T
1
Pennsylvania amongst lowest
for tuition
BY DONNA GORDON
BLANKINSHIP
ASSOCIATED PRESS WRITER
As students around the country
anxiously wait for college
acceptance letters, their parents
are sweating the looming tuition
bills at public universities.
Florida college students could
face yearly 15 percent tuition
increases for years, and University
of Illinois students will pay at least
9 percent more. The University of
Washington will charge 14 percent
more at its flagship campus. And
in California, tuition increases of
more than 30 percent have sparked
protests reminiscent of the 19605.
Tuition has been trending upward
for years, but debate in statehouses
and trustee meeting rooms has
been more urgent this year as
most states struggle their way out
of the economic meltdown.
The College Board says
families are paying about $172
to $1,096 more in tuition and
fees this school year. The national
average for 2009-2010 is about
$7,020, not including room and
board, according to the nonprofit
association of colleges that
oversees the SATs and Advanced
Placement tests.
Mike Sarb, a University of
Illinois senior from suburban-
Chicago Elk Grove Village, 111.,
says money is a big concern for
his blue-collar family scrambling
to find the money to pay more
than $20,000 for tuition, room and
board.
They are not pleased that
university officials are likely
to raise tuition 9 percent this
summer.
"They do complain that the
school's taking advantage of
people (by raising tuition)," Sarb
said.
But interim President Stanley
Ikenberry says the school has
run out of options. With a budget
deficit expected to top $ll billion
this year, the state of Illinois owes
the university more than $430
million, money he doesn't expect
to see any time soon.
In some cases, one student's
tuition disaster is another's
bargain.
State officials have told Florida
increases
students they can expect 15
percent tuition increases every
year until tuition reaches the
national average. That could be a
long slog, as the state is starting
its tuition realignment from a
place other students envy about
$3,000 a year.
In California, unprecedented
budget cuts to higher education
have led to huge fee increases at
the state's two public university
systems, as well as layoffs,
furloughs, enrollment cuts and
reduced course offerings.
At the University of California,
which has 10 campuses and
about 220,000 students, in-state
undergraduate fees in fall 2010 are
set to reach $10,302 32 percent
more than in fall 2009 and three
times what California residents
paid 10 years ago.
But at California State
University, the nation's largest
public university system with 23
campuses and 450,000 students,
resident undergraduate fees
rose 32 percent from fall 2008
to fall 2009 to $4,026, which is
nearly three times what students
paid 10 years ago. Gov. Arnold
Schwarzenegger's budget
proposal for 2010-2011 assumes
that the system will raise fees
another 10 percent in the coming
academic year.
"We're paying more and
getting less," said Steve Dixon, a
Humboldt State University senior
who heads the California State
Students Association.
At the University of Washington,
where tuition and fees are expected
to pass $9,000 by the 2010-2011
school year, students are worried
about threatened cuts in financial
aid as well.
"It's kind of a perfect storm
for students," said Jono Hanks,
a political science major from
Everett, Wash., who is the UW
student government lobbyist at
the statehouse this quarter.
Hanks lives at home, packs his
lunch and pays tuition with work
and about $4,000 in student loans
a year. Others have told him
they're looking for a second job
and adding to their debt to keep up
with this year's 14 percent tuition
increase.
"Some of them are even talking
about dropping out for a few years
so they can pay off the loans they
have," Flanks said.
The Seattle university expects
to raise tuition another 14 percent
next year. UW tuition used to
double every decade. At 14
percent a year, it could double in
five.
Hanks is almost finished with
school so he's not that concerned
about his ability to pay for the last
few quarters of his degree. But he
does worry what barrier tuition
increases will pose for his younger
sister and brother, who are both in
elementary school.
Other states have been more
subtle in their budget balancing
attempts.
The University of Wisconsin-
Madison is in the first year of a
four-year tuition increase plan
aimed at improving quality. In
addition to statewide tuition
increases of about 5.5 percent,
in-state students at UW-Madison
will pay an extra $250 a year each
year.
This year, tuition went up by $617
to $7,296 or about 9.2 percent, but
financial aid increased at the same
time.
Still, few are complaining
because the extra money $lOO
million in the first four years and
$4O million each year afterward
is reserved for providing
more classes, improving student
services and increasing need
based financial aid.
The Georgia Board of Regents has
suspended indefinitely its popular
"Fixed for Four" guaranteed
tuition program, which since 2006
has meant students have paid the
same tuition rate annually for four
years of college. A freshman at the
University of Georgia this year
pays $3,865 in tuition and fees
per semester if they take between
seven and 15 hours of classes.
Some students are relieved at
modest tuition increases this year,
including 3.5 percent in Ohio, less
than 5 percent in Pennsylvania,
and 3.9 percent at the University
of Colorado at Boulder.
So far a few states, like Oklahoma
and Missouri, have avoided
tuition increases entirely. And
the Oklahoma Legislature gave
its state universities no reason to
complain when it fulfilled the state
higher education budget request.
Hershey gains big
as they pass
Cadbury
By MICHELLE CHAPMAN
AP RETAIL WRITER
Higher prices and lower
charges sparked a profit
increase for Hershey Co. as
the nation's second-biggest
candy maker continued to push
its brands to cost-conscious
consumers and gain market
share.
The company also maintained
its 2010 adjusted earnings and
sales forecaats while boosting
its quarterly dividend. The
news sent Hershey's stock up
19 cents to $37 in premarket
trading.
The candy maker's price hikes
contributed to profit increases
in every quarter of 2009. While
some experts viewed the move
as risky, potentially scaring off
budget-conscious shoppers, the
actions have appeared to have
minimal impact as consumers
are remaining loyal.
Hershey, based in Hershey,
Pa., recently said it would not
bid for British rival Cadbury
PLC. Cadbury shareholders
are expected to vote on Kraft
Foods Inc.'s $19.5 billion offer
on Tuesday.
The company's earnings rose
54 percent to $126.8 million,
or 55 cents per share, for the
period ended Dec. 31.
Removing one-time charges of
8 cents per share, profit was 63
cents per share. This topped
the forecast of analysts polled
by Thomson Reuters, who
predicted earnings of 60 cents
per share. These estimates
generally take out one-time
items.
In the prior-year period
Hershey's charges totaled 23
cents per share.
Sales grew 2 percent to $1.41
billion during the quarter
which included Halloween
and Christmas usually a
strong period for the maker of
Hershey's chocolate bars and
Reese's peanut butter cups.
Analysts expected $1.42 billion
in revenue.
"Our fourth quarter results
represent a solid finish to a
year marked by good progress
against our key strategic
initiatives despite the backdrop
of the macroeconomic issues
affecting consumers," President
and CEO David West said in a
statement.
For the year, profit improved
to $436 million, or $1.90 per
share, compared with $311.4
million, or $1.36 per share, a
year earlier. Adjusted earnings
were $2.17 per share.
Full-year sales increased 3
percent to $5.3 billion from
$5.13 billion.
The candymaker reaffirmed
that it expects its 2010 adjusted
profit to rise 6 percent to 8
percent and sales to climb 3
percent to 5 percent.
Based on 2009 figures, that
implies full-year adjusted
earnings of about $2.30 to
$2.34 per share on sales of
about $5.46 billion to $5.56
billion.
Analysts predict a profit of
$2.28 per share on revenue of
$5.5 billion for the year.
West said the candymaker will
launch its Hershey's Bliss white
chocolate during the first half of
the year, as well as continue to
expand its Pieces product line
to include Hershey's Special
Dark, Almond Joy and York.
The company expect to boost
its ad spending by 25 to 30
percent to promote brands such
as Reese's, Hershey's Kisses,
Bliss, Twizzlers, Kit Kat and its
namesake. New ad campaigns
are also planned for Almond
Joy, Mounds and York.
Hershey said its earnings,
combined with improved
working capital and higher
operating cash flow, led it to
raise its quarterly dividend
by 2.25 cents to 32 cents. The
dividend will be paid on March
15 to shareholders of record
Feb. 25.