Our New Partnership with HACU

We are very excited about this, particularly the capacity-building component....I will elaborate in further posts...

Press

THE HISPANIC ASSOCIATION OF COLLEGES AND UNIVERSITIES (HACU) AND GLOBAL LEARNING SEMESTERS FORM THE HISPANIC GLOBAL ALLIANCE TO REDUCE THE GAP IN HISPANIC STUDY ABROAD BY 50%

• Over $8M in scholarships available for HACU study abroad students • Capacity Building Initiatives for HACU member institutions • Joint study abroad program development

SAN ANTONIO -- October 28, 2006 -- HACU (the Hispanic Association of Colleges and Universities) and Global Learning Semesters, Inc. are undertaking a 10 year partnership to address the factors hindering Hispanic study abroad with the goal of reducing the gap in Hispanic participation in study abroad by 50%. Hispanic students study abroad at about half the rate of all college students due to issues related to actual and perceived affordability, limited awareness and home institution capabilities.

This multi-faceted partnership draws upon the deep expertise of HACU in Hispanic higher education and Global Learning Semesters in study abroad administration to address the root causes of the gap in study abroad participation.

1. Financial Support: Global Learning Semesters has committed to making available over $8 million in scholarships during the next 10 years to HACU students through the Hispanic Study Abroad Scholars program and to working with HACU on Special Initiatives to further increase available scholarship funds. The University of Alcala in Spain has generously agreed to be the first Special Initiative partner.

2. Capacity Building: Global Learning Semesters is making its expertise in study abroad office administration available to HACU member institutions through training seminars and free use of its patent-pending software for study abroad office administration. This capacity building initiative will make it more affordable and feasible for HACU schools to administer a best practice study abroad office.

3. Program Development: HACU and Global Learning Semesters have formed an Advisory Council to guide the development of Global Learning Semesters’s study abroad programs in Latin America focused on issues important to Hispanic students

Dr. Andreas Polemitis, Chairman of Global Learning Semesters said: “I have no doubt that the best business executives, teachers, scientists and artists of today and tomorrow will be individuals who have broadened their horizons by studying, living and traveling abroad. Hispanic college graduates should not be denied the opportunity to enhance their career and life prospects through study abroad.”

"HACU is pleased to add Global Learning Semesters as a new partner to our effort to promote study abroad opportunities for students at our member colleges and universities," said Antonio R. Flores, President and CEO of HACU. "GLS has generously committed to provide scholarship assistance to eligible HACU member students who participate in their respective study abroad programs."

Mr. Antonis Polemitis, President of Global Learning Semesters said: “Our goal is increased diversity, openness and access in study abroad. No one organization can provide the full solution to a challenge of this magnitude which is why we are providing our partner institutions within HACU the tools that will help them be successful.”

The Hispanic Study Abroad Scholarship will be available to students attending HACU member institutions for a 10 year period starting with the Spring Semester 2007. Students or Advisors interested in applying for the scholarship programs should visit: www.StudyAbroadScholars.org or call (877) 300-7010, ext. 6. University Administrators or Advisors interested in participating in the Hispanic Global Alliance should complete the registration form at: www.HispanicGlobalAlliance.org.

For More Information

Press

HACU Dr. Alvaro Romo AVP for Programs, Services and International Affairs ARomo@Hacu.net (210) 692-3805

Press

Global Learning Semesters
Mr. Antonis Polemitis President AntonisPolemitis@GlobalSemesters.com (917) 747 3417

About HACU – The Hispanic Association of Colleges and Universities
The Hispanic Association of Colleges and Universities (HACU) was established in 1986 with a founding membership of eighteen institutions. Because of HACU’s exemplary leadership on behalf of the nation’s youngest and fastest-growing population, the Association rapidly grew in numbers and national impact.

Today, HACU represents more than 450 colleges and universities committed to Hispanic higher education success in the U.S., Puerto Rico, Latin America, Spain and Portugal. Although our member institutions in the U. S. represent less than 10% of all higher education institutions nationwide, together they are home to more than two-thirds of all Hispanic college students. HACU is the only national educational association that represents Hispanic-Serving Institutions (HSIs).

To learn more about HACU, please go to: www.HACU.net

About Global Learning Semesters
Global Learning Semesters is a leading study abroad organization with a mission of preparing North American college students to be leaders in an increasingly interconnected world. Global Learning Semesters is best known for operating innovative, thematic study abroad programs that combine academics with co-curricular travel. In 2007, Global Learning Semesters will operate 35 study abroad programs that will cumulatively visit 60 cities, from Belmopan to Beijing, in 20 countries. Global Learning Semesters draws from 25 years of experience in international higher education at Intercollege, the leading college in Cyprus, and has been at the forefront of promoting best practices in study abroad administration within NAFSA and the Forum for Education Abroad.

Private Loans & Universities

At macro level, this is just the result of increasing funding gaps for state and small private institutions.

One student loan company has invited college and university officials, and their spouses, to attend an education conference — in the Caribbean this February, all expenses paid. Another pays universities bonuses based on how much their students borrow. Others gave away gifts like iPods at a recent conference for financial aid administrators.

With rising tuition and lagging government aid making private student loans a big and increasingly competitive business, these are some of the ways lenders are courting universities in hopes that they will steer students their way.

Students took out nearly $13.8 billion in private loans in 2004-5, more than 10 times the amount borrowed a decade ago, according to the College Board.

The key to this business is university financial aid offices, which compile lists of “preferred” lenders, sometimes as few as two. Students rarely comparison shop and rely on those lists.

Financial aid administrators say they pick lenders with the most competitive terms, not the most appealing giveaways. But some have questioned such arrangements — and whether students are getting the best deals.

NY Times Article (free reg required)

At a micro-level, GLS faces the same issue. We list a certain study abroad loan provider on our site for no particular reason except we found them first. We certainly do not get give-aways at our size (!) But, given this, makes me wonder if we should look for some additional options to list on our site.

Student lending overall is a pretty decent sized business (study abroad just a sub niche) with a good deal of M&A the last couple of years...

The most innovative firm in the space is:

My Rich Uncle

They took some heat early for their "equity" based lending model (e.g. you them back with a percentage of your future earnings). I doubt that is actually enforceable (13th Amendment), but who knows

1. Neither slavery nor involuntary servitude, except as a punishment for crime whereof the party shall have been duly convicted, shall exist within the United States, or any place subject to their jurisdiction.

In any case, they have come back to more traditional debt instruments and seem to be gaining traction.

Their PrePrime product they just launched is really interesting. Trying to use non-traditional criteria (e.g SAT scores, etc) to underwrite students with a limited credit history. Risky, but if they get it right and own the formula and have a few years lead on everyone else with underwriting data, that is a great product that they could grow or license or sell to one of the big guys.

Needless to say, every incumbent should launch a pilot of something similar since they are in a much better position given their volume to test such a thing and can take the risk, but they won't because that is how incumbents act. They will sit and let someone else finally prove the model and then pay through the nose to buy it.