Educational Medical, Inc.
Ticker:EDMD 1327 Northmeadow Parkway, Suite 132
Exchange:NASDAQ-National Market Roswell, Georgia 30076
Industry:Service (770) 475-9930

Type of Shares:Common Shares Filing Date:8/8/96
U.S. Shares:2,400,000 Offer Date:10/28/96
Non-U.S. Shares:0 Filing Range:$11.00 - $13.00
Primary Shares:2,200,000 Offer Price:$10.00
Secondary Shares:200,000 Gross Spread:$0.70
Offering Amount: $28,800,000 Selling:$0.42
Expenses:$800,000 Reallowance:$0.10
Shares Out After:6,694,411

ManagerTierPhone
Smith Barney Inc.Lead Manager (718) 921-8473
Montgomery SecuritiesCo-manager (415) 627-2220

Auditor: Ernst & Young
Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
3/31/96 6/30/96 6/30/95 6/30/96
Revenue:$38.65$9.20$8.76Assets:$17.12
Net Income:$0.08$0.07-$0.06Liabilities:$11.52
EPS:$0.02$0.01-$0.01Equity:$5.60

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company provides diversified career oriented postsecondary education to more than 4,300 students in 14 schools located in six states. The company's 14 schools offer diploma and/or associate degree programs designed to provide students with the knowledge and skills necessary to qualify them for entry level employment in the fields of healthcare, business, fashion and design, and photography. The company's curricula includes programs leading to employment in nine of the 15 fastest growing occupations as reported by the U.S. Department of Labor. The company believes the demand for postsecondary career oriented education will increase over the next several years as a result of recognized demographic trends. These trends include i) a projected 21% growth in the number of new high school graduates ii) the increasing enrollment of students over the age of 24 in postsecondary education institutions iii) a decline in military opportunities.

Use of Proceeds
The proceeds from the proposed offering will be used to repay debt, to acquire additional schools and for working capital and other general corporate purposes.

Last updated: 12/29/96

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