LANDOVER, Md., Nov. 9, 2015 /PRNewswire/ -- 2U, Inc. (NASDAQ: TWOU) -- 2U announced today that it has extended its contract with the University of Southern California (USC) School of Social Work by an additional 10 years. This contract for the Master of Social Work now extends to 2030. In addition, this new arrangement also extends the recently announced Master of Science in Nursing program to 2030.
"The USC School of Social Work is a true innovator in social work education and leadership," said Chip Paucek, 2U CEO and co-founder. "We're pleased to have secured an extended relationship with this early partner on terms that benefit us both. We look forward to finding additional opportunities in the large and proven social work vertical, and to supporting the field of social work in its mission to produce qualified and much needed practitioners."
As the largest social work school in the country, USC currently trains roughly five percent of the nation's new professional social workers. The program recently celebrated the fifth anniversary of the MSW@USC online program and its impact on the field. Since inception, the MSW@USC program has grown to include students from 49 states, the District of Columbia and 14 countries and these MSW@USC students have completed more than 3.1 million cumulative fieldwork hours in local communities.
The new agreement features substantially reduced exclusivity, allowing 2U to enable additional programs in the important Social Work vertical. Under the new agreement, 2U will provide USC with fixed and contingent cash payments over a 24- to 48-month period as well as a reduction in 2U's revenue share percentage to be phased in over time. 2U estimates that in aggregate, this consideration will represent a low single-digit effective reduction to 2U's current revenue share percentage over the remaining 14 years of the agreement. 2U believes this allows for additional expansion in this vertical while enabling the company to achieve its expected long-term margins for this program, the social work degree vertical and the company.
As previously announced, 2U will be partnering with a new Department of Nursing within the USC School of School of Social Work to offer a Master of Science in Nursing. The reduction in 2U's revenue share provided to USC for its social work program will also apply to its nursing program beginning upon launch.
About the USC School of Social Work
The University of Southern California's School of Social Work ranks among the top accredited social work graduate programs in the United States. A recognized leader in academic innovation, experiential learning, online education and translational research, the school prepares students for leadership roles in public and private organizations that serve individuals, families and communities in need. USC is dedicated to reinventing the profession, furthering knowledge and changing social institutions locally, nationally and globally. The school has made innovation a signature feature of its academic and research enterprise, leveraging technology in social work education, clinical practice, research and community development, as evidenced through the creation of an advanced online platform for distance learning, virtual humans for graduate-level teaching, and a university-based clinic offering mental health services over the Internet. For more information, visitwww.usc.edu/socialwork.
About 2U, Inc. (NASDAQ: TWOU)
2U partners with leading colleges and universities to deliver the world's best online degree programs so students everywhere can reach their full potential. Our Platform, a fusion of cloud-based software-as-a-service technology and technology-enabled services, provides schools with the comprehensive operating infrastructure they need to attract, enroll, educate, support and graduate students globally. Blending live face-to-face classes, dynamic course content and real-world learning experiences, 2U's No Back Row® approach ensures that every qualified student can experience the highest quality university education for the most successful outcome.
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