eastern Division, Room 1925, Everett McKinley Dirksen United States Courthouse, 19th Floor, 219 South Dearborn Street, Chicago, Illinois, 60604, for the purpose of determining whether: (1) the Court should approve the proposed Settlement of the above-captioned class action (the "Action") for the cash sum of $4,900,000 plus any interest that may accrue thereon as fair, reasonable, and adequate; (2) this Court should dismiss the Action with prejudice, as set forth in the Stipulation and Agreement of Settlement of Class Action (the "Settlement Agreement"), dated November 5, 2007, and approve releases of claims; (3) the Plan of Allocation is fair, reasonable, and adequate and therefore appropriate for approval; and (4) to approve the application of Plaintiff's Lead Counsel for payment of attorneys' fees and reimbursement of expenses incurred in connection with this action.

If you purchased or had purchased on your behalf CEC Securities during the period beginning April 22, 2002 through February 15, 2005, inclusive, your rights may be affected by this action and the proposed settlement thereof. If you have not received a detailed Notice of Pendency and Settlement of Class Action (the "Notice") and a copy of the Proof of Claim and Release, you should obtain these documents immediately by contacting:



 Career Education Corporation Securities Litigation
 c/o Strategic Claims Services
 Settlement Administrator
 600 North Jackson Street - Suite 3
 Media, Pennsylvania 19063
 (866) 274-4004

or by downloading these documents at www.strategicclaims.net. These documents, as well as the Complaint in this Action and the Settlement Agreement, are also available for review at the office of the Clerk of the Court during regular business hours.

As described in detail in the Notice and in the Settlement Agreement on file with the Court:

1. If you are a Class Member, in order to share in the distribution of the Settlement Fund, you must submit a Proof of Claim and Release no later than October 17, 2008, establishing that you are entitled to a recovery.

2. You will be bound by any judgment rendered in the Action unless you send a request to be excluded, in writing, to the above address, postmarked or received by August 28, 2008.

3. Any objection to the proposed settlement, the Plan of Allocation, or the application for attorneys' fees and expenses must contain the information specified in the Notice and must be filed with the Court and served on the parties' counsel no later than August 28, 2008:



        Clerk of the Court
        United States District Court
        Northern District of Illinois, Eastern Division
        Everett McKinley Dirksen United States Courthouse
        219 South Dearborn Street
        Chicago, Illinois 60661

        Counsel for the Class:
        Joseph Sternberg, Esq.
        Louis Gottlieb, Esq.
        Labaton Sucharow LLP
        140 Broadway
        New York, New York 10005

        -and-

        Counsel for the Defendants
        Mary Ellen Hennessy, Esq.
        Karl R. Barnickol, Esq.
        Katten Muchin Rosenman LLP
        525 West Monroe Street
        Chicago, Illinois 60661
        (Counsel for CEC and John M. Larson)

        -and-

        Lee Ann Russo, Esq.
        Jones Day
        77 West Wacker Drive, Suite 3500
        Chicago, Illinois 60601
        (Counsel for Patrick K. Pesch)

PLEASE DO NOT CONTACT CEC, THE COURT OR THE CLERK OF THE COURT REGARDING THIS NOTICE.

Dated: June 26, 2008



        BY ORDER OF THE COURT
        UNITED STATES DISTRICT COURT
        NORTHERN DISTRICT OF ILLINOIS


            

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