Market Overview

Capella Education Company to Report Second Quarter 2018 Results on Aug. 1, 2018; Receives Higher Learning Commission Approval of Change of Ownership

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Capella
Education Company
(NASDAQ:CPLA), a leading educational services
company, today announced that it will release second quarter 2018
financial results before the market opens on Wednesday, Aug. 1, 2018.

The Company also announced that it received notice that its regional
accreditor, the Higher Learning Commission, has approved the change of
ownership of Capella University in connection with the merger between
Capella University's parent company, Capella Education Company, and
Strayer Education, Inc., the parent company of Strayer University. Upon
closing, Strayer Education, Inc. will be renamed Strategic Education,
Inc. The merger is expected to close on or before Aug. 1, 2018.

In light of the expected merger close, Capella Education Company will
not be hosting an investor conference call to discuss second quarter
2018 results. The press release will be posted at www.capellaeducation.com
in the investor
relations
section.

Merger Background

As announced on Oct. 30, 2017, Capella Education Company and Strayer
Education, Inc. ("Strayer") (NASDAQ:STRA) agreed to combine in an
all-stock merger of equals transaction, creating a national leader in
education innovation. As previously disclosed, on Nov. 22, 2017, the
U.S. Federal Trade Commission granted early termination of the
applicable waiting period under the Hart-Scott-Rodino Antitrust
Improvements Act of 1976. In addition, on Jan. 19, 2018, the Company and
Strayer announced that shareholders of both companies voted to approve
the proposals to effect the merger. The proposed merger remains subject
to the satisfaction of customary closing conditions.

Additional Information and Where to Find It

Investors and security holders are urged to carefully review and
consider each of Strayer's and Capella's public filings with the
Securities and Exchange Commission (the "SEC"), including but not
limited to their Annual Reports on Form 10-K, their proxy statements,
their Current Reports on Form 8-K and their Quarterly Reports on Form
10-Q. The documents filed by Strayer with the SEC may be obtained free
of charge at Strayer's website at www.strayereducation.com,
in the "Investor Relations" tab at the top of the page, or at the SEC's
website at www.sec.gov.
These documents may also be obtained free of charge from Strayer by
requesting them in writing to 2303 Dulles Station Boulevard, Herndon, VA
20171. The documents filed by Capella with the SEC may be obtained free
of charge at Capella's website at http://www.capellaeducation.com,
in the "Investor Relations" tab at the top of the page, or at the SEC's
website at www.sec.gov.
These documents may also be obtained free of charge from Capella by
requesting them in writing to 225 South 6th Street, 9th Floor,
Minneapolis, Minnesota 55402.

In connection with the proposed transaction, on November 20, 2017,
Strayer filed a registration statement on Form S-4 with the SEC which
included a joint proxy statement of Strayer and Capella and a prospectus
of Strayer. The registration statement was amended on December 8, 2017.
On January 19, 2018 at their respective special meetings, Strayer's
stockholders approved the issuance of Strayer common stock and the
amendment and restatement of Strayer's charter, each in connection with
the merger, and Capella shareholders approved the Agreement and Plan of
Merger, dated as of October 29, 2017, by and among Strayer, Capella and
Sarg Sub Inc. BEFORE MAKING ANY VOTING OR INVESTMENT DECISION, INVESTORS
AND SECURITY HOLDERS OF STRAYER AND CAPELLA ARE URGED TO CAREFULLY READ
THE ENTIRE REGISTRATION STATEMENT AND JOINT PROXY STATEMENT/PROSPECTUS,
AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THESE DOCUMENTS AND ANY
OTHER RELEVANT DOCUMENTS FILED WITH THE SEC, WHEN THEY BECOME AVAILABLE,
BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT THE PROPOSED
TRANSACTION. Investors and security holders can obtain the registration
statement and the joint proxy statement/prospectus free of charge from
the SEC's website or from Strayer or Capella as described above. The
contents of the websites referenced above are not deemed to be
incorporated by reference into the registration statement or the joint
proxy statement/prospectus.

No Offer or Solicitations

This document shall not constitute an offer to sell or buy or the
solicitation of an offer to buy or sell any securities, nor shall there
be any sale of securities in any jurisdiction in which such offer,
solicitation or sale would be unlawful prior to registration or
qualification under the securities laws of any such jurisdiction. No
offering of securities shall be made except by means of a prospectus
meeting the requirements of Section 10 of the Securities Act of 1933.

Forward Looking Statements

This communication contains certain forward-looking statements made
pursuant to the Private Securities Litigation Reform Act of 1995 (the "Reform
Act
"). Such statements may be identified by the use of words such
as "expect," "estimate," "assume," "believe," "anticipate," "will,"
"forecast," "outlook," "plan," "project," or similar words and may
include statements with respect to, among other things, the proposed
Merger of a wholly-owned subsidiary of Strayer with and into Capella,
including the expected timing of completion of the Merger; the
anticipated benefits of the Merger, including estimated synergies; the
combined company's plans, objectives and expectations; future financial
and operating results; and other statements that are not historical
facts. The statements are based on Strayer's and Capella's current
expectations and are subject to a number of assumptions, uncertainties
and risks. In connection with the safe-harbor provisions of the Reform
Act, Strayer and Capella have identified important factors that could
cause Strayer's or Capella's actual results to differ materially from
those expressed in or implied by such statements. The assumptions,
uncertainties and risks include:

  • the risk that the Merger may not be completed in a timely manner or at
    all due to the failure to satisfy conditions to completion of the
    Merger;
  • the occurrence of any event, change or other circumstance that could
    give rise to the termination of the merger agreement;
  • the outcome of any legal proceeding that may be instituted against
    Strayer, Capella and others following the announcement of the Merger;
  • the amount of the costs, fees, expenses and charges related to the
    Merger;
  • the risk that the benefits of the Merger, including expected
    synergies, may not be fully realized or may take longer to realize
    than expected;
  • the risk that the Merger may not advance the combined company's
    business strategy and growth strategy;
  • the risk that the combined company may experience difficulty
    integrating Strayer's and Capella's employees or operations;
  • the potential diversion of Strayer's and Capella's management's
    attention resulting from the proposed Merger; and
  • other risks and uncertainties identified in Strayer's and Capella's
    filings with the SEC.

Actual results may differ materially from those projected in the
forward-looking statements. Strayer and Capella undertake no obligation
to update or revise forward-looking statements.

About Capella Education Company

Capella Education Company (http://www.capellaeducation.com)
is an educational services company that provides access to high-quality
education through online postsecondary degree programs and job-ready
skills offerings needed in today's market. Capella's portfolio of
companies is dedicated to closing the skills gap by providing the most
direct path between learning and employment.

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