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ANTIOCH COLLEGE CONTINUATION CORPORATION

For Immediate Release

With Time Running Out, Major Donors and Educational Leaders Urge Reforming of University Board As Only Viable Solution

Yellow Springs, Ohio—March 30, 2008–Antioch University has forfeited an agreement to create an independent Antioch College by dragging out negotiations in an effort to profit from the College’s current difficulties, a group of major donors and educational leaders announced today.

“The issue is not about money – it’s about time,” said Eric Bates, co-chair of the Antioch College Continuation Corporation, which was formed to negotiate independence for the historic liberal arts institution. “As a result of the University’s repeated foot dragging it would now be extremely difficult, if not impossible, to receive the necessary regulatory approvals to continue operating the College next year as a separate entity. Through its needless delays, the University has squandered a historic opportunity and created a self-fulfilling prophecy.”

The ACCC’s final offer, Bates added, is no longer on the table. “The University would like everyone to believe that there are ‘remaining financial differences’ with the ACCC that can be broached with the help of outside parties,” he said. “In fact, we set realistic deadlines for the negotiations based on outside, expert counsel on what it would take to keep the College open, without disruption to students, faculty and staff. The University rejected our best and final offer after being given a clear and unequivocal deadline. For their negotiating team to pretend otherwise is simply disingenuous.”

David Goodman, a director of the ACCC who has negotiated dozens of mergers and acquisitions, said the University has misrepresented the reasons that negotiations failed. “This was never about security for the ACCC’s payment,” Goodman said. “We were fully prepared to provide the University with not one, but two forms of security: a mortgage on the campus, and a provision that the College and its assets would revert to the University if the ACCC were unable to continue operations. The ACCC’s offer was both financially reasonable and legally enforceable, but the University made clear that they would not accept the offer – even if their creditors were satisfied with the agreement.”

The issue of security, the ACCC added, is simply the latest in a series of obstacles that the University has invented to impede negotiations. In talks, the University’s negotiating team spoke of its desire to “leverage the College’s assets” and made clear that it did not want to share ownership of WYSO because it wants to explore the possibility of selling the public radio station. “At one point, nearly an entire month was lost because the University continued to demand that the ACCC pay $54 million for the College’s assets,” Bates said. “Under this absurd and outrageous demand, the College would have been required to ‘buy’ its own endowment from the University, at a cost of $22 million. Rather than seeking to find a solution that would benefit all parties involved, the University chose instead to engage in profiteering that prevented a timely and mutual resolution.”

While the University chose to forfeit the ACCC’s offer of $12.2 million for the College, the group emphasized that there is still one alternative that would enable the College to continue operating next year. More than a month ago, the ACCC offered to make an immediate contribution of $10 million in return for ten seats on the nineteen-member University Board of Trustees. The offer stands in stark contrast to the dismally low contributions by the current board, which reportedly total less than $25,000 in the current fiscal year.

The ACCC noted that it has yet to hear a response to its “10-10 plan,” which it is still prepared to discuss. “This is the only remaining arrangement that can enable the College to continue operating next year while creating a truly philanthropic board for the University,” Bates said. “This is not a hostile takeover – it is a remarkably generous and well-intentioned offer by an experienced and supportive group of alumni, six of whom are former University trustees. We remain mystified as to why the board has not acted on this win-win solution that could be enacted within a matter of hours.”

The ACCC said it would welcome the involvement of any outside parties who could persuade the University to take immediate advantage of this simple and effective solution. “It is the only offer still on the table,” said Frances Degen Horowitz, co-chair of the group and president emerita of the Graduate Center of the City University of New York. “The best solution at this point is for the University to accept the 10-10 plan and immediately create a philanthropic board of trustees that will provide the leadership and stability necessary for both the College and all the units of the University to prosper.”

For additional information on the Antioch College Alumni Association and the Antioch College Continuation Corporation: antiochians.org.

COLLEGE REVIVAL FUND, INC.

For Immediate Release

CONTACT: press

March 28, 2008– Antioch College alumni working through the College Revival Fund, Inc. (CRF), restated their unwavering support for Nonstop Antioch today, in response to news that the University Board of Trustees had rejected a significant and viable offer by a group of major donors and educational leaders that would have enabled Antioch College to continue operating past the University’s June 30, 2008 date of closure.

Ellen Borgersen, Acting President of the CRF, said today in a statement: “The suspicion that the University Board of Trustees was negotiating in bad faith and not interested in saving the College has, unfortunately, been confirmed. Over the past four months, the Antioch College Continuation Corporation (AC3) labored mightily to put together an offer that would be a win-win solution for the University and the College, as well as for the community and for everyone who believes in what Antioch stands for.”

She continued, “We thank the AC3 for their tremendous efforts on the College’s behalf. However, in the wake of the University’s rejection of their offer, Antioch alumni, students, faculty and staff are prepared to go forward with our plans for Nonstop Antioch.” In late February, the CRF committed at least $1 million unconditionally to support this movement.

Nonstop Antioch is what alumni, students, staff and faculty dubbed the movement to keep Antioch College alive and operating in Yellow Springs in the event the AC3′s efforts were unsuccessful. It includes support for students, faculty and staff who have committed to staying in Yellow Springs to teach, learn, and keep the Antioch spirit alive. Nonstop Antioch also includes plans for fundraising, direct action, and litigation.

At its last meeting in late February, the Antioch College Alumni Board directed its Legal Committee to “explore all legal avenues to protect the name, assets and reputation of Antioch College.” In direct response to the AC3′s announcement today, an anonymous donor gave $10,000 to the CRF for legal expenses, and pledged more to come. The CRF is supporting litigation on behalf of students and donors, as well as the faculty’s lawsuit to enjoin the University and the Board of Trustees from closing the College or misappropriating its assets. That case is on a fast track, with depositions underway and a hearing on a motion for preliminary injunction set for April 1.

“The University and its Board of Trustees should be ashamed at what they have done to Antioch College,” said Borgersen, “but we will not let it die. The community, while saddened, is undaunted, committed, and most of all, passionate about Antioch and its future. Nonstop Antioch is just that—Antioch College for our time, and Antioch College for all time.”

Since the University Board of Trustees announced the suspension of operations in June 2007, alumni across the country have rallied to their alma mater’s defense. Alumni chapters have grown worldwide. The Alumni Board is continuing with its fundraising and planning efforts. For additional information on the Antioch College Alumni Association and the College Revival Fund, visit the Antioch College Alumni Association web site, antiochians.org.

Good Faith Offers Would Have Permitted College to Continue

Yellow Springs, Ohio, March 28, 2008 – Antioch University has rejected a significant and viable offer by a group of major donors and educational leaders that would have enabled Antioch College to continue operating, the group announced today.

According to leaders of the Antioch College Continuation Corporation (ACCC), negotiations to establish independence for the College broke off today after the University rejected the ACCC’s best and final offer. The University has announced plans to close the historic school in June, given its failure to boost enrollment and its inability to raise sufficient financial support from alumni disillusioned with the University’s mismanagement of the College.

“We are deeply disappointed that the University did not take this incredible opportunity to preserve Antioch College, which has long been one of the nation’s most unique and important institutions of higher education,” said Frances Degen Horowitz, co-chair of the ACCC and president emerita of the Graduate Center of the City University of New York. “Our offer would have enabled Antioch College to thrive and grow, while simultaneously infusing the rest of the University with millions of dollars in cash.”

The ACCC, which has been negotiating for nearly four months to acquire the College’s assets, offered to reimburse the University what it called a “very substantial consideration” to take charge of the campus by June 30. Working closely with alumni leaders, the group had already raised $18 million to operate the College in the short term, and was preparing to launch a major fundraising drive to secure a total of $100 million to reinvigorate the school. In addition, the group had consulted with some of the nation’s leading experts in turnaround management to prepare a detailed five-year plan to increase enrollment and staffing.

“This is a sad day not only for Antioch, but for all those who care about progressive education in this country,” said Eric Bates, co-chair of the ACCC, who participated in the negotiations. “Presented with an opportunity to both fulfill its fiduciary responsibility and preserve the College’s historic mission, Antioch University chose instead to pursue a path that raises serious questions about its educational values and financial competence.”

The ACCC also noted that Horowitz, who has more than 40 years of experience as a leader in higher education, was prepared to take up residence at the College and make herself available full-time, without compensation, to serve as Chief Transitional Officer during the summer while the group recruited and appointed an interim administration for the coming year.

During negotiations, the ACCC worked diligently to forge an agreement that would serve the best interests of both the College and the University. In an alternative plan presented to the University Board of Trustees, the ACCC offered to contribute $10 million directly to the University in return for ten seats on the nineteen-member University board.

“This arrangement would have eliminated the immediate need for a costly and complex transfer of the College’s assets,” Bates observed. “In addition to ensuring continuous and uninterrupted operation of the College, it would have created a truly philanthropic board for the University – one that would have immediately contributed significantly more than the current trustees have reportedly given this past year.”

The new trustees nominated by the ACCC, Bates added, would have represented the interests of the entire University. “Six of the nine directors of our group are former trustees of the University,” Bates noted. “We appreciate the unique contribution that all of the Antioch University campuses make to higher education and we understand their diverse needs. We know from first-hand experience what is needed to revive the College and realize the full potential of the University’s other campuses.”

The University never formally responded to the ACCC’s proposal to reform the board of trustees. Nevertheless, the group said, it remains hopeful that the trustees will take up the proposal and adopt it while there is still time.

“The University can still recover from its disastrous and misguided decision to close the College,” said Lee Morgan, a director of the ACCC, whose family has been actively involved with Antioch for nine decades. “By adding new leadership and major donors to its own board, it can repair the serious and lasting damage it has caused to its own reputation and restore the confidence and support of alumni that is essential to any effort to revitalize the College. We hope that the trustees will act quickly to take advantage of this simple and effective solution to the crisis facing the University, before it is too late.”

For additional information on the Antioch College Alumni Association and the Antioch College Continuation Corporation: antiochians.org.