Apollo Group, Inc. subsidiary expands into New York

Business Wire, July 22, 1996

PHOENIX--(BUSINESS WIRE)--July 22, 1996--Apollo Group, Inc. (Nasdaq:APOL) today announced that its wholly-owned subsidiary, the Institute for Professional Development (IPD), has entered into a 10-year agreement to provide program development and management services to Medaille College, located in Buffalo, N.Y. This contract will increase the total number of IPD contracts to 18.

Dr. John Sperling, Chairman and Chief Executive Officer of Apollo Group, Inc., commented, We are pleased with this new partnership with Medaille College to expand its current program offerings for working adult students. Since 1973, IPD has assisted colleges and universities in the design, development, implementation and continuing administration of higher education programs designed specifically for working adults. We believe that there is a great demand for affordable higher education throughout the country and we view the Buffalo, N.Y. market as one of many attractive areas.

Apollo Group, Inc., through its subsidiaries the University of Phoenix, the Institute for Professional Development and Western International University, is one of the largest providers of higher education programs for working adults in the United States, with total student enrollment exceeding 44,000 students. Educational programs and services are offered at over 80 campuses and learning centers in 29 states, Puerto Rico and London, England.

CONTACT: Apollo Group, Inc.

James W. Hoggatt

VP-Finance/CFO

(602) 966-5394 ext. 1729

email: jwhoggat.oramail@apollogrp.edu

or

Donna N. Stein, APR

Morgen-Walke Associates, Inc.

(212) 850-5600

or

Press Contact:

Miriam Adler

Morgen-Walke Associates, Inc.

(415) 296-7383