Every indexed document

to the extent they are accredited investors

and KSI pursues no other businesses independent of holding

consolidate or sell all or substantially all of KLC's assets and the

making loans or otherwise transferring assets to

plus any accrued and unpaid interest. On or prior to February 1

2015 (the ""Notes"") in connection with the KinderCare acquisition and related

consolidations and similar combinations; sell assets or engage in similar

we will accrue expenses ranging from $2.6 million in 2006 to $15.2 million in 2011 if our

see the discussion below under the heading ""- Long Term Incentive Plan.""

general and administrative (SG&A) expenses

continued tuition increases and the closure of underperforming centers and

KCDL accounts for 0.7% of total pro forma revenue in 2005

and an increase in the number of parent pay locations in the U.S.

and is projected to grow to 6.0% in 2011. KLC OpCo projects that growth in the School

School Partnerships accounts for 3.3% of total pro forma

000 centers across the U.S. as a platform to sell

KLC OpCo projects Utilization will have increased to 65.2%.

tuition rates in the industry have been growing at average rates of

from $1.6 billion in 2006 to $2.3 billion in

see the discussion below under the heading ""- Long Term Incentive Plan.""