Princeton Review, Inc. (NASDAQ: Revised), a leading provider of test preparation and services, announced today the closing of the acquisition of Penn Foster Education Group, Inc., a final purchase price, 170 $ million in cash, subject to adjustment after closing.

Penn Foster, one of the oldest companies and most important, the achievement of educational career in the United States, as a subsidiary of The Princeton Review. Penn Foster will continue in Scranton, Pennsylvania, and will use its existing brands and remain under the leadership of its current leaders. Through the acquisition, Princeton Review, announced that Stuart Udell, CEO of Penn Foster, Princeton Review will be the president, and after secondary education.

Penn Foster strong experience in online education and training – the two main driving forces for the educational market, and perfectly complements our existing business, “said Michael Perik, president and CEO of The Princeton Review.” Although enrollment in traditional test preparation of our company deliberately stays healthy, will the addition of Penn Foster, Princeton Review to improve the effectiveness of our training track and new partnerships with various organizations and immediately take advantage of favorable changes in the market.”

Princeton Review should be noted that education career is a growing segment of the education sector. Industries sources indicate that 75% of the workforce is currently recycling are required to keep their current job, and that 40% of new jobs require a postsecondary degree that the continued migration of the knowledge economy will need. Given this trend, the desire of the Obama administration in the $ 9 billion in funding programs for training expressed. Internet training year with a similar trend, recording 33 per cent more than in 2000. Eduventures estimates that more than 1 per 10 students to acquire the degree exclusively through the online program, and this number will increase by over 50% in just four years.

A total of € 205 million in new funding for the project was developed by a group of lenders and investors that some of the most important institutions in the country, including the Princeton Review of Existing Preferred Stock provided to investors.

General Electric Capital Corporation, 10 million senior secured revolving credit facility and $ 40 million senior secured loans. Branches Sankaty Advisors, LLC has acquired the notes senior subordinated guarantees is subject to overall 25 million in junior debt of all 12.5 million, and the entire principal amount of commitment second bridge 40 million dollars. Falcon Strategic Partners III, LP and its affiliated funds bought tickets senior subordinated with guarantees overall 25 million in junior debt totaling $ 12.5 million and EUR 15 million worth of convertible preferred shares series of the Princeton Review. Bain Capital Venture Fund 2007, LP and its affiliated funds bought $ 36 million Preferred Shares Series E, in exchange for all shares of Series C convertible preferred shares of Princeton Review in its place and its associated funds and BCVI TPR-integral LP (another daughter, Bain Capital Ventures) earned $ 25 million Preferred Shares Series E. Prides Capital Fund I, LP exchanged all the outstanding Series C preferred stock convertible Princeton Review instead of $ 18 million Preferred Shares Series E.

As an incentive to join the Princeton Review, the Company granted 200,000 RSUs and 300,000 stock options to Mr. Udell. All restricted stock units and options vest over the next four years in equal quarterly installments. Exercise price of options, which expire in ten years, is equal to the closing price of common shares on the date of completion of the acquisition. Restricted stock units and options beyond 2000, The Princeton Review’s Incentive Plan and Stock Bonus in accordance with NASDAQ Marketplace Rules for granted.