Capella Education Co.

Minneapolis, Minn. • 612-977-5100 • www.capellaeducation.com

Exchange and Ticker: Nasdaq: CPLA

Filing Range: 3.6M shares at $17.50 to $19.50

Offering Price: $20.00

Close on First Day: $25.10

Close on 11/30/06: $25.25

Offering Size: $80.0M

Shares Outstanding: 15,365,770M

Underwriter: Credit Suisse

Co-managers: Stifel Nicolaus & Co. Inc./Banc of America Securities LLC/Piper Jaffray Cos.

Company Counsel: Faegre & Benson

Manager Counsel: Cravath, Swaine & Moore

Auditor: Ernst & Young LLP

Market Capitalization on 11/30/06: $386.4M

DESCRIPTION

Owns Capella University, an accredited online academic institution. The company’s subsidiary offers undergraduate and graduate degree programs in business, technology, education, human services and psychology. Capella University serves more than 12,000 enrolled adult learners from all 50 states and more than 50 countries. Company was formerly known as The Graduate School of America. Competitors include Apollo Group, Corinthian Colleges, eCollege.com, Kaplan, PLATO Learning, Strayer Education, UNext, University of Phoenix Online and VCampus.

VENTURE BACKERS

Cherry Tree Investments Inc., Forstmann Little & Co., Insight Venture Partners, Maveron, National Computer Systems, Putnam Management, RBC Capital Partners, Technology Crossover Ventures (TCV), and ThinkEquity Partners.

Source: Thomson Financial