Nexient Learning Inc. Announces Results for the First Quarter of 2009 and the Postponement of Its Annual General Meeting



    SYDNEY, NS, June 1 /CNW/ - Nexient Learning Inc. (NEX: NXL-H.V) Canada's
largest provider of skills and talent development, announced today its
un-audited financial results from the first quarter ended March 31, 2009.
    The recession proved to have a material negative impact on both revenue
and profitability for our first quarter of 2009. For the three months ended
March 31, 2009, revenues from operations were $10.8 million compared to $13.2
million for the same period in FY 2008. The Corporate Sector revenue has
experienced the most significant decline and the primary contributing factor
to this decline was the drop in the Leadership and Business Solutions ("LBS")
revenue stream during the first fiscal quarter of FY 2009 compared to the
first quarter of FY 2008. Revenue also declined in our Public Sector and our
Small and Medium Sized Business Sector in Q1 2009 across Nexient's lines of
business with the notable exception of Information Technology.
    Nexient believes that talent and skills development for retained and
displaced employees will be an important factor in the economic recovery. We
continue to work with our clients to design innovative programs that meet
their business objectives and budgets. These programs range from our virtual
classroom offerings that allow clients to receive the same quality training
for their employees without the expense of travel and accommodation to our
practical project management and front line service programs that offer
tangible survival skills for all employees.

    
    (in thousands)

    For the three months ended March 31:
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                                                             2009      2008
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    Information Technology                               $  4,489  $  4,192
    Business Process Improvement                            3,273     4,185
    Leadership and Business Solutions                       2,406     3,755
    -------------------------------------------------------------------------
                                                           10,168    12,132
    Other                                                     627     1,066
    -------------------------------------------------------------------------
                                                         $ 10,795  $ 13,198
    -------------------------------------------------------------------------
    -------------------------------------------------------------------------


    Summary of consolidated financial results

    (in thousands except for per share amounts)

    For the three months ended March 31:
    -------------------------------------------------------------------------
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                                                               (unaudited)
                                                             2009      2008
    -------------------------------------------------------------------------
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    Revenues                                             $ 10,795  $ 13,198

    EBITDA (see note)                                        (618)      556

    Net loss                                               (2,087)   (1,651)

      Loss per share, fully diluted and basic              (0.119)   (0.190)
    -------------------------------------------------------------------------
    

    The deterioration in economic conditions experienced in the fourth
quarter of FY 2008 and first quarter of FY 2009 are expected to make FY 2009
one of the most challenging years in the Company's history. Nexient does not
anticipate that demand for training and corporate skills development products
will return to more traditional levels until late in FY 2009 or early FY 2010.
The Company is, therefore, responding as aggressively as it can to cut costs
wherever possible, defer any discretionary expenditure and pursue all
opportunities that may be available in the recent federal and provincial
economic stimulus packages in order to generate a positive cash flow from
operations in FY 2009.
    The Board of Directors also announced today that Nexient's Annual General
Meeting previously scheduled for June 11, 2009 has been postponed while the
Board of Directors considers potential new financing proposals for the Company
that may require shareholder approval.

    About Nexient Learning Inc.

    Nexient Learning Inc. is the largest corporate training and talent
development company in Canada. Nexient delivers the broadest choice of top
calibre, industry-recognized curricula in information technology, business
process improvement and leadership business solutions. With 12 locations
across Canada, Nexient offers innovative learning solutions in both classroom
and online formats. Nexient is traded on the NEX as "NXL.H". More information
is available on the company's website at www.nexientlearning.com.

    Forward Looking Statements

    This press release contains forward-looking statements. Forward-looking
statements involve known and unknown risks, uncertainties and other factors
including economic conditions which may cause the actual results, performance
or achievements of the Corporation to be materially different from any future
results, performance or achievements expressed or implied by the
forward-looking statements. Actual results could differ materially from those
projected and should not be relied upon as a prediction of future events. By
its nature, this information is subject to inherent risks and uncertainties
that may be general or specific. A variety of material factors, many of which
are beyond Nexient's control, affect the operations, performance and results
of Nexient, and could cause actual results to differ materially from current
expectations of estimated or anticipated events or results. The Company
specifically disclaims any obligation to update these forward-looking
statements, except as required by applicable securities laws. Such statements
include those relating to demand for training and corporate skills development
products, cost cutting and any availability of stimulus funding or other
financing. Factors affecting these statements may include the state of debt
and capital markets as well as economic conditions facing customers and
others. There can be no assurance that any financing will be completed or that
other forward-looking statements will prove to be accurate and readers should
not place undue reliance on forward-looking statements.
    %SEDAR: 00002373E




For further information:

For further information: Douglas Lawson, Chief Financial Officer,
Nexient Learning Inc., (416) 964-8688 ext. 2200, dlawson@nexientlearning.com

Organization Profile

NEXIENT LEARNING INC.

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