Washington Post 2014 Annual Report Download - page 50

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the judgment to the U.S. Court of Appeals for the Sixth Judicial Circuit, and briefing on that appeal was completed in
November 2013. On April 9, 2014, the Court of Appeals affirmed the lower court’s judgment in favor of the Company.
On February 7, 2011, KHE received a Civil Investigative Demand from the Office of the Attorney General of the State of
Illinois. The demand primarily sought information pertaining to Kaplan University’s online students who are residents of
Illinois. KHE has cooperated with the Illinois Attorney General and provided the requested information. Although KHE may
receive further requests for information from the Illinois Attorney General, there has been no such further correspondence to
date. The Company cannot predict the outcome of this inquiry.
On April 30, 2011, KHE received a Civil Investigative Demand from the Office of the Attorney General of the State of
Massachusetts. The demand primarily sought information pertaining to KHE’s nationally accredited campuses in
Massachusetts, known as the Charlestown and Kenmore Square campuses. The Charlestown campus closed in 2013
and the Kenmore Square campus closed in 2012. Kaplan Higher Education Corporation has cooperated with the
Massachusetts Attorney General and provided the requested information, as well as additional information requested in
2012 and 2013. In October 2014, the Attorney General’s office sent Kaplan a “notice of intention to file” a lawsuit
letter under section 93A of the Massachusetts consumer fraud statute. The letter outlined 12 allegations against the
Charlestown and Kenmore Square campuses. The Company cannot predict the outcome of this inquiry or any potential
litigation.
On July 20, 2011, KHE received a subpoena from the Office of the Attorney General of the State of Delaware. The
demand primarily sought information pertaining to Kaplan University’s online students and Kaplan Higher Education
Campuses’ students who are residents of Delaware. Kaplan Higher Education Corporation has cooperated with the
Delaware Attorney General and provided the information requested in the subpoena. Although KHE may receive further
requests for information from the Delaware Attorney General, there has been no such further correspondence to date. The
Company cannot predict the outcome of this inquiry.
The Company and its subsidiaries are also subject to complaints and administrative proceedings and are defendants in
various other civil lawsuits that have arisen in the ordinary course of their businesses, including contract disputes; actions
alleging negligence, libel, invasion of privacy; trademark, copyright and patent infringement; False Claims Act violations;
violations of applicable wage and hour laws; and statutory or common law claims involving current and former students
and employees. While it is not possible to predict the outcomes of these lawsuits, in the opinion of management, their
ultimate dispositions should not have a material adverse effect on the Company’s business, financial condition, results of
operations or cash flows.
Item 4. Mine Safety Disclosures.
Not applicable.
PART II
Item 5. Market for the Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity
Securities.
Market Information and Holders. The Company’s Class B Common Stock is traded on the New York Stock Exchange
under the symbol “GHC.” The Company’s Class A Common Stock is not publicly traded.
The high and low sales prices of the Company’s Class B Common Stock were:
2014 2013
Quarter High Low High Low
January–March ...................................... $745 $614 $456 $360
April–June .......................................... 736 647 493 428
July–September ...................................... 741 683 613 484
October–December ................................... 950 675 687 592
At January 30, 2015, there were 29 holders of record of the Company’s Class A Common Stock and 547 holders of
record of the Company’s Class B Common Stock.
Dividend Information. Both classes of the Company’s Common Stock participate equally as to dividends. Quarterly
dividends were paid at the rate of $2.55 per share during 2014. In December 2012, the Company declared and paid
an accelerated cash dividend totaling $9.80 per share of outstanding common stock, in lieu of regular quarterly
dividends that the Company otherwise would have declared and paid in calendar year 2013.
34 GRAHAM HOLDINGS COMPANY