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Sarbanes Oxley : e-Learning : Corporate Ethics

Corporate Employees Complete 11 Million Courses on Ethics and Compliance



LRN Reports Escalating Growth in Use of Online Education Platform, Highlighting Corporate Commitment to Fostering Ethical Cultures

Dov Seidman
Chairman and CEO
LRN

LRN a leading provider of legal, compliance, ethics management and corporate governance solutions, released statistics that indicate an increased corporate commitment to acting with integrity. The company announced that its more than 200 client companies have completed more than 11 million courses on business ethics.

"Increasingly, companies measure their actions not by what they can do, but what they should do for the betterment of the company, shareholders and the communities in which they operate," said Dov Seidman, chairman and CEO of LRN. "We believe that a company that embraces ethics education fosters a workforce that is better able to succeed on the job. This milestone vividly demonstrates that companies are more committed to doing things right."

Millions of employees, managers, board members and business partners have logged on to the Web for LRN education since the solution was introduced in 1998 on topics ranging from business ethics and careful communication to workplace harassment and anti-bribery laws. In the last quarter of 2005 and the first quarter of 2006 alone, employees from more than 100 different countries completed more than 2 million courses, averaging 20,000 course completions per business day. LRN's customer community also recently completed more than a half a million online ethics and compliance certifications, which employees use to attest to and confirm compliance with company policies and legal requirements.

LRN has seen the use of its online ethics and compliance education solution double year-over-year since its introduction. The Dow Chemical Company, DuPont, Johnson & Johnson, Pfizer, Procter & Gamble, Raytheon, Tyco and United Technologies Corporation are among the roughly 250 organizations that rely on LRN's online education solution to inform their employees about the values and laws that guide their actions on the job.

LRN Customer and Industry Comments:
BAE Systems
"As a defense contractor, our operational procedures are subject to strict governmental guidelines that we need to communicate to our workforce. More importantly, we wanted to be a benchmark for business ethics in our industry. LRN enabled us to effectively push content and convey values to all our employees," said Charles Chadwick, vice president, Contracts, at BAE Systems.

The Dow Chemical Company
"Dow's policy is to be lawful, highly-principled and socially responsible in all of our business practices. By giving our people the knowledge they need in the language they speak, LRN helps us turn policy into practice," said Tom McCormick, director of Global Ethics and Compliance for The Dow Chemical Company.

DuPont
"At DuPont, we've seen a number of cases in which LRN's education solution has had an impact on employees around the globe. One of our employees from Latin America attended a vendor-sponsored event where she won a car through a random drawing. As she approached to accept the prize, she remembered her ethics and compliance training that accepting a gift of this value would not be appropriate. In a moment of great excitement, she had the right instincts to turn down the prize, knowing that accepting it would violate DuPont policy. It's terrific to have a tool that gives employees the ability make the right business choices, by instinct, even while distracted with the excitement of the moment," said Linda West, vice president - general auditor and chief ethics & compliance officer at DuPont.

Ethics Resource Center
"Company investment in training is an increasing trend, nearly doubling over the past decade. According to the Ethics Resource Center's 2005 National Business Ethics Survey, 69 percent of employees across the United States reported in 2005 that they had received training in ethics or compliance; an increase of 14% over 2003," said Patricia Harned, president of the Ethics Resource Center. "It is no longer enough to develop an ethics training program and hope that employees will participate. A growing number of organizations are taking steps to ensure that all of their employees are made aware of the standards by which they operate."

Red Hat
"As a fast-growing company, we face challenges in maintaining our unique corporate culture as we expand," said Rick Statile, corporate counsel, Red Hat. "With LRN's tools and training, we have been able to emphasize the importance of high ethical standards to our growing team, and, at the same time, continue to foster the innovative spirit that has been the cornerstone of our company."

Tyco International
"There are 250,000 Tyco people worldwide, which makes our workforce larger than most cities. As a result, rolling out a new code of conduct was a daunting task. LRN made that not only possible -- and possible in the native languages of our employees -- they helped make our initiative an enormous success and enabled us to continue rebuilding faith in Tyco, both externally and internally," said Janice Innis-Thompson, VP & chief compliance counsel at Tyco International.

United Technologies Corporation
"The success of long-established ethics and compliance programs like ours largely depends on constantly keeping in front of our workforce our absolute commitment to integrity in everything we do. LRN has helped us both reinforce that commitment, and encouraged employees to come forward when they see issues in the workplace," said Paul L. Robert, associate general counsel & director, Contracts & Compliance at United Technologies Corporation.

LRN provides ethics, compliance and governance solutions that inspire, reinforce and set higher standards for ethically aware, legally compliant and responsible conduct in organizations throughout the world. The company works with leading global corporations, including The Dow Chemical Company, DuPont, Johnson & Johnson, Pfizer, Procter & Gamble and Raytheon. LRN's Governance and Ethics Management System(TM) (GEMS(TM)) offers global corporations an integrated solution for corporate governance, risk, ethics and compliance management.

GEMS(TM) includes LRN's flagship Legal Compliance and Ethics Center(TM) (LCEC(R)), a web-based education solution. LCEC(R) offers more than 200 courses, covering more than 3,600 topics, and has helped millions of employees around the world act more responsibly, work more productively and become better informed about the laws and values that govern their day-to-day decision making. LRN's decade long record in Expert Legal Research and Analysis delivers unparalleled legal research at significant cost savings to leading legal departments around the world. LRN is based in Los Angeles with additional locations in New York, San Francisco and London.

More information is available at www.lrn.com.






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