Company: LGCY
Filing Date: 2025-09-25
Form Type: 10-K
Source: 0001493152-25-014945
Chunk: 124

Company: Legacy Education Inc.
Filing Date: 2025-09-25
Form: 10-K
Item: Item 1
Chunk 124
---
lease costs. Negative trends in the real estate market could impact the costs related to teaching out campuses and the success of our
initiatives to reduce our real estate obligations. Finally, our transformation strategy may not achieve the anticipated cost savings
and business efficiencies.

73

Our
financial performance depends, in part, on our ability to keep pace with changing market needs and technology.

Increasingly,
prospective employers of students who graduate from our institutions demand that their new employees possess appropriate technological
skills and also appropriate “soft” skills, such as communication, critical thinking and teamwork skills. These skills can
evolve rapidly in a changing economic and technological environment, so it is important for our institutions’ educational programs
to evolve in response to those economic and technological changes. Current or prospective students or the employers of our graduates
may not accept expansion of our existing programs, improved program content and the development of new programs. Even if our institutions
are able to develop acceptable new and improved programs in a cost-effective manner, our institutions may not be able to begin offering
them as quickly as prospective employers would like or as quickly as our competitors offer similar programs. If we are unable to adequately
respond to changes in market requirements due to regulatory or financial constraints, rapid technological changes or other factors, our
ability to attract and retain students could be impaired, the rates at which our graduates obtain jobs involving their fields of study
could decline, and our results of operations and cash flows could be adversely affected.

Government
regulations relating to the Internet could increase our cost of doing business or otherwise have a material adverse effect on our business.

The
increasing popularity and use of the Internet and other online services has led and may lead to the adoption of new laws and regulatory
practices in the United States or in foreign countries and to new interpretations of existing laws and regulations. These new laws and
interpretations may relate to issues such as online privacy, copyrights, trademarks and service marks, sales taxes, fair business practices
and the requirement that online education institutions qualify to do business as foreign corporations or be licensed in one or more jurisdictions
where they have no physical location or other presence. New laws, regulations or interpretations related to doing business over the Internet
could increase our costs and adversely affect enrollments.

We
are subject to privacy and information security laws and regulations due to our collection and use of personal information, and any violations
of those laws or regulations, or any breach, theft or loss of that information, could adversely affect our reputation and